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Recruitment Incentive Waiver Template
Use of this template does not guarantee approval. OPM will make a determination on each
submission based on the documentation provided by the requesting agency.
An agency may pay a recruitment incentive to a newly-appointed employee if the agency has
determined that the position is likely to be difficult to fill in the absence of an incentive.
Agencies have the authority to approve a recruitment incentive without OPM approval for
payments of up to 25 percent of an employee’s annual rate of basic pay times the number of
years in a service agreement (not to exceed 4 years or 100 percent of annual basic pay). OPM
approval is required when an agency would like to exceed this payment limit to make larger
payments over shorter service agreement lengths. Under an OPM recruitment incentive waiver,
agencies could approve a recruitment incentive of up to 50 percent of an employee’s annual rate
of basic pay times the number of years in a service agreement (not to exceed 100 percent of
annual basic pay).
For example—
• An OPM waiver is not required for an agency to pay a recruitment incentive of up to 25
percent of annual basic pay for a 1-year service agreement, 50 percent of basic pay for a
2-year service agreement, or 100 percent of basic pay for a 4-year service agreement.
• An OPM waiver is required for an agency to pay a recruitment incentive of 50 percent of
annual basic pay for a 1-year service agreement or 100 percent of annual basic pay for a
2-year service agreement.
Agencies may request OPM approval of a recruitment incentive waiver for an individual
candidate or a group of positions. (See 5 CFR 575.105(a) and (b).) A recruitment incentive
waiver must be approved before an employee enters on duty in the position for which recruited.
Additional information on recruitment incentive coverage, approval criteria and payment and
service agreement requirements may be found at 5 U.S.C. 5753, 5 CFR part 575, subpart A, and
the fact sheets at https://www.opm.gov/policy-data-oversight/pay-leave/recruitment-relocation-
retention-incentives/#url=Fact-Sheets. Agency headquarters-level human resources offices may
contact OPM at pay-leave-policy@opm.gov for additional information. Employees must contact
their agency human resources office for further information.
Agencies may use the template below to submit an individual or group recruitment incentive
waiver request to OPM.
Use of this template does not guarantee approval. OPM will make a determination on each
submission based on the documentation provided by the requesting agency.
Brenda L. Roberts
Deputy Associate Director for Pay and Leave
Employee Services
U.S. Office of Personnel Management
Room 7H31
1900 E Street, NW
Washington, DC 20415
Dear Ms. Roberts:
In accordance with 5 CFR 575.109(c), the requests that
the U.S. Office of Personnel Management (OPM) waive the limitation on recruitment incentive
payments—i.e., 25 percent of the employee’s annual rate of basic pay in effect at the beginning
of the service period multiplied by the number of years in the service period. Based on the
critical agency need described below, we are requesting OPM approval to pay a recruitment
incentive to of .
The criteria for approving a recruitment incentive waiver for
are met by the information provided below.
1. Information on the job candidate, if known, and/or position(s) the recruitment incentive waiver
would cover.
2. A description of the critical agency need the proposed recruitment incentive would address.
The authorized agency official must determine that the competencies required for the position(s)
are critical to the successful accomplishment of an important agency mission, project, or
initiative (e.g., programs or projects related to a national emergency or implementing a new law
or critical management initiative).
3. The basis for determining that the position (or group of positions) is likely to be difficult
to fill. An agency must consider the following factors listed in 5 CFR 575.106(b), as applicable
to the case at hand, in determining that the position (or group of positions) is likely to be difficult
to fill in the absence of an incentive:
• The availability and quality of candidates possessing the competencies required for the
position(s), including the success of recent efforts to recruit candidates for the position(s)
or similar positions using indicators such as offer acceptance rates, proportion of
positions filled, and the length of time required to fill similar positions;
department or agency
individual/ group/position(s)
percentage/total dollar amount
individual/group/position(s)
Use of this template does not guarantee approval. OPM will make a determination on each
submission based on the documentation provided by the requesting agency.
• The salaries typically paid outside the Federal Government for similar positions;
• Recent turnover in similar positions;
• Employment trends and labor-market factors that may affect the agency’s ability to
recruit candidates for similar positions;
• Special or unique competencies required for the position(s);
• Agency efforts to use non-pay authorities, such as special training and work scheduling
flexibilities, to resolve difficulties alone or in combination with a recruitment incentive;
• The desirability of the duties, work or organizational environment, or geographic location
of the position(s); and
• Other supporting factors.
An agency may also determine that a position (or group of positions) is likely to be difficult to
fill if OPM has approved the use of a direct-hire authority applicable to the position(s). (See 5
CFR 575.106(c).)
4. The proposed recruitment incentive payment amount and a justification for that
amount. The justification for the amount should provide supporting evidence, such as the
success of recruitment incentives offered under normal payment limitations and/or the salaries
typically paid outside the Federal Government for similar positions. Under a waiver, the total
amount of recruitment incentive payments paid to an employee in a service period may not
exceed 50 percent of the employee’s annual rate of basic pay at the beginning of the service
period multiplied by the number of years (including fractions of a year) in the service period.
However, in no event may a waiver provide total recruitment incentive payments exceeding 100
percent of the employee’s annual rate of basic pay at the beginning of the service period. (See
fact sheet at https://www.opm.gov/policy-data-oversight/pay-leave/recruitment-relocation-
Use of this template does not guarantee approval. OPM will make a determination on each
submission based on the documentation provided by the requesting agency.
retention-incentives/fact-sheets/calculating-maximum-recruitment-and-relocation-incentives-for-
service-periods-of-various-lengths/.)
5. The timing and method of making the proposed recruitment incentive payments.
Recruitment incentives may be paid as an initial lump-sum payment at the beginning of the
service period, in installments throughout the service period, as a final lump-sum payment upon
completion of the service period, or in a combination of these methods.
6. The length of the required service period. An employee’s required service period may not
be less than 6 months and may not exceed 4 years.
7. Any other information pertinent to the case at hand.
The point of contact for this request is , who can be
contacted at .
Sincerely,
[Attachments—if any]
agency point of contact
telephone number
Name of Requestor
Title
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Completed 24 April 2020

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