[Federal Register Volume 61, Number 44 (Tuesday, March 5, 1996)]
[Notices]
[Pages 8593-8603]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-4401]



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DEPARTMENT OF ENERGY


Planning Guidance for Contractor Work Force Restructuring

AGENCY: Department of Energy.

ACTION: Notice of Interim Planning Guidance.

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SUMMARY: The Department of Energy today publishes for public comment 
interim Planning Guidance that has been issued to Department of Energy 
field organizations and other components responsible for planning and 
implementing contractor work force restructuring at defense nuclear 
facilities and other DOE facilities. The Guidance includes procedures, 
interpretations, and policies that the field organizations should use 
in developing site-specific plans consistent with section 3161 of the 
National Defense Authorization Act for Fiscal Year 1993. The Secretary 
has decided that the section 3161 planning process should apply, to the 
extent practicable and allowed by law, to work force restructuring at 
all Department of Energy facilities.


[[Page 8594]]

DATES: Written comments (7 copies) are due on or before May 6, 1996. 
The Guidance is effective upon publication in the Federal Register.

ADDRESSES: Comments must be submitted to: U.S. Department of Energy, 
Office of Worker and Community Transition, WT-1, 1000 Independence 
Avenue, S.W., Washington, D.C. 20585.

FOR FURTHER INFORMATION CONTACT: Ms. Deborah Sullivan, U.S. Department 
of Energy, Washington, D.C. 20585, phone: 202-586-0452.

SUPPLEMENTARY INFORMATION:

I. Background

    The Department of Energy (Department or DOE) has broad authority to 
develop generally applicable policies covering all aspects of defense 
nuclear facilities. The Atomic Energy Act, 42 U.S.C. 161(i)(3) and 
2201(p). In addition, section 3161 of the National Defense 
Authorization Act for Fiscal Year 1993, 42 U.S.C. 7274h, requires the 
Department to develop a plan for restructuring the work force at a 
defense nuclear facility whenever the DOE determines that a change in 
the work force is necessary. Defense nuclear facilities within the 
meaning of section 3161 include facilities conducting atomic energy 
defense activities involving production or utilization of special 
nuclear material, nuclear waste storage or disposal facilities, testing 
and assembly facilities, and atomic weapons research facilities. The 
Department has issued the Guidance published in this notice to assist 
field organizations in developing site-specific plans consistent with 
section 3161 and other applicable laws and is voluntarily publishing 
this Guidance for public comment. The Department intends to revise the 
Guidance periodically as appropriate in light of public comments and 
experience. Various inadvertent errors and possible ambiguities in the 
Guidance distributed on April 5, 1995, have been corrected and 
clarified in this version. One significant respect in which the 
Guidance has been clarified is to make it clear that all notices of 
involuntary reductions in force of more than 100 employees at a single 
site require specific Secretarial approval. Secretarial approval of a 
work force restructuring plan does not authorize a site to give 
involuntary separation notices without specific Secretarial approval 
for the involuntary separations, although specific Secretarial approval 
of the involuntary separations may be provided at the same time as 
approval of the plan. Section 3161 furthers President Clinton's 
``Putting People First'' policy, which emphasizes the importance of 
conserving and efficiently redirecting the Government's valuable human 
resources from pursuit of the Cold War to new missions. Some DOE 
defense nuclear facilities are being downsized as a result of decisions 
to reduce the nuclear weapons stockpile and terminate production of 
nuclear weapons. Another major change at DOE defense nuclear facilities 
has been the increase in recent years in environmental restoration and 
waste management activities. At other defense nuclear facilities, work 
force modification is needed because of different kinds of shifts in 
the mission of the facility. Still other work force changes are the 
consequence of reductions in the Department's budget. The essential 
requirement of section 3161 is that the DOE must develop work force 
restructuring plans to minimize the social and economic impacts of work 
force changes at defense nuclear facilities.
    Section 3161(c) sets forth six objectives that shall guide the 
Department in preparing a work force restructuring plan for a defense 
nuclear facility. First, changes in the work force at a DOE defense 
nuclear facility: (1) should be accomplished so as to minimize social 
and economic impacts; (2) should be made only after the provision of 
notice of such changes not later than 120 days before the commencement 
of such changes to such employees and the communities in which such 
facilities are located; and (3) should be accomplished, when possible, 
through the use of retraining, early retirement, attrition, and other 
options that minimize layoffs.
    Second, employees whose employment in positions at such facilities 
is terminated shall, to the extent practicable, receive preference in 
any hiring by the DOE (consistent with applicable employment seniority 
plans or practices of the DOE and with section 3152 of the National 
Defense Authorization Act for Fiscal Years 1990 and 1991 (Public Law 
101-189; 103 Stat. 1682)). Third, employees shall, to the extent 
practicable, be retrained for work in environmental restoration and 
waste management activities at DOE facilities.
    Fourth, the Department should provide relocation assistance to 
employees who are transferred to other DOE facilities as a result of 
the plan.
    Fifth, the Department should assist terminated employees in 
obtaining appropriate retraining, education, and reemployment 
assistance (including employment placement assistance).
    Sixth, the Department should provide local impact assistance to 
communities that are affected by the restructuring plan and coordinate 
the provision of such assistance with (1) programs carried out by the 
Department of Labor pursuant to the Job Training Partnership Act (29 
U.S.C. 1501 et seq.); (2) programs carried out pursuant to the Defense 
Economic Adjustment, Diversification, Conversion, and Stabilization Act 
of 1990 (Part D of Public Law 101-510; 10 U.S.C. 2391 note); and (3) 
programs carried out by the Department of Commerce pursuant to title IX 
of the Public Works and Economic Development Act of 1965 (42 U.S.C. 
3241 et seq.).
    In establishing the Task Force on Worker and Community Transition 
on April 21, 1993, the Secretary of Energy directed that, for reasons 
of fairness, the planning process set forth in section 3161 should be 
applied, to the extent practicable and permitted by law, wherever work 
force restructuring takes place in the Department. On April 23, 1993, 
the Task Force issued draft General Planning Guidelines for Work Force 
Restructuring.
    The formulation and execution of any work force restructuring plan 
is subject to the availability of appropriations, and differences in 
benefits provided at different sites or to defense and non-defense 
workers may reflect different levels of available funding.

II. Stakeholder Participation in Work Force Restructuring Planning

    Pursuant to section 3161, all aspects of a defense nuclear facility 
work force restructuring plan, including the mix and level of benefits 
offered, shall be developed in consultation with affected DOE employees 
(including employees of Department contractors and subcontractors), 
representatives of collective-bargaining units of Department employees, 
interested Federal, State, and local government agencies, educational 
institutions and other institutions and groups in communities that will 
be affected by restructuring.
    The Guidance provides that draft plans shall be distributed for 
stakeholder comment at appropriate points during the planning process. 
The Department will not approve Plans developed by field organizations 
unless there is a showing of meaningful stakeholder involvement in the 
planning process. The Guidance also identifies specific methods field 
organizations may use to obtain stakeholder input in the development of 
site-specific plans. 

[[Page 8595]]

    In addition to site-specific stakeholder involvement, the 
Department has involved stakeholders in work force restructuring 
policymaking at the national level. The Guidance published today 
reflects this extensive dialogue with stakeholders. Shortly after 
section 3161 was enacted, the Secretary of Energy established a Task 
Force on Worker and Community Transition to implement the new law and 
to address more generally the impacts of defense conversion. The Task 
Force held a National Stakeholders meeting on June 11, 1993, and 
published a report on July 29, 1993, that summarized issues raised by 
the stakeholders.
    Based on continued stakeholder input and lessons learned from the 
ongoing development of site work force restructuring plans, the 
Department issued revised draft planning guidelines on March 24, 1994. 
Additional policy guidelines were subsequently included in a Report on 
the Department's Worker and Community Transition Program, issued by the 
Under Secretary on August 24, 1994. In September 1994, the Office of 
Worker and Community Transition replaced the Task Force and held a 
second National Stakeholders meeting on November 15-16, 1994. A third 
National Stakeholders meeting was held in Denver on April 20-21, 1995, 
and a fourth was held in Albuquerque on September 13-15, 1995. Another 
National Stakeholders meeting will be held in March 1996 in Atlanta.

III. The General Purpose of the Interim Guidance

    The interim Guidance published today was prepared by the 
Department's Office of Worker and Community Transition to plan for and 
mitigate the impacts of changes in the Department's contractor work 
force. The Guidance was developed to assist DOE field organizations 
that are primarily responsible for developing section 3161 plans. The 
Guidance sets forth generally non-prescriptive procedures for 
coordinating Department activities related to section 3161 planning, 
and contains interpretations and policy statements to help DOE field 
organizations implement section 3161 consistently with applicable 
contract provisions and other laws and obligations of the Department.

IV. Request for Public Comment

    Although not required by law, the Department has chosen to publish 
this revised interim Guidance for public comment so that all 
stakeholders and the general public have an opportunity to influence 
the general policies the Department is following during the section 
3161 planning process. The Department will publish final Guidance with 
appropriate revisions in light of the public comments and experience 
with the interim Guidance.
    Although the public is invited to comment on all aspects of the 
Guidance, the Department is especially interested in receiving views on 
the following provisions:

A. The ``Trigger'' or Threshold for Section 3161 Planning

    Section 3161 directs the Department to develop a plan when it is 
determined that ``a change in the work force at a defense nuclear 
facility is necessary,'' and to submit the plan to Congress. The 
Department has interpreted section 3161 to apply only where a change in 
the nature or structure of the work force may affect 100 or more 
employees at a site within a 12-month period. While a formal plan is 
not required below this threshold, the Department will consider the 
objectives of section 3161 during the planning process in such cases.

B. Hiring Preference for ``Employees Who Participated in Efforts To 
Maintain the Nation's Nuclear Deterrent During the Cold War''

    The Guidance lists several benefits which field organizations 
should consider offering displaced workers, taking into account the 
skills of the workers at the affected site, overall budget constraints, 
contractual provisions, applicable pension and other benefits plans, 
and other legal requirements and obligations. However, the Guidance 
directs field organizations to provide a specific benefit--a hiring 
preference--to employees who participated in efforts to maintain the 
Nation's nuclear deterrent during the Cold War. This class of 
employees, in whom the Department has invested heavily to develop 
skills important to the Nation, is defined as employees who were 
working for a DOE contractor on September 27, 1991, the day the first 
unilateral reduction of the Nation's nuclear weapons stockpile was 
announced, and who have continued to work for DOE since that date, as 
set forth in greater detail in the attached Appendix D of the Guidance, 
which has been revised to correct inadvertent omissions in Appendix G 
as originally distributed on April 5.
    The Guidance provides that employees who participated in efforts to 
maintain the Nation's nuclear deterrent during the Cold War, whose 
employment is terminated involuntarily (except those terminated for 
cause) and who are qualified for the job at the time the work is to 
begin, shall receive preference in any hiring conducted by the DOE and 
its contractors and subcontractors (whose contracts equal or exceed 
$500,000 in value) to fill vacancies, to the extent practicable and 
consistent with veterans' preference, other applicable law, employment 
seniority plans, and other legally binding preferences or practices, as 
set forth in greater detail in Section V.A. of the Guidance.
    Nothing in the Guidance is intended to obligate a contractor to 
hire an employee who is not qualified to perform the work. The 
preference is not applicable in situations where positions become 
available and existing employees are offered a right of first refusal 
to those positions, e.g., where one contractor has replaced another and 
existing employees are offered a right of first refusal to employment 
with the replacement contractor.

C. Retraining for New Missions Including Cleanup

    Section 3161 directs the Department, to the extent practicable, to 
retrain employees for environmental restoration and waste management 
activities at the site of their employment or at other DOE facilities. 
Eligibility for retraining benefits is not limited to employees who 
have been terminated during a work force restructuring.
    The Guidance provides, in the ``General Guidance'' section, that 
early in the planning process, an analysis should be made of the 
facilities' future mission and the work force skills and capabilities 
that will be needed to fulfill that mission. The analysis should 
compare those future requirements with the skills and capabilities of 
current workers at the facility to identify workers who possess 
critical skills that will be needed for the future mission and to 
determine the retraining that will be necessary to provide existing 
employees with these skills.
    Accordingly, the ``Specific Benefits for Consideration'' section 
provides that work force planning should identify training needs and 
provide the training to prepare the existing work force for the DOE's 
new missions (including environmental restoration and waste 
management). Furthermore, this section recommends a standard for 
determining whether retraining of employees for new missions, including 
cleanup, should be considered ``practicable'' under section 3161(c)(3). 
The recommended standard is that the training should be aimed at jobs 
for which (1) vacancies are expected in the near term and (2) training 
of current employees to fill those vacancies can be completed 

[[Page 8596]]
within not more than six months at a cost of not more than $10,000. 
(This training is different from the educational assistance provided 
for separated employees.)

V. Opportunity for Public Comment

    Interested persons are invited to participate in this proceeding by 
submitting data, views, or comments with respect to today's notice.
    Seven copies of written comments should be submitted to the address 
indicated in the ADDRESSES section of this notice. Comments should be 
identified on the outside of the envelope and on the documents 
themselves with the designation ``Contractor Work Force Restructuring 
Guidance.'' In the event any person wishing to provide written comments 
cannot provide 7 copies, alternative arrangements can be made in 
advance with the Department.
    All comments received will be available for public inspection as 
part of the administrative record on file for this matter in the 
Department of Energy Freedom of Information Office Reading Room, IE-
090, Forrestal Building, 1000 Independence Avenue, S.W., Washington, 
D.C. 20585, 202-586-6020, between 9 a.m. and 4 p.m., Monday through 
Friday, except Federal holidays.

    Issued in Washington, D.C. on February 1, 1996.
Robert W. DeGrasse, Jr.,
Director, Office of Worker and Community Transition.

Interim Planning Guidance for Contractor Work Force Restructuring

Table of Contents

I. INTRODUCTION
II. LEGISLATIVE PROVISIONS
III. GENERAL GUIDANCE
    A. Threshold for Plans
    B. Timing of Plans
    C. Work Force Planning
    D. Local Impact Assistance to Communities
    E. Stakeholder Input to Plans
    F. Role of Counsel
    G. The Role of DOE Contractors
    H. Approval of Plans
    I. Plan Updates
    J. Funding for Plans
IV. SPECIFIC BENEFITS FOR CONSIDERATION
    A. Early Retirement
    B. Voluntary Separation Incentives
    C. Educational Assistance for Separated Employees
    D. Relocation Assistance
    E. Retraining for New Missions Including Cleanup
    F. Displaced Workers Medical Benefits
V. MANDATORY BENEFITS
    A. Preference in Hiring
    B. Construction Worker Benefit
VI. ADMINISTRATIVE PROCEDURES
    A. 120-Day Notification
    B. Develop Baseline Data
    C. Analyze Mission Requirements
    D. Identify Positions Excess to Future Requirements
    E. Stakeholder Involvement
    F. Develop Voluntary Separation Program
    G. Plan Approval
    H. Involuntary Separation
    I. Out placement Assistance
    J. Budgeting for Plans
Appendix A
    Office of Worker and Community Transition Contacts
    Work Force Restructuring Field Contacts
Apendix B
    Section 3161 of the National Defense Authorization Act for 
Fiscal Year 1993
    Section 3163 of the National Defense Authorization Act for 
Fiscal Year 1993
Appendix C
    Listing of Defense Nuclear Facilities
Appendix D
    Job Attachment Test
Appendix E
    Example of Form for Establishing Preference in Hiring
Appendix F
    Sample Release for Use in Work Force Restructuring Programs

Interim Planning Guidance for Contractor Work Force Restructuring

I. Introduction

    This planning guidance was prepared by the Department of Energy's 
Office of Worker and Community Transition (the Office) to plan for and 
mitigate the impacts of changes in the Department's contractor work 
force. The Office is directed to assure fair treatment of all 
concerned, while at the same time recognizing the unique conditions at 
each site and in each contract.
    This guidance replaces guidelines issued by the Task Force on 
Worker and Community Transition on March 24, 1994. It is a product of 
the Department's experience over the past 2 years, and an extensive 
process of stakeholder and public involvement in shaping our worker and 
community transition policies. This process included national meetings 
on June 11, 1993, and on November 15 and 16, 1994. Comments were 
solicited from the public on a report, issued by Under Secretary 
Charles B. Curtis on August 24, 1994. Comments were also solicited on 
earlier versions of this guidance issued on April 22, 1993, and March 
24, 1994. Additional stakeholder meetings were held on April 20 and 21, 
and September 13 through 15, 1995.
    This guidance contains revisions and technical corrections to the 
document originally distributed on April 5, 1995. The Office intends to 
revise this interim guidance from time-to-time as warranted, based on 
comments received through notice and publication in the Federal 
Register, and other stakeholder comments and consultation.
    Except where otherwise noted, this guidance is not prescriptive. 
Cognizant field organizations have responsibility for planning work 
force restructuring. The Department's field organizations are in the 
best position to conduct full consultation with affected stakeholders 
on these plans and to understand the unique needs of work force 
restructuring at field facilities. Points-of-contact at each field 
organization are listed in Appendix A.

II. Legislative Provisions

    On April 21, 1993, Secretary of Energy Hazel R. O'Leary created a 
task force ``to coordinate worker and community transition assistance 
as the Department goes through periods of changing priorities.'' In 
large measure, the task force was created to implement section 3161 of 
the National Defense Authorization Act (the Act) for Fiscal Year 1993. 
For reasons of fairness, the Secretary directed that the process set 
forth in section 3161 should be applied to the extent practicable 
wherever work force restructuring takes place in the Department.
    Section 3161 requires the Secretary of Energy to develop a plan for 
restructuring the work force for a defense nuclear facility whenever 
there is a determination that a change in the work force is necessary. 
The plan is to be developed in consultation with local, state, and 
national stakeholders, and submitted to Congress 90 days after notice 
of a planned work force restructuring has been given to the affected 
employees and communities. A work force restructuring plan must be 
updated annually and should include an evaluation of the implementation 
of the plan during the preceding year.
    Section 3161 of the Act provides specific objectives to guide the 
preparation of the plan to minimize worker and community impacts. The 
plan should provide at least 120 days notice to employees and 
communities prior to beginning any involuntary separations. Reductions 
should be accomplished, when possible, through use of retraining, early 
retirement, attrition, and other options that minimize layoffs. To the 
extent practicable, the Department should offer a hiring preference to 
involuntarily separated employees. Employees should, to the extent 
practicable, be retrained for work in environmental restoration and 
waste management. Employees transferred to other Department facilities 
should receive relocation assistance. Terminated employees should be 
assisted in obtaining reemployment assistance, including Out placement 
services, 

[[Page 8597]]
appropriate retraining and education opportunities. The Department 
should provide local impact assistance to affected communities. 
Relevant sections of the Act are available from the sources listed in 
Appendix B.
    Pursuant to section 3163, ``defense nuclear facilities'' for the 
purposes of section 3161 include the following types of facilities 
under the control or jurisdiction of the Secretary of Energy: atomic 
energy defense facilities involving production or utilization of 
special nuclear material; nuclear waste storage or disposal facilities; 
testing and assembly facilities; and atomic weapons research 
facilities. Department of Energy facilities that have been determined 
to be defense nuclear facilities for the purposes of section 3161 are 
listed in Appendix C.

III. General Guidance

    All work force changes, regardless of cause, should be managed by 
the cognizant field organization consistent with the objectives of 
section 3161 of the Act, and DOE Order 3309.1A covering Reductions in 
Contractor Employment.\1\ Each plan should be developed by the field 
organization consistent with budget constraints, contractual provisions 
or other obligations. All aspects of a plan, including the mix and 
level of benefits offered, should be developed in consultation with the 
stakeholders at the affected facility, and other appropriate 
stakeholders to ensure, among other things, the judicious expenditure 
of public funds. The Office encourages field organizations to utilize 
the combination of work force restructuring mechanisms that will most 
effectively accomplish the restructuring objectives.

    \1\ Order 3309.1A is being revised to incorporate the 
requirements of section 3161 of the Act and the organizational 
changes resulting from the creation of the Office of Worker and 
Community Transition.
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A. Threshold for Plans

    Work force restructuring plans should be developed where changes in 
the nature or structure of the work force may affect 100 or more 
employees at a site within a 12-month period. Even when a full plan is 
not required, the objectives of section 3161 should be followed, to the 
extent practicable within available resources. While the objectives of 
section 3161 should be considered in cases of smaller reductions, the 
formal process required by the law is not necessary. Approval from the 
Office and the responsible program and funding office should be 
received before any work force change is implemented.

B. Timing of Plans

    Upon determining that a change in the work force is necessary, the 
appropriate field organization should immediately begin planning for 
the restructuring, and develop a schedule for preparing a work force 
restructuring plan, if required. One of the objectives of the Act is to 
give at least 120 days notice to the employees before involuntary 
layoffs begin. Although a 120-day advance notification may not always 
be possible, every effort should be made to meet or exceed this 
important objective. Field organizations should work with the Office to 
develop a schedule for plan development that meets the needs of the 
site. The work force planning described below should occur on a 
timeline that supports this advanced notification objective, to the 
extent practicable.

C. Work Force Planning

    The Office is developing an integrated process for a work force 
planning system, pursuant to the Secretary's direction. In the interim, 
we will employ the best possible work force planning practices 
available, consistent with the objectives set forth below.
    Developing a baseline assessment of the skills and capabilities of 
the current work force should be the initial step in the work force 
planning process. Field organizations should then consider the future 
missions and budget estimates to project the required work force skills 
needed to achieve the desired outcomes. Strategies should be developed 
for making the transition from the current baseline to the projected 
need, including retraining, voluntary separation incentives, and 
reductions-in-force. Particular attention should be directed to 
ensuring that workers with critical skills are retained.

D. Local Impact Assistance to Communities

    The work force restructuring plan should be developed in 
coordination with, and in support of, the economic development 
objectives of nearby communities. Therefore, local officials and 
institutions involved in mitigating social and economic impacts 
anticipated to be caused by the Department's actions should be 
consulted in development of the plan. The plan should provide 
demographic and skills information about the affected work force, as 
well as other data that could help frame the community's economic 
development challenges and options. It should also discuss benefits, 
such as education and training, that will be provided to eligible 
employees that can augment community-based economic development 
initiatives. Finally, it should address ways the Department can support 
local business creation, expansion, and attraction activities. Separate 
guidance was issued August 24, 1994, on economic development efforts 
that may be supported by the Worker and Community Transition Program. 
Copies of this guidance may be obtained from the Office.

E. Stakeholder Input to Plans

    Consultation with local, State, and national stakeholders, as well 
as State and local Government officials, is an essential element of the 
work force restructuring process. Input should be solicited and given 
consideration at appropriate points throughout the development of plans 
for work force restructuring. When possible, the Office recommends that 
field organizations make this Interim Planning Guidance available to 
their stakeholders in advance of the 120-day notification. This will 
give stakeholders a perspective on the parameters within which plans 
are prepared.

F. Role of Counsel

    Work force restructuring raises many legal issues under a wide 
variety of statutes. Failure to comply with applicable laws can have 
significant consequences for both the Department and its contractors. 
It is therefore essential that counsel be involved in the formation and 
execution of the plans. Failure to present properly structured plans to 
the Office can result in delay and increased cost. Therefore, field 
organizations should include counsel as a member of the planning team.

G. The Role of DOE Contractors

    While the Department may seek the assistance of its contractors in 
developing work force restructuring plans, the plans are Department of 
Energy products. In general, it is the Department's policy to make 
information available to the public that is available to the operating 
contractors and has bearing on the plans, unless such information is 
protected by law or regulation.
    Department contractors are not identified by section 3161 of the 
Act as stakeholders who must be consulted in the preparation of work 
force restructuring plans. The exclusion of these contractors would be 
inappropriate, however, as they may be the principal resource of 
institutional knowledge on many restructuring issues, and may be the 
only source for certain information necessary for 

[[Page 8598]]
preparing a plan. They are the employers of the affected employees and 
are generally the administrators of the pension and other benefit plans 
involved. They are responsible for fulfilling their obligations to 
bargain with the collective-bargaining representatives of their 
employees regarding changes in contracts, pension plans, other 
benefits, and any other mandatory bargaining issues necessitated by the 
restructuring plan, as well as for obtaining any waivers of claims or 
reemployment appropriate in any given situation. However, the 
Department is responsible for developing the plans.

H. Approval of Plans

    By law, the Secretary submits work force restructuring plans to 
Congress, and thus is the official responsible for final approval. 
Involuntary separations should be carried out consistent with DOE Order 
3309.1A, which requires prior notification to Headquarters. All notices 
of involuntary separation that affect more than 100 management and 
operating (M&O) employees at a single site require Secretarial 
approval. Early retirements and other voluntary separations may begin 
before final plan approval, after written approval by the Office, in 
order to reduce the number of involuntary layoffs. Draft plans should 
be submitted to the Office for concurrence prior to their release to 
stakeholders.

I. Plan Updates

    Within a year of a work force restructuring plan's submission to 
Congress, or earlier if events suggest that it would be appropriate, 
the cognizant field organization should submit an update of the plan to 
the Office for the Secretary's approval and submission to Congress. The 
plan update, which is required by law, should evaluate the plan's 
implementation, including the number of workers receiving each benefit 
and the overall cost, and cost per participant of that benefit, 
together with information on retraining of retained employees, and 
subsequent reemployment of displaced workers. These plan updates should 
be provided to the Office for submission to the Congress even when a 
new plan is under development.

J. Funding for Plans

    Limited funds are available for implementing the objectives of 
section 3161 of the Act for defense nuclear facilities, including 
economic development assistance. Funding for work force restructuring 
plans at facilities other than defense nuclear facilities should be 
sought from the program responsible for the activities subject to the 
work force restructuring. Likewise, benefits for workers at defense 
nuclear facilities affected by the changes due to business or 
efficiency decisions should be sought from the appropriation of the 
program making the change. These decisions include initiatives such as 
privatization, commercialization and reductions aimed at achieving 
improved efficiency.
    The allocation of funds to mitigate the impact of restructuring on 
the workers decreases the funds available for continuing program 
responsibilities and economic development. No ``standardized'' 
allocation of funds is contemplated as it is highly unlikely that the 
needs of any two work forces and communities undergoing a restructuring 
would be the same.

IV. Specific Benefits for Consideration

    After work force planning has identified the classifications of 
workers at risk, consideration of specific benefits to mitigate 
involuntary separations should take into account available funding and 
the status of affected employees. In implementing the objectives of 
section 3161 of the Act, the Department recognizes a special 
responsibility to minimize the impact of work force restructuring on 
employees who were employed before September 27, 1991, the day 
President Bush announced the first unilateral reduction of the Nation's 
nuclear weapons stockpile, and the date the Department has chosen as 
the end of the Cold War. Appendix D contains the job attachment test 
that has been developed for determining those employees who 
participated in efforts to maintain the Nation's nuclear deterrent 
during the Cold War.
    In developing a work force restructuring plan, the following 
benefits may be considered for affected workers. If adopted, specific 
offers and conditions should be described in the plan.

A. Early Retirement

    The potential loss of employees with skills critical to achieving 
Departmental missions is a primary consideration in determining the 
appropriateness of early retirement incentives. When early retirement 
incentives are offered, it has generally been the Department's practice 
that the incentives are made available to all eligible employees. It is 
legally permissible to limit benefits by reasonable, objective 
categories such as job classification if such limitations do not give 
rise to unlawful discrimination or disparate impact of any kind. 
Enumeration of employees by name, or criteria having substantially the 
same effect, is not generally considered reasonable, unless the 
employer has utilized written, objective and neutral criteria in the 
selection process. Early retirement incentive programs must be 
consistent with applicable contracts.
    All proposed retirement incentives including lump sum payments, 
additional years of service or reduction in age penalties, should be 
analyzed with respect to the likely candidates to accept, and potential 
effects on critical skills. Employee Retirement Income Security Act 
(ERISA), Age Discrimination In Employment Act (ADEA), and other related 
legal concerns must be considered and resolved early in the process. It 
is essential that proposed early retirement programs receive 
appropriate actuarial validation establishing that they do not result 
in discrimination in favor of highly compensated employees within the 
meaning of the Internal Revenue Code, or in discrimination on the basis 
of any protected category of employees with respect to employment laws 
such as ADEA, Title VII of the Civil Rights Act, and the Americans with 
Disabilities Act.
    Employees receiving an incentive to retire should not receive 
educational assistance or relocation assistance. It is anticipated that 
the value of early retirement incentives will exceed the value of the 
benefits provided to other separating employees. Any lump sum 
incentives paid to retirees in lieu of pension formula enhancements may 
not exceed his or her previous year's salary consistent with Department 
of Energy Acquisition Regulation Part 970.3102-2(1)(6) and Federal 
Acquisition Regulation Part 31.205-6(j)(7).
    The cognizant field organization should adopt as part of its plan 
mechanisms to ensure that individuals accepting an early retirement 
incentive are not inappropriately rehired. Such mechanisms could 
include post-employment restrictions, requiring repayment of the 
incentive, and limiting the number of waivers of any such restrictions 
for critically skilled individuals.

B. Voluntary Separation Incentives

    Voluntary separations may be encouraged by offering severance, or 
enhanced severance payments. Applications for voluntary separation may 
be refused in order to preserve critical knowledge or skills. Those 
volunteering for separation may be offered educational assistance, and 
relocation assistance, and they may 

[[Page 8599]]
receive Displaced Workers Medical Benefits.
    The cognizant field organization should adopt as part of its plan 
mechanisms to ensure that individuals accepting a voluntary separation 
incentive are not inappropriately rehired. Such mechanisms could 
include post-employment restrictions and require repayment of the 
incentive upon rehire. Individuals with critical skills should not be 
offered voluntary separation incentives unless sufficient personnel are 
available to fulfill mission requirements.

C. Educational Assistance for Separated Employees

    Educational assistance should be considered for employees being 
voluntarily or involuntarily separated, except for employees accepting 
early retirement incentives. It is recommended that tuition assistance, 
and other reasonable and necessary educational expenses, be limited to 
not more than a total of $10,000 over a period of not more than 4 
years.

D. Relocation Assistance

    Relocation assistance should be considered for workers being 
terminated and for those voluntarily separating, except for employees 
accepting early retirement incentives. Such assistance should 
particularly be considered for employees involuntarily separated who 
are hired at other Department facilities, but who do not qualify for 
relocation assistance under the hiring contractor's policies. It is 
recommended that relocation assistance include actual and reasonable 
expenses for transportation, movement of household goods, and temporary 
living accommodations within a range of $2,000 to $5,000.

E. Retraining for New Missions Including Cleanup

    Work force planning should identify training needs and provide such 
training to transition the existing work force to new missions as early 
in the process as possible. The Office recommends that all retraining 
for cleanup or other missions meet the following practicability test: 
the training should be aimed at jobs for which vacancies are expected 
in the near term; and the training should be able to be completed 
within a reasonable time-frame in relationship to those vacancies (not 
more than 6 months), and at a reasonable cost (not to exceed $10,000). 
The suggested $10,000 cap includes tuition, course materials and 
related instructional costs, but not trainee salaries.

F. Displaced Workers Medical Benefits

    Displaced Workers Medical Benefits, while not specifically 
mentioned in the objectives of section 3161 of the Act, should be 
offered to all employees of M&O or other prime contractors to the 
Department as an extension of current medical benefits eligibility. 
Department of Energy Acquisition Letter No. 93-4, dated April 7, 1993, 
establishes guidelines for implementing this program. \2\

    \2\ Subsequent to the issuance of Acquisition Letter No. 93-4, 
the Displaced Medical Benefits Program was expanded by memoranda to 
field organizations dated August 12, and December 2, 1993. The 
Department is currently revising Acquisition Letter No. 93-4 based 
on these memorandums. All separating employees of M&O contractors 
who were eligible for medical benefits prior to their separation 
from employment are eligible for continued coverage under the 
Displaced Workers Medical Benefits Program regardless of whether 
they meet the section 3161 job attachment test.
---------------------------------------------------------------------------

    Eligible employees include voluntarily and involuntarily separated 
employees of M&O contractors who are not otherwise eligible for such 
coverage under another program. Under certain circumstances, an 
employee may be able to continue coverage, at the employee's expense, 
for pre-existing medical conditions excluded from coverage under 
another plan for which he or she becomes eligible. Retirees who are 
provided medical coverage through retirement programs or Medicare are 
not eligible for this program.
    During the first year following separation, the contractor will 
continue to pay its portion of the former worker's medical premium, and 
the former employee will pay his or her normal share. During the second 
year, the former employee will pay half of the Consolidated Omnibus 
Budget and Reconciliation Act (COBRA) rate. During the third and 
subsequent years, the former employee will pay the full COBRA rate.

V. Mandatory Benefits

    The benefits described below must be offered to eligible employees:

A. Preference in Hiring

    Section 3161 of the Act provides that, to the extent practicable, 
terminated employees at a defense nuclear facility should receive 
preference in filling vacancies in the work force of the Department of 
Energy and its contractors and subcontractors. The Department has 
determined that employees must be identified as having helped maintain 
the Nation's nuclear deterrent during the Cold War in order to qualify 
for this preference. The preference should be honored by all prime 
contractors, and by subcontractors whose contracts with the Department 
equal or exceed $500,000 in value.
    The Department has established the following criteria for 
determining eligibility for the hiring preference: the individual must 
be a former employee (1) who was involuntarily terminated (except if 
terminated for cause); (2) who meets the eligibility standards in 
Appendix D; and (3) who is qualified for the job at the time the work 
is to begin. Where qualifications are approximately equal, eligible 
individuals will be given preference in hiring. However, the preference 
will be administered consistent with applicable law, regulation, or 
executive order, and collective bargaining agreements. This preference 
is not immediately applicable in situations where positions become 
available through an outsourcing action or follow-on contract in which 
the current employees should first be offered their same or similar job 
with the replacement contractor in order to avoid a layoff.
    An individual's hiring preference continues until termination by 
the action (or inaction) of that individual. Initially, and on an 
annual basis thereafter, eligible individuals must certify their desire 
to retain their hiring preference. The Office has developed a 
Preference in Hiring Eligibility Form for this purpose (Appendix E) 
which eligible individuals should submit to their DOE field 
organization. Actions that would terminate an individual's hiring 
preference include: voluntary termination or termination for cause from 
a position that was obtained through the exercise of the preference, or 
failure to comply with the annual certification requirement.
    The Department developed the Job Opportunity Bulletin Board System 
(JOBBS) to simplify implementation of the hiring preference by eligible 
individuals, and by contractors and subcontractors. Those individuals 
who have applied for and have been determined to be eligible for the 
preference may have their resumes entered into JOBBS where they will be 
specifically identified as job seekers with hiring preference. 
Companies doing new hiring for Department of Energy work should place 
job announcements into JOBBS. Contractors and designated subcontractors 
(those whose DOE contracts equal or exceed $500,000 in value) will be 
instructed by the cognizant field organization to first seek eligible 
workers among those with the hiring preference listed in JOBBS. All 
other subcontractors should be encouraged to use JOBBS when hiring for 
DOE work. Eligible individuals who 

[[Page 8600]]
do not want to enter their resumes into JOBBS are responsible for 
informing potential employers of their preference.
    Each field organization should develop procedures to ensure that 
the hiring preference is being honored by all prime contractors and 
designated subcontractors. The procedures should state that eligible 
individuals have the responsibility to: (1) Apply for the preference by 
submitting the Preference in Hiring Eligibility Form to the DOE field 
organization along with any necessary documentation for verification of 
their eligibility; (2) inform potential employers of their preference 
status; and (3) certify their continuing status through annual 
submission of the Preference in Hiring Eligibility Form. Field 
organization procedures should also describe how JOBBS can be used by 
eligible individuals to help fulfill these responsibilities and to aid 
their search for job openings that should honor the preference. The 
procedures may establish criteria for use by hiring contractors who 
must choose among eligible workers who are equally qualified for the 
same job opening. One example would be assigning a higher priority to 
candidates within commuting distance of the new job. The procedures 
should also describe how potential disputes will be resolved. The 
Office will review the field organization procedures. The procedures 
should be posted where other material of worker interest is normally 
posted, such as employee bulletin boards.
    The Department encourages negotiation to incorporate the hiring 
preference by agreements for division of work and arrangements for 
accommodations of internal union rules that might otherwise be 
obstacles to implementation of flowdown of the hiring preference to 
applicable subcontracts. Field organizations may facilitate 
implementation of the hiring preference by developing subcontract award 
criteria or performance measures and related fee incentives based on 
the hiring preference.

B. Construction Worker Benefit

    Construction wage rates and benefits are structured to take into 
account the intermittent nature of construction work. In recognition of 
this, early plans generally limited benefits for construction workers 
to tuition assistance, outplacement support, preference in hiring and 
relocation assistance. However, it has been noted that many 
construction workers have maintained long-term relationships with the 
Department, and structured their lives around work at our facilities. 
Many of these relationships, which had been expected to continue, have 
been terminated as the general level of construction work declined 
following the end of the Cold War.
    The Department has determined that construction workers who meet 
the job attachment test (Appendix D) may elect to receive a one-time 
benefit. In return for that benefit, these construction workers, like 
other employees, may be required to waive the hiring preference. The 
one-time benefit should be consistent with the employer's established 
separation pay benefit, if applied, but should not exceed 6 weeks at 
base pay rates. The specific amount of this benefit, as well as other 
benefits for construction workers should be defined during the plan 
development and stakeholder consultation process. The Office does not 
suggest that special payments should be made into either pension or 
health and welfare benefits funds for these workers. The Office does 
not view this special benefit as a precedent-setting action for the 
construction industry since this benefit carries out the intent of 
legislation that uniquely applies to the Department of Energy's 
Federal, contractor and subcontractor work force.
    Construction workers who receive the special benefit should be 
restricted from employment at a Department facility for a period not 
less than the period equal to the salary value of the benefit without 
specific approval of the Department or pro rata repayment of this 
benefit.

VI. Administrative Procedures

    This section describes the administrative procedures that should be 
followed in developing a new work force restructuring plan or for 
modifying an existing plan.

A. 120-Day Notification

    Field organizations should notify workers and communities of 
impending work force restructuring at least 120 days prior to making 
any involuntary separations. The cognizant field organization should 
issue a general announcement to all employees, employee 
representatives, and to the community at large that work force changes 
are required at the facility. The draft announcement should be 
coordinated with the Office. We will seek concurrence from 
Congressional, Public, and Intergovernmental Affairs and the 
appropriate program offices. Field organizations should allow at least 
1 week for Headquarters approval of 120-day announcements.
    It is important that the notice emphasize that the estimate of 
employees affected set out in the 120-day notice is a good faith 
estimate based on the information available at the time. The notice is 
the beginning of a downsizing process; this process and the related 
budget issues are necessarily fraught with uncertainties, making it 
difficult to predict the exact number of employees that will be 
affected. It is recognized that a 120-day notification may not be 
practicable under certain extraordinary circumstances; however, as much 
advance notice should be given as possible.

B. Develop Baseline Data

    Field organizations should establish and maintain a baseline 
employment database that categorizes the total number of personnel 
employed on-site by contractor, program funding source and skill mix. 
As a basis for categorizing skills, the Office encourages field 
organizations to utilize the Common Occupational Classification System 
to ensure consistency across the Department. The baseline should also 
contain the number of people employed on a temporary or intermittent 
basis, and by subcontractor or support service contractors. Field 
organizations should provide this information to the Office on a 
quarterly basis. Field organizations are responsible for carrying out 
the data collection and analysis. Once the baseline information is 
established, the Office intends to conduct an independent audit to 
ensure data reliability, as appropriate in particular circumstances.

C. Analyze Mission Requirements

    Field organizations should analyze, and revise as necessary, future 
mission requirements and the work force skills required to carry out 
those missions. Appropriate program offices are responsible for 
defining the parameters of the future missions. New or modified work 
force restructuring plans should include a detailed description of the 
methodology and analysis used to define the work force necessary to 
execute the missions.

D. Identify Positions Excess to Future Requirements

    Based on the current work force, and the work force necessary to 
carry out future missions, the plan should identify the classification 
of employees that should be:
    1. Retained because they possess critical skills;
    2. Retained with little or no retraining;
    3. Retained with appropriate retraining; and
    4. Considered for voluntary separation incentives. 
    
[[Page 8601]]

    The analysis should also identify those job skills that are 
unlikely to be satisfied by existing workers.

E. Stakeholder Involvement

    Early involvement of stakeholders in developing a work force 
restructuring plan is essential to identify and address issues and 
concerns that might impede the implementation of the plan. Stakeholders 
should also be given appropriate opportunity to comment on drafts of 
any new or modified work force restructuring plan as soon as the draft 
plan has been cleared by the Office for release to the public. The 
Office will endeavor to concur on draft plans within 2 weeks of 
submission.
    Stakeholder input may be received at public meetings, or through 
written or oral comments. Comments and suggestions of all stakeholders 
are important and should be considered in developing the final plans 
and incorporated where appropriate. For those comments and suggestions 
not incorporated in the draft plans, a brief explanation of the reason 
for not doing so should be documented. Every effort should be made to 
make the plan approved by the Secretary available to each stakeholder 
who commented on an earlier draft of the plan. A discussion of 
stakeholder involvement should be included as part of each plan.

F. Develop Voluntary Separation Program

    After appropriate work force planning has been completed, field 
organizations should consider voluntary separation incentives to 
facilitate work force transition. Voluntary incentives must be approved 
in writing by the Office. Such approval can be sought, and the 
incentive can be offered, prior to completion of any new or modified 
work force restructuring plan.
    Retirement incentives, accompanied by the appropriate analysis, 
should be presented for approval to the Office. The Office will 
coordinate analysis and evaluation of proposals with the Office of 
Procurement and Assistance Management, the Office of General Counsel, 
and the program office. Employees being offered early retirement or 
voluntary separation incentives must receive sufficiently specific 
information to satisfy ERISA requirements.
    Early retirement incentives will be evaluated for their consistency 
with maintaining critically needed skills and any request should 
include a full justification in conformance with this requirement. 
Field organizations should provide an assessment of the costs and 
benefits of the proposed voluntary incentives, particularly in work 
force transitions designed to increase organizational efficiency. Field 
organizations should plan to provide at least 2 weeks for review by the 
Office and appropriate headquarters organizations.
    Voluntary separation programs should not be offered to employees at 
the same time as early retirement programs, except in special 
circumstances and with prior approval. Voluntary incentive programs 
should be completed prior to any involuntary separations.
    In exchange for the enhanced benefits employees receive in a 
voluntary separation program, it is the Department's policy to obtain 
from employees who separate under such a program a release of claims 
related to their employment and separation. The Department has adopted 
a model form of release, which is provided in Appendix F. Variations 
from the model may be required by state law or other special 
circumstances. However, departures from the model will require 
Department approval, including from the Office of General Counsel.

G. Plan Approval

    The Office will coordinate the appropriate review by other 
Headquarters offices before concurring with plans or approving requests 
to implement voluntary incentive programs. In general, the Office will 
seek review from the affected program office, General Counsel, Field 
Management, and Human Resources and Administration. Field organizations 
should allow 1 month for Secretarial approval of final Work Force 
Restructuring Plans.
    Thirty copies, plus 1 reproducible master, of the final plan should 
be submitted to the Office for subsequent submission by the Secretary 
to the appropriate Congressional committees and delegations from 
affected States. The responsible field organization should also make 
distribution to interested local stakeholders, and to the points-of-
contact at each cognizant field organization. The Office will make 
additional copies, if necessary, from the master for distribution 
within Headquarters and to interested national stakeholders.

H. Involuntary Separation

    In general, involuntary separation notices may not be given until 
after Secretarial approval. The notices should identify the specific 
numbers and job titles to be laid off. Each affected individual should 
be notified of his or her termination. Involuntarily separated 
employees shall be fully advised of any benefits or services for which 
they are eligible. Appropriate labor representatives should be notified 
and letters prepared for local, county and state governments.
    If layoffs are required that fall under the provisions of the 
Worker Adjustment and Retraining Notification Act (WARN), the employers 
must give the affected employees written notice of the layoffs at least 
60 days prior to the date of the intended layoff. Employers may conduct 
the involuntary layoff by providing written notice to the affected 
employees that their termination date will occur 60 days thereafter. 
Compensation will continue during the 60-day period following the 
notice and where appropriate, employees may be excused from some or all 
duties during that period. If, during the 60-day period, an employee 
successfully obtains new employment, the employee must terminate the 
current employment relationship before beginning the new job, at which 
time the remaining salary payments shall cease. If this salary was paid 
in a lump sum, the pro rata share attributable to the period after the 
employee commences the new employment should be repaid. Repayment terms 
should be established within the restructuring plan and explained to 
employees during the exit interview process.
    As a goal, all affected employees should receive their individual 
notification 60 days before layoff. When this is not possible, and the 
work force change is not subject to the provisions of the WARN Act, 
affected workers should receive as much layoff notice as practicable, 
but not less than 14 days. Intermittent workers are terminated when 
their work is completed.

I. Outplacement Assistance

    Field organizations may provide Out placement assistance (including 
training and education) to voluntarily separated employees as soon as 
they exercise that option, and to involuntarily separated employees as 
soon as they are notified. Appropriate outplacement assistance can also 
be made available to employees who may be at risk after the 120-day 
announcement has been made. Out-placement assistance should be planned 
in advance and should be appropriate in light of the number of 
employees expected to need such assistance. Field organizations are 
encouraged to track the employment, education, and insurance status of 
displaced workers for at least 1 year after separation. 

[[Page 8602]]


J. Budgeting for Plans

    Plans must include a budget estimate for each initiative or benefit 
planned for mitigating impacts on workers. Budget estimates should be 
based on a realistic projection of the number of workers who will 
participate in each initiative and reflect the best cost estimates 
available. Estimated incremental costs to pension funds for early 
retirements should be based on actuarial estimates. It is not 
acceptable to request funds based simply on maximum possible 
participation in each initiative or benefit. For planning purposes, an 
average cost of $15,000 to $25,000 per position eliminated is a 
reasonable range for guiding decisions about the range of benefits 
offered. Where work force restructuring is justified by business 
efficiency decisions, the budget estimates should be accompanied by 
savings estimates and the proposed use of those savings. In general, 
funding authorizations will be made following final approval of a plan. 
Funding authorizations for certain initiatives, such as those 
encouraging voluntary separations, may be made earlier.

Appendix A--Office of Worker and Community Transition Contacts

Director:
    Bob DeGrasse--202-586-7550, FAX 586-8403
Deputy Director:
    Terry Freese--202-586-5907, FAX 586-8403
Work Force Restructuring:
    Terry Freese--202-586-5907, FAX 586-8403
    Lew Waters--202-586-4010, FAX 586-8403
Work Force Planning:
    Debby Swichkow--202-586-0876, FAX 586-8403
    Lew Waters--202-586-4010, FAX 586-8403
Labor Relations:
    Lyle Brown--202-586-0431, FAX 586-8403
    Deborah Sullivan--202-586-0452, FAX 586-1540
Community Transition:
    Bob Baney--202-586-3751, FAX 586-1540
    Mike Mescher--202-586-3924, FAX 586-1540
    Debby Swichkow--202-586-0876, FAX 586-8403
Public Participation:
    Laurel Smith--202-586-4091, FAX 586-8403

Work Force Restructuring Field Contacts

Felix Ortiz, Albuquerque Operations Office--505-845-4207, FAX 845-
4715
Elaine Kocolowski, Chicago Operations Office--708-252-2334, FAX 252-
2919
Luella Bennett, Idaho Operations Office--208-526-1913, FAX 526-5969
Bob Agonia, Nevada Operations Office--702-295-1005, FAX 295-1876
Bill Truex, Oak Ridge Operations Office--423-576-0662, FAX 576-6964
Harry Printz, Oakland Operations Office--510-637-1829, FAX 637-2008
Ken Briggs, Ohio Field Office--513-865-4267, FAX 865-4312
Dom Sansotta, Richland Operations Office--509-376-7221, FAX 376-5335
Lenora Lewis, Rocky Flats Field Office--303-966-4263, FAX 966-3321
Dave Hepner, Savannah River Operations Office--803-725-1206, FAX 
725-5968
Gil Gilyard, Savannah River Operations Office--803-725-7645, FAX 
725-7631
Pat Lillard, Kansas City Area Office--816-997-3348, FAX 997-5059
Alan Goetz, Pinellas Area Office--813-541-8114, FAX 541-8370
Gene Gillespie, Portsmouth Site Office--614-897-2001, FAX 897-2982
Jimmie Hodges, Paducah Site Office--502-441-6800, FAX 441-6801

Appendix B--Statement of Availability

    Sections 3161 and 3163 of the National Defense Authorization Act 
for Fiscal Year 1993 (Public Law 102-484, October 23, 1992) are 
available from the Superintendent of Documents, the Government 
Printing Office, the Office of the Federal Register, by contacting 
Laurel Smith from the Office of Worker and Community Transition, 
Department of Energy or on the Office of Worker and Community 
Transition Home Page under ``Documents for Review and Comment.'' 
(http://www.stat-usa.gov/owct.html)

Appendix C--Listing of Defense Nuclear Facilities

    The list below reflects facilities receiving funding for Atomic 
Energy Defense activities of the Department of Energy, with the 
exception of activities under Naval Reactor Propulsion. It is 
recognized that these facilities have varying degrees of defense 
activities, ranging from a total defense dedication to a very small 
portion of their overall activity. This may cause certain 
difficulties in implementing the intent of the section 3161 
legislation. Regardless, this listing will be used by the Office for 
possible application of funding received for defense worker 
assistance and community transition purposes.

Kansas City Plant
Pinellas Plant
Mound Facility
Fernald Environmental Management Project Site
Pantex Plant
Rocky Flats Environmental Technology Site, including the Oxnard 
Facility
Savannah River Site
Los Alamos National Laboratory
Sandia National Laboratory
Argonne National Laboratory
Brookhaven National Laboratory
Lawrence Livermore National Laboratory
Oak Ridge National Laboratory
Nevada Test Site
Y-12 Plant
K-25 Plant
Hanford Site
Idaho National Engineering Laboratory
Waste Isolation Pilot Project
Portsmouth Gaseous Diffusion Plant
Paducah Gaseous Diffusion Plant

Appendix D--Job Attachment Test

    In implementing the objectives of section 3161 of the Act, the 
Department recognizes a special responsibility to minimize the impact 
of work force restructuring on employees who participated in efforts to 
maintain the Nation's nuclear deterrent during the Cold War. September 
27, 1991, the day President Bush announced the first unilateral 
reduction of the Nation's stockpile, has generally been recognized by 
this Department as the end of the Cold War.
    In general, employees who meet the job attachment test discussed 
below should be eligible for most benefits offered in a work force 
restructuring plan. However, the benefits offered at a specific site 
should be tailored to specific conditions, to the demographics of the 
workers at that site, and must be practicable and reasonable with 
respect to budget constraints, contractual provisions, and other 
obligations. Thus, those who meet the job attachment test are not 
likely to be offered exactly the same benefits at all sites.
    To identify employees who helped maintain our nuclear deterrent 
during the Cold War, the criteria listed below should be followed at 
all sites:

A. Regular Employees

    1. Must have been working at a defense nuclear facility on 
September 27, 1991;
    2. Must have worked full-time (or regular part-time) at a facility 
from that date through the date of the 120-day notification; and
    3. Must accept a voluntary separation incentive or have been 
involuntarily separated.

B. Intermittent Workers, Including Construction Workers

    1. Must have worked at a defense nuclear facility on or before 
September 27, 1991;
    2. Must have worked at a facility within 180 days preceding the 
work force restructuring notification;
    3. Must have worked at a facility a total time, including time 
worked prior to September 27, 1991, equivalent to an employee having 
worked full-time from September 27, 1991 to the date of the 120-day 
notification, or have actually worked the industry standard of full-
time from September 27, 1991 through the date of the 120-day 
notification; and
    4. Must have been affected by the announced restructuring within a 
reasonable period of time (1 year is suggested). For an intermittent 
worker, 

[[Page 8603]]
this includes the interruption of a project before its anticipated 
completion, or the completion of the assignment or project without 
prospect for a follow-on assignment at the site where the employee had 
a reasonable expectation of a follow-on assignment.

Appendix E--Example of Form for Establishing Preference in Hiring

Statement of Interest in Maintaining Section 3161 Employment 
Eligibility

Name: ----------------------------------------------------------------
First    Middle    Last
Social Security Number: ______-____-______
Address: -------------------------------------------------------------
Street

----------------------------------------------------------------------
Apartment No.

----------------------------------------------------------------------
City    State    Zip
Telephone No. (______) ______-______
Date of Lay-off resulting from Work Force Restructuring: 
________________ (Month/Day/Year)

Occupational Classifications held: -----------------------------------
----------------------------------------------------------------------
----------------------------------------------------------------------

    I hereby request that my name be placed, or retained, on the 
Section 3161 Preference in Hiring List for the (site name) and be 
considered for any job opportunities that may arise for which I am 
qualified at this or any other Department of Energy site. I also 
certify that I have not been terminated for cause from employment by 
a Department of Energy Contractor or Subcontractor while performing 
work at a Department of Energy site.

----------------------------------------------------------------------
Signature

----------------------------------------------------------------------

Date
----------------------------------------------------------------------

Appendix F--Sample Release for Use in Work Force Restructuring 
Programs

Voluntary Separation Payment Program General Release and Waiver

    This Voluntary Separation Payment Program, General Release and 
Waiver (``Agreement'') is entered into by and between ____________ 
(``Employee'') and ____________ (``Employer''), as part of 
Employee's voluntary election to terminate employment with the 
Employer.

    In Exchange for the Promises Set Forth Below, the Parties Agree 
as Follows:
    1. Employee voluntarily terminates his/her employment with 
Employer effective ____________, 1995. Employee agrees not to seek 
employment with or become employed at the ____________ Site by the 
Employer or any other future or current contractor or subcontractor 
at the Site for a period of ________ year(s) from the date of 
Employee's resignation. This includes but is not limited to 
temporary employment service contracts, general task order 
assignments, indefinite quantity contracts, basic ordering 
agreements, and consultant contracts. However, this does not 
preclude Employee from employment with a company providing supplies, 
equipment, materials, or commodities to the Site under a fixed-price 
contract or purchase order.
    2. Employee agrees that the Employer has no obligation to 
reemploy Employee in the future, and Employee waives any recall, 
rehire, or rehire preference rights, such as those that may arise 
under Section 3161 of the National Defense Authorization Act for 
Fiscal 1993. Employee agrees to perform all steps required by 
Employer's policies and procedures at the separation of his/her 
employment.
    3. Except as set forth in paragraph 4 below, Employee, on behalf 
of himself/herself and any person or entity entitled to sue on 
Employee's behalf, waives and releases Employer, its parents, 
subsidiaries, and affiliates, the Department of Energy, and their 
employees, officers, directors, shareholders, agents, and successors 
from any causes of action or claims, whether known or unknown, that 
arise out of the Employee's resignation and separation of employment 
with Employer and any causes of action or claims that arise out of 
Employee's employment with Employer, up to and including the date of 
Employee's resignation, under any federal, state or local law, 
including but not limited to the Age Discrimination in Employment 
Act, the Older Workers Benefit Protection Act of 1990, Title VII of 
the 1964 Civil Rights Act, the Equal Pay Act, the Family and Medical 
Leave Act, the Employee Retirement Income Security Act, and the 
Americans with Disabilities Act, or applicable state or local law. 
Employee will not assert any claim or cause of action released under 
this agreement in any administrative or judicial proceeding.
    However, Employee does not waive:
    (i) Any causes of action or claims that arise out of Employee's 
employment with Employer, up to and including the date of Employee's 
resignation, that have been asserted in writing and filed with the 
appropriate agency or court prior to the date on which this Program 
was announced,\1\
    (ii) Any rights or claims that may arise after the date this 
Agreement is executed,
    (iii) Any claims relating to pension or retiree health benefits 
that currently may be accrued under the Company's standard 
retirement program,
    (iv) Any claims under any applicable state worker's compensation 
laws, or
    (v) Any claims for occupational injuries or illnesses arising 
from Employee's employment with Employer that are not known or 
reasonably knowable by the Employee at the time of the execution of 
this Agreement.
    5. In exchange for Employees' voluntary separation and execution 
of this Agreement, Employer will give Employee the consideration and 
benefits outlined in the description attached to this Agreement. The 
identification number or other designation for the document 
describing the benefits constituting consideration for this 
Agreement should be inserted at this point.\2\
    6. If Employee becomes employed as prohibited in paragraph 1 or 
otherwise violates any provision of this Agreement, then, in 
addition to any other remedies Employer has under this Agreement, 
Employer may require Employee to repay payments or other benefits 
under this Agreement, and Employee agrees to such repayment.
    7. Employee has been advised to consider this Agreement and to 
consult with an attorney of his/her choice, and Employee has had the 
opportunity to do so. Employee has had the right to consider this 
Agreement for a period of at least forty-five (45) days prior to 
entering into this Agreement. Employee has the right to revoke this 
Agreement for a period of seven (7) days following execution of this 
Agreement by giving written notice to the local Human Resources 
representative. If Employee revokes the Agreement, it shall not be 
effective and enforceable and Employee will not receive any of the 
benefits described in paragraph 5. Employee has read and understands 
the terms and contents of this Agreement, and Employee freely, 
voluntarily, and without coercion enters into this Agreement and 
agrees to be bound by its terms.
    8. This Agreement constitutes the entire understanding and 
agreement of Employee and Employer and can only be modified in 
writing agreed to by both parties.
    9. Employee has received all of the information required to be 
disclosed in these circumstances under the Age Discrimination in 
Employment Act regarding who is covered by the Program, the 
eligibility factors, the time limits of the Program, the ages and 
job titles of everyone eligible for the Program, and the ages of 
ineligible employees in the same job classification or 
organizational unit.

    Please Read This Agreement Carefully. It Contains a Release of 
Known and Unknown \3\ Claims as Described in Paragraph 3, Above, 
Subject To The Limitations Expressly Set Forth in Paragraph 4.

    Agreed to:

----------------------------------------------------------------------
Employee/date

----------------------------------------------------------------------
{Employer}/date

    Notes:

    1. The issuing organization should insert at this point a 
specific date on which the Separation Program involved was first 
announced. In determining this date, the issuing organization should 
consider the specificity of information provided to the public in 
work force restructuring plans issued pursuant to section 3161, as 
well as the announcement of the individual separation program 
involved.
    2. When this Agreement is used in association with early 
retirement programs, the following language should be added here: 
``Employer reserves the right to provide equivalent benefits in 
another form in the unlikely event that any aspect of the Program is 
improper under law.''
    3. Counsel should check to be sure that this aspect of the Model 
Release fully comports with applicable state or local law.

[FR Doc. 96-4401 Filed 3-04-96; 8:45 am]
BILLING CODE 6450-01-P