While the DoD industry has been light on layoffs this past year compared to others, the coming fiscal year could be another story. As we approach budget season, the reality is that a continuing resolution would be a welcome relief over a shutdown. But as programs are assessed and option years are scrutinized, some contracts could be on the chopping block. While national security experienced some immunity from layoff news, plans to move out of Afghanistan impact contractors, and changing priorities trickle down the pipeline. When leaders constantly respond to budget drills, programs become numbers, and unfortunately, the people behind everything aren’t always seen. It’s important to consider the personnel behind all the talks about resource decisions. Job instability and layoffs cause stress for people, so respond clearly and compassionately when layoffs are unavoidable. Explaining the numbers and the reasoning behind the decisions can also help connect the logic to the decision with the emotional response. Treating employees well, regardless of status in the company, will speak volumes to your current staff and earn trust.
Layoffs Impacting the Cleared Industry
|OPW Engineered Systems||OPW Engineered Systems is closing its doors in Lebanon, OH, resulting in a job loss for over 100 employees.
“It is currently anticipated that all of the affected employees will be terminated from their employment by this time,” James Anderson, OPW human resources director wrote. “The company does not have a bumping system, meaning that more senior employees will not be able to displace less senior employees as a result of this plant closure. However, employees will have the opportunity to apply for openings with Knappco, LLC,” in Hamilton.
Hiring impacting the Cleared Industry
|Peraton||Peraton just landed an indefinite-delivery/indefinite-quantity (IDIQ) contract with the U.S. Air Force. The contract is worth up to $360 million over an 18-year period. Peraton will continue its work conducting software analysis and testing for the Minuteman III ICBM System, leveraging digital simulators and emulators it has developed to allow for testing. Work on the contract will be performed in Layton, Utah and El Segundo, California.
“For more than 45 years, Peraton has proudly partnered with the U.S. Air Force and Department of Defense to support the Minuteman III systems,” said Tom Afferton, President, Cyber Mission sector. “Our team’s strong system knowledge and deep experience in static and dynamic code analysis and software testing allows us to deliver best-in-class capabilities to the Air Force.”
Cleared Employer at Work: CACI
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Opportunity to Watch
As the Army says goodbye to legacy training systems like I-MILES, they say hello to new 3D training to take the place of the older system that simulated firing capabilities and vulnerabilities of dismounted troops, tactical vehicles and combat vehicles. Maj. Gen. Maria Gervais, director of the synthetic training environment cross-functional team under Army Futures Command says, “We have been directed to focus on our direct fire — so think force-on-force — and replace our MILES capability.”
As the DoD stays steady on spending on integrating gaming in training efforts, the video game industry continues to struggle with layoffs and instability. While profits are high in the video game industry, job security isn’t guaranteed. Mass layoffs and studio closures plague the industry, making it common for gaming employees to be job hoppers. As DoD contractors look for simulation and training talent as military training makes technology leaps, recruiting gaming candidates who are craving more stability will be a key strategy. As more servicemembers join with higher levels of prior gaming experience, the training environments need to keep pace with visuals and capabilities.