The US is advancing a fiscal 2027 defense policy bill that expands the Department of Defense’s ability to recruit cyber talent while restricting civilian workforce reductions and increasing oversight of layoffs.
The proposal, submitted by the Senate Armed Services Committee, would optimize movement between the Cyber Excepted Service and the competitive service, addressing barriers that currently force some cyber employees to reapply as external candidates.
It also shortens the cyber workforce probationary period from three to two years to streamline the process with other federal systems while boosting “morale” and accelerating hiring of “highly qualified candidates.”
Protecting Civilian Workforce
Another large part of the bill is a series of measures to curb civilian workforce cuts, prohibiting the use of fiscal 2027 funds for hiring freezes, delays, or reductions in personnel at public shipyards and organizations funded through working capital funds.
These measures center on greater oversight by requiring the Pentagon to notify Congress at least 45 days before any workforce reduction affecting more than 50 full-time employees.
The legislation also directs a five-year pilot program to offer bonuses and incentives to high-performing civilian supervisors and managers, capped at 250 positions, and expands authority to level defense industrial base wages with private-sector pay.
Additional changes would require the Pentagon to disclose telework and remote work eligibility in job postings and encourage flexibility to support military spouses.
The provisions follow a significant drop in the civilian workforce, including a decline of approximately 10 percent recorded between January 2025 and January 2026, as well as reductions planned across multiple components in recent years.
