{"id":31355,"date":"2024-06-04T16:48:55","date_gmt":"2024-06-04T16:48:55","guid":{"rendered":"https:\/\/staging.sightlinemg.com\/federaltimes\/uncategorized\/2024\/06\/04\/no-firings-planned-after-va-executive-bonus-mistakes-secretary-says\/"},"modified":"2026-08-08T16:24:09","modified_gmt":"2026-08-08T16:24:09","slug":"no-firings-planned-after-va-executive-bonus-mistakes-secretary-says","status":"publish","type":"post","link":"https:\/\/staging.sightlinemg.com\/federaltimes\/management\/2024\/06\/04\/no-firings-planned-after-va-executive-bonus-mistakes-secretary-says\/","title":{"rendered":"No firings planned after VA executive bonus mistakes, secretary says"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.federaltimes.com\/veterans\/2024\/05\/31\/va-chief-to-address-bonus-scandal-next-week-at-house-hearing\/\" target=\"_blank\">Veterans Affairs Secretary Denis McDonough<\/a> on Tuesday acknowledged \u201ca series of massive mistakes\u201d in the improper awarding of <a href=\"https:\/\/www.militarytimes.com\/veterans\/2023\/09\/22\/va-to-recoup-nearly-10-million-in-mistaken-bonuses-to-senior-staffers\/\" target=\"_blank\">about $11 million of incentive bonuses to senior department officials<\/a> last year but told lawmakers he still has confidence in his leadership team to make up for the errors and reform agency processes.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Republican lawmakers questioned whether <a href=\"https:\/\/www.militarytimes.com\/news\/pentagon-congress\/2024\/05\/22\/gop-senators-demand-firings-of-senior-staff-after-va-bonus-mistakes\/\" target=\"_blank\">some senior leaders should be fired<\/a> because of the scandal, which they said has undermined public faith in the department.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cUltimately, the responsibility for this failure falls on your shoulders,\u201d <a href=\"https:\/\/www.federaltimes.com\/management\/2024\/01\/11\/house-panel-seeks-va-documents-on-sexual-harassment-accusations\/\" target=\"_blank\">House Veterans\u2019 Affairs Committee Chairman Mike Bost<\/a>, R-Ill., told the secretary at a hearing on the issue Tuesday. \u201cAnd if leaders below you fail, and are not held accountable, you must be held to account.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The contested bonuses were part of the $117 million Critical Skill Incentive Payments program authorized by Congress two years ago. Money from that fund has been given to more than 13,000 staffers with high-demand skills in an effort to keep them in VA hospitals and benefits offices.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/staging.sightlinemg.com\/militarytimes\/news\/pentagon-congress\/2024\/05\/22\/gop-senators-demand-firings-of-senior-staff-after-va-bonus-mistakes\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"169\" src=\"https:\/\/staging.sightlinemg.com\/wp-content\/uploads\/2026\/08\/GettyImages-1327342315__1_.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">GOP senators demand firings of senior staff after VA bonus mistakes<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">Twelve GOP senators want senior VA leaders dismissed for mistakes made regarding executive bonuses last year.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">But at least 182 senior employees who were not eligible for the awards also received payouts through the program. All of the bonuses were more than $30,000, and several were given more than $100,000.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.vaoig.gov\/reports\/administrative-investigation\/va-improperly-awarded-108-million-incentives-central-office\" target=\"_blank\">VA Inspector General Michael Missal<\/a> testified on Tuesday that the mistakes stemmed from several senior leaders \u2014 particularly Under Secretary for Health Shereef Elnahal and Under Secretary for Benefits Joshua Jacobs \u2014 misinterpreting the law, either through ignorance or intentionally skirting it to hand out generous cash rewards to senior officials.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cOur work found lapses in governance, judgment, due diligence, communications and accountability at multiple levels in VA,\u201d he said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Missal told lawmakers he \u201cwould not have confidence\u201d in Elnahal or Jacobs based on their handling of the bonus issues. Republican lawmakers decried the mistakes as unforgivable, especially given that the money was intended to retain front-line employees instead of bureaucrats.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe administration decided that pushing paper in Washington, D.C. was a critical skill to VA\u2019s mission that was worthy of a maximum bonus,\u201d Bost said. \u201cDon\u2019t be fooled, this money could have been spent on hardworking VA employees, outside the beltway, who might\u2019ve used it to send their son or daughter to college, not to buy a new Porsche.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Rep. Derrick Van Orden, R-Wisc., said during the hearing that Elnahal, McDonough and President Joe Biden should all resign over the issue.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Missal\u2019s report largely absolves McDonough of blame in the bonus mistakes. VA leaders have been working to recoup the improper bonuses for several months. About 92% of the money has been recovered, the secretary said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">McDonough noted in his testimony that his office reported the error to lawmakers last fall shortly after he was made aware of the internal problem, illustrating that there was not an intent to hide information from oversight officials.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">And committee Democrats attributed the mistakes \u2014 which they also labeled as serious and concerning \u2014 to a misunderstanding of the law and a lack of proper review procedures within the department. They called for reforms to the department\u2019s oversight system regarding bonuses, but did not call for firings related to mistakes.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But Republican lawmakers were angry that their request to hear directly from Elnahal and Jacobs was superseded by McDonough\u2019s decision to testify on Tuesday, vowing that those leaders will soon face harsh questioning on Capitol Hill.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">McDonough said he opted to testify instead of allowing them to appear because of the seriousness of the issue, and to explain broader efforts to correct the errors. He promised a response to the inspector general\u2019s recommendations in the near future.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">He also said some of the senior executives may still be eligible for other bonuses in the future, but they will not be awarded in batch or through the critical skills program.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Both the inspector general and committee leaders also promised continued focus on the issue in coming months.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>VA Secretary Denis McDonough acknowledged serious mistakes in how executive bonuses were awarded last year but does not think firings are 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