36% of IRS new hires delayed by tech and security clearance issues

TL/DR –

The IRS brought on nearly 53,000 new employees in fiscal years 2022 and 2023, but about 36%, or nearly 19,000, of the hires were delayed due to workload constraints, miscommunication, and issues with the IRS’ hiring management system. The Treasury Inspector General for Tax Administration (TIGTA) found that HR specialists took an average of 44 days, 29 more than the target, to review external applications, and officials who select candidates spent an average of 28 days, 13 more than the goal, to return their selections to the IRS Human Capital Office. TIGTA recommended that the IRS improve training, communication, and coordination in the hiring process, develop updated hiring reference materials, alert applicants to fingerprinting deadlines, and request additional automation enhancements for its hiring management system from the Office of Personnel Management.

IRS Employs Over 53,000 New Workers with 2022 Inflation Reduction Act Funding

The IRS employed nearly 53,000 new personnel in fiscal years 2022 and 2023, thanks to funding from the 2022 Inflation Reduction Act. Approximately 64% (33,800) of these new hires were completed within the IRS’s 80-day hiring goal. However, a Treasury Inspector General for Tax Administration (TIGTA) analysis revealed that the remaining 36% (about 19,000) experienced delays due to workload constraints, miscommunication, security check holdups, and limitations in the IRS’ hiring management system.

Delays in IRS Hiring Process Risk Wasting Resources

TIGTA’s report highlighted that hiring delays could lead to resource wastage if potential employees chose alternative job opportunities. HR specialists spent an average of 44 days—29 more than the target—to scrutinize external applications. Hiring officials also took an additional 13 days beyond the goal to return their selections to the IRS Human Capital Office, citing inadequate training as a principal reason for the delay.

Obsolete Reference Materials and Security Checks Delay IRS Hiring

Many IRS reference materials, including the hiring manual that hasn’t been updated since fiscal 2010, were found to be outdated. Additionally, the majority of the new hires, whose hiring process exceeded 80 days, took an average of 40 days—four times the target—to complete security checks. TIGTA found that fingerprinting applicants posed significant delays.

Shortcomings in IRS Hiring Management System

The IRS hiring management system also presented challenges, with HR personnel having to manually input substantial amounts of data. The lack of unique identifiers made it difficult to distinguish between candidates with similar names.

Recommendations for IRS

TIGTA recommended the IRS to:

• Create a plan to enhance training, communication, and coordination between hiring representatives and HR specialists to minimize delays.
• Revamp reference materials on hiring.
• Notify applicants about upcoming fingerprinting process deadlines.
• Request the Office of Personnel Management for automation enhancements to its hiring management system.

Concurring with all recommendations, the IRS stated it has already initiated steps to implement them. By the end of fiscal 2023, the IRS workforce numbered approximately 89,800, an increase from about 80,200 in fiscal 2020 but still less than the 94,300 employees on its rolls in fiscal 2010.

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