Tech workforce at VA reduced by 12% as funding for IT is diverted towards other priorities
## Department of Veterans Affairs Announces IT Workforce Reorganization Plan
The Department of Veterans Affairs (VA) has unveiled a comprehensive reorganization plan for its Office of Information and Technology (OIT), aiming to streamline operations, eliminate redundancies, and focus on critical IT functions.
### Budget and Staffing Adjustments
The VA has requested a budget of $7.3 billion for IT systems for the fiscal year 2026, marking a decrease of nearly $300 million compared to current spending levels. The department also plans to reshape its OIT workforce, with a focus on maintaining around 7,000 full-time employees—a decrease of about 11.7% from current levels.
This reorganization is part of a broader VA workforce reduction strategy, which aims to cut the overall workforce by approximately 30,000 employees by the end of fiscal year 2025.
### Voluntary Separations and Retirements
Nearly 1,200 employees within the VA's OIT have accepted voluntary separation incentives and are expected to leave the department by the end of this year. Out of these departures, 78% are retirement-eligible, raising concerns about the loss of institutional knowledge and technical expertise.
### Focus on Critical IT Functions
The VA's acting assistant secretary for information and technology, Eddie Pool, emphasized a "mission-first approach" to ensure maximum value for veterans. The reorganization is designed to simplify the organizational structure, cut bureaucratic overhead, and focus resources on delivering secure, reliable, and modern IT solutions in critical areas such as cybersecurity and artificial intelligence.
### Addressing Waste and Redundancies
Subcommittee Chairman Tom Barrett applauded the VA for pursuing a "smarter, not bigger" IT budget and addressing waste by identifying unused or duplicative software licenses. The VA is also requesting more flexibility in how it spends appropriated funds, including changes in appropriation language to eliminate "rigid statutory subaccounts" and authorize a three-year availability for IT funds.
### Concerns and Challenges
The Government Accountability Office (GAO) has expressed concerns, including a review that found the VA OIT's strategic workforce plan was incomplete. There are also concerns from frontline workers and unions about the potential impact on veteran care due to staffing reductions.
In response to these concerns, VA OIT officials have stated that they are repurposing over $89 million of their budget for other department priorities and plan to shift another $100 million as part of a "strategic reinvestment." The focus is on delivering real outcomes with the new electronic health record and spending funds on areas that provide maximum value to the veteran community.
Carol Harris, GAO's director of IT and cybersecurity, stressed the importance of having a complete picture of the current and future workforce needs for any reform effort. The GAO has previously reported that the VA hasn't yet conducted an inventory of skills and competencies for its cybersecurity workforce.
The reorganization of positions within VA OIT is designed to cut bureaucratic overhead, accelerate decision-making, and focus every OIT position on delivering secure, reliable, and modern IT solutions to improve veterans' lives. As the VA moves forward with this reorganization, it will be crucial to address concerns, ensure a smooth transition, and maintain a focus on delivering high-quality IT services to veterans.
- To address waste and streamline operations, the VA plans to eliminate duplicative software licenses as part of its technology reorganization, focusing on delivering secure, reliable, and modern IT solutions, particularly in critical areas such as cybersecurity and artificial intelligence.
- The reorganization of the Department of Veterans Affairs Office of Information and Technology (OIT) includes a focus on critical IT functions, aiming to simplify the organizational structure, cut bureaucratic overhead, and invest in technology solutions that provide maximum value to the veteran community, such as the new electronic health record system.