DCW enables the U.S. Immigration and Customs Enforcement (ICE) to reemploy Federal Employee Retirement Service (FERS) and Civil Service Retirement System (CSRS) annuitants on a temporary or term, time-limited basis without a reduction in salary while continuing to receive their full annuity. Reemployed annuitants serve at the will of the appointing official.
NOTE: Reemployed annuitants with a DCW receive their full basic annuity and full salary; however, the FERS annuity supplement and Social Security benefits may be reduced based on the individual’s salary from work (discussed below).
Yes, appointments will be for a full-time work schedule for Term Appointments. Term appointments are for a period of more than 1 year but not more than 4 years. ICE may extend appointments made for more than 1 year but less than 4 years up to the 4-year limit in increments determined by the mission need.
Reemployed annuitants under this authority will be covered by FICA (Social Security and Medicare) only and cannot contribute to CSRS or FERS.
Reemployment under this authority is excluded from the CSRS and FERS retirement provisions. The service as a reemployed annuitant with a dual compensation waiver does not count towards a supplemental or redetermined annuity or allow a military service deposit.
The FERS annuity supplement will be reduced when the annuitant earns more than the Social Security exempt amount of earnings in the preceding year. The annuity supplement is reduced by $1.00 for every $2.00 of earnings over the minimum level ($23,400 for 2025). It is possible that the annuity supplement benefit could reduce to $0. More information is available at the OPM website and in OPM publication RI 90-8, Information for FERS Annuitants – Information for Individuals Who Have Retired Under FERS.
Reemployed annuitants under this authority are not eligible to contribute to TSP.
Social Security beneficiaries who are younger than the full retirement may have their Social Security benefits reduced due to earnings from work. NOTE: Different rules apply if the annuitant receives Social Security disability benefits or Supplemental Security Income payments. More information is available at the Social Security Administration (SSA) website and in SSA publication How Work Affects Your Benefits.
Federal Employees’ Health Benefits (FEHB)
If not already enrolled as an annuitant, the reemployed annuitant is eligible for FEHB coverage as an employee when:
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They are expected to work 130 hours per month (or more) for at least 90 days (5 CFR 890.102(j) and BAL 14-210) or
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The temporary appointment follows (with a break in service of no more than 3 days) an appointment in which the employee was enrolled in FEHB (5 CFR 890.303(b)) or
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Appointment to a term of greater than 1 year (i.e., 13 months or more)
Federal Employees’ Dental and Vision Insurance Program (FEDVIP)
Coverage as an annuitant would continue, if enrolled, or the reemployed annuitant may enroll during open season.
Federal Employees’ Group Life Insurance (FEGLI)
Coverage as an annuitant would continue, if enrolled, or if FEGLI eligible then Basic + Options A + C are suspended, with an option to maintain or elect Option B.
The amount of sick leave that can be recredited is based on the employee’s separation date and whether the employee received credit for the unused sick leave in the computation of their annuity.
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CSRS Retirees (any date) & FERS Retirees on/after January 1, 2014 – Unused sick leave was used in the computation of annuity benefits and is not recredited upon reemployment.
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FERS retirees with a CSRS component – An annuitant who elected to transfer from CSRS to FERS during their employment has part of their annuity computed under the CSRS rules (known as a CSRS component). The retiree receives credit under the CSRS rules for the lesser of: 1) the amount of unused sick leave on the effective date of the transfer to FERS, or 2) the amount of unused sick leave at the time of retirement. Any sick leave used in the computation of annuity benefits is not recredited upon employment.
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FERS retirement effective before October 27, 2009 – During this period, unused sick leave was not used in the computation of FERS annuities. Exclude any sick leave that was credited in the computation of the CSRS component (if applicable, discussed above) and recredit the remaining unused sick leave.
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FERS Retirement Effective between October 28, 2009 and December 31, 2013 – During this period, 50% of the retirees unused sick leave was used in the computation of FERS annuities. Exclude any sick leave that was credited in the computation of the CSRS component (if applicable, discussed above) and recredit 50% of the remaining unused sick leave.
The service computation date will include all prior creditable service. Regular leave accrual rates apply based on length of service.
In calculating a lump-sum payment for unused annual leave at the time of retirement, an agency projects forward an employee's annual leave for all the workdays the employee would have worked if he or she had remained in Federal service. If an employee is reemployed in the Federal service prior to the expiration of the period of annual leave (i.e., the lump-sum leave period), he or she must refund the portion of the lump-sum payment that represents the period between the date of reemployment and the expiration of the lump-sum period. The employing agency re-credits to the employee’s leave account the amount of annual leave equal to the days or hours of work remaining between the date of reemployment and the expiration of the lump-sum leave period.
