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Military compensation has the dual role of recompensing members for their service and assisting the services in meeting their readiness objectives, including attracting and retaining personnel; motivating effort; inducing members to sort to the ranks, positions, and jobs for which they are best suited; and eventually separating personnel at the end of their career. Drawing on a large body of research, this RAND Arroyo Center report, part of a series on a common theme, describes the role of military compensation as a strategic human resource tool. The author also reviews how well compensation works in this capacity and how it could be improved. Specifically, the report examines issues related to the level and growth of military pay, the structure of the basic pay table, the role of special and incentive pays, and the structure of the military retirement system, especially the new Blended Retirement System. Key recommendations include reevaluating the pay-adjustment mechanism; considering increasing performance incentives embedded in the pay table; improving the setting of special and incentive pays to increase pay flexibility, efficiency, and performance incentives; ensuring that the continuation pay under the Blended Retirement System is set appropriately for officers; increasing the efficiency of the retirement system by reforming the accrual charge system; and recognizing that changes to legislation to improve officer management flexibility should also consider whether and how military compensation should change.

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The emergence of coronavirus disease 2019 (COVID-19) and the accompanying statewide shutdowns altered traditional models of recruiting and retaining military personnel. The dramatic increase in the unemployment rate and the restrictions on in-person interactions could have changed individuals' incentives to join or remain in the military. In this report, researchers provide an exploratory and descriptive analysis of the changes in military enlisted recruiting and retention during the first six months of the COVID-19 pandemic. The analysis covers changes in end strength, enlisted accessions, enlisted retention, the number of enlistment contracts, and the quality of recruits in each month of fiscal year (FY) 2020 relative to those of previous years. The analysis also covers changes in military personnel policies made during the COVID-19 pandemic. The authors find that end strength and retention increased in each service except for the Marine Corps, accessions decreased in each service except for the Navy, enlistment contracts decreased in each service, and the quality of recruits increased in each service except for the Navy. Changes primarily occurred between March and June 2020. The results suggest that the services primarily focused on retention in order to meet their end strength goals during the COVID-19 pandemic.

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While the effects of immigration on the receiving country have received a great deal of attention, less has been paid to its affects on the sending country. The available data suggest that, on net, emigration has a positive effect on the sending country. For example, by decreasing the labor pool in the sending country, emigration helps to alleviate unemployment and increase the incomes of the remaining workers. Also, emigres often send money home, enhancing their families' standards of living and thereby contributing both to the home economy and the nations' trade balance. Most emigres are young, male, and married, however, so there can be a destabilizing effect on the family. Some countries have attempted to restrict immigration, in the belief that it does not enhance economic development. However, the evidence suggests that, because of the benefits noted above, this might result in an even greater economic decline than such countries fear.

Emigration and immigration --- Economic aspects --- Case studies. --- United States --- Europe

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Unlike many large employers, the U.S. military does not offer flexible spending account (FSA) options to members of the armed services and their families. Contributions to either a health care FSA (HCFSA) and/or dependent care FSA (DCFSA) reduce the amount of income subject to income and payroll taxes, thereby reducing the individual's tax liability. FSAs interact with other tax incentives in the U.S. tax code, potentially reducing or even eliminating the potential tax savings to individuals participating in an FSA. For service members to take advantage of an FSA, they must have eligible dependent care and medical expenses for themselves or their family members. For example, in the case of health care, most members would have few or no eligible out-of-pocket medical care costs associated with TRICARE. This report presents an analysis - requested by the Office of the Secretary of Defense as input for Congress - on the implications of FSA options for active-duty service members and their families that would allow pre-tax payment of dependent care expenses, insurance premiums, and out-of-pocket medical expenses. The authors evaluate the benefits and costs of FSA options to active members and the U.S. Department of Defense (DoD), and present an implementation plan should FSA options be implemented by DoD. They also identified legislative or administrative barriers to these options.

Soldiers --- Medical care --- Costs. --- United States --- Armed Forces --- Pay, allowances, etc.

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Mexico has undertaken reforms in recent years to professionalize its police. This report draws on the literature on corruption and personnel incentives and analyzes police reform in Mexico. It addresses the roots of corruption and the tools that could be used to mitigate it and provides an initial assessment of the reforms' effectiveness. The results suggest some progress, though police corruption still remains high and more work is needed.

Police -- Government policy -- Mexico. --- Police -- Mexico -- Personnel management. --- Police administration -- Mexico. --- Police corruption -- Mexico. --- Police --- Police administration --- Police corruption --- Social Welfare & Social Work --- Social Sciences --- Criminology, Penology & Juvenile Delinquency --- Personnel management --- Government policy --- Personnel management. --- Cops --- Gendarmes --- Law enforcement officers --- Officers, Law enforcement --- Officers, Police --- Police forces --- Police officers --- Police service --- Policemen --- Policing --- Police management --- Legal status, laws, etc. --- Corrupt practices --- Administration --- Management --- Criminal justice, Administration of --- Criminal justice personnel --- Peace officers --- Public safety --- Security systems --- Corruption --- Police misconduct