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Audit Report: IG-0765

May 18, 2007

Voluntary Separation Program at the Idaho Cleanup Project

On May 1, 2005, CH2M Washington Group Idaho, LLC (CWI), assumed responsibility for the management and operation of the Department of Energy's (Department) environmental reniediation project at the Idaho National Laboratory site. In its contract proposal, CWI included a strategy for workforce restructuring to optimize employment levels and obtain the proper skills mix to safely address the project's objectives. The Department approved a two-phased restructuring approach, permitting CWI to separate up to 700 employees by offering a voluntary separation program in January 2006; and, if necessary, an involuntary separation program in March 2007. As a result of this initiative, 291 CWI employees were separated voluntarily at a cost to the Department of $14 million.