DOD’s Benefits Reflect Demographic Changes in the Active Force

The active duty force has undergone several demographic changes since  the end of the draft and the advent of an all-volunteer force in 1973. Congress and DOD Have Responded Positively to Demographic Changes

Congress and DOD have responded positively to the growth in the  proportion of service members with family obligations by authorizing and  implementing a number of family-friendly benefits. Research has shown  that family satisfaction with military life can influence a service member’s  decision whether to remain in the military. Opportunities Exist to Further Improve Benefits

Although a number of family-friendly benefits are available to active duty  service members, opportunities exist to improve current benefits in this  area that could aid in the retention of military personnel. Most important, DOD offers all four of the core benefits that are offered by  most private-sector firms. These benefits are retirement, health care, life  insurance, and paid time off. We  did not make direct analytical comparisons between individual benefits  offered by the military and those offered by the private sector to assess  whether military benefits are more or less lucrative than those offered by  private-sector employers. The active duty force has undergone several demographic changes since  the military became an all-volunteer force in 1973.
What GAO Found

The Department of Defense (DOD) uses employee benefits--that is, indirect compensation above and beyond a service member's basic pay--as a tool to recruit and retain personnel. DOD has instituted a number of benefits that reflect demographic changes in the active duty force since the draft ended and the military became an all-volunteer force in 1973. Many of these benefits address one of the most significant demographic changes--an increase in service members with family obligations. A second major demographic change in the active military has been a growing proportion of female service members. DOD has responded positively to most demographic changes by incorporating a number of family-friendly benefits; however, opportunities exist to improve current benefits in this area. In comparing the types of benefits offered by the military with those offered in the private sector, GAO did not identify significant gaps in the benefits available to military personnel. GAO did not make direct comparisons between individual military and private-sector benefits but did determine that all the core benefits offered by most private-sector firms--retirement pay, health care, life insurance, and paid time off--are offered by the military.