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Naval Shipyards: Management of Borrowed Labor Can Be Enhanced by Stronger Internal Controls

NSIAD-87-188 Published: Sep 23, 1987. Publicly Released: Oct 28, 1987.
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Highlights

In response to a congressional request, GAO reviewed naval shipyards' use of borrowed labor to determine: (1) the extent to which shipyards borrowed from one another; (2) whether the shipyards prepared adequate documentation to justify borrowing; and (3) whether internal controls concerning guidance and oversight of borrowed labor were adequate.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of the Navy The Secretary of the Navy should direct the Commander, Naval Sea Systems Command, to issue guidance on how naval shipyards should relieve temporary labor shortages at the least cost to the government, setting out: (1) criteria for using various labor resources, including borrowing labor; (2) documentation requirements, including cost comparisons, justifying their use; and (3) data collection and reporting requirements.
Closed – Implemented
Based on this recommendation, the Navy, on August 24, 1988, reissued NAVSEA Instruction 12460.1A, which sets forth the policy and procedures regarding the borrowing and loaning of personnel between naval shipyards to meet temporary skill shortages.

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Topics

Cost analysisInternal controlsLabor costsLabor forceNaval personnelReporting requirementsShipyardsTemporary employmentMilitary forcesNaval shipyard