Executive branch employees’ experience and expertise may make them excellent candidates for private sector employment. If an executive branch employee is seeking post-Government employment and the employee’s Government work offers the opportunity to benefit a potential employer, the public may be concerned that the employee will do that work in a way that favors the prospective employer. After leaving Government, a former executive branch employee could make unfair use of prior Government employment to influence Government action on behalf of another person or organization. Therefore, there are several statutes and regulations governing the types of activities that current and former government employees may have while seeking non-Government employment and after leaving Government service.
Seeking Non-Governmental Employment
A Federal criminal statute, 18 U.S.C § 208, prohibits a Federal employee from participating in any particular matter that will affect the financial interests of a prospective employer with which the employee is negotiating prospective employment, or with which the employee has an agreement for future employment. A Government-wide Standards of Ethical Conduct regulation, 5.C.F.R. part 2635, Subpart F, broadens the prohibition to those employees seeking employment. On April 4, 2012, President Obama signed into law the Stop Trading on Congressional Knowledge Act of 2012 (the STOCK Act), which requires employees who file a public financial disclosure form (OGE-278) to notify the Ethics and Appeals Law Division within three days of commencing negotiations or an agreement for employment.
A Federal criminal statute, 18 U.S.C. § 207, prohibits a former executive branch employee from participating in a number of actions after leaving government service. The following are a few of the frequent prohibitions, though there are others that may be applicable in certain circumstances.