Foreign Employment. Officers who are on Terminal Leave, have retired from the Public Health Service, or are on inactive reserve, are still considered to hold a commission in the Corps and must, therefore, seek prior approval through Office of Commission Corps Operations (OCCO) for foreign employment. Officers may work for a foreign government while on Terminal Leave, if they have consulted with OCCO and received prior approval which includes official approval from DHHS and the State Department. Officers should seek OCCO's or their Agency's Ethics Coordinator's advice when seeking employment with private companies doing business in foreign countries.
Personal Services Contracts (PSCs) (3). It is recommended that retired officers submit PSCs to DPM for review before starting the activity. Active duty officers cannot accept Federal employment or be on a PSC as a consultant. Officers on Terminal Leave cannot accept PSCs or positions funded by DHHS grants. Retired officers who accept a PSC may be subject to dual compensation offset. The offset does not apply to independent contractors.
The difference between a Personal Services Contract and an independent contractor is that, pursuant to 48 CFR 37.104, Personal Services Contracts are presumed to create an employer-employee relationship. Basically, these are contracts where individuals are contracted to perform duties normally performed by Civil Service employees, such as providing nursing services or pharmacy services. The supervision and equipment are provided by the Government. Thus, each contract has to be evaluated to determine which category applies.