How Displaced Federal Employees Can Transition to the Private Sector

If you’re a former federal employee looking to pivot to a company or organization, you may already have the skills and experience to succeed in a private-sector role.

This year has posed significant challenges for federal employees, with many agencies seeing their funding slashed and mass layoffs hitting the branch. Whether directly affected by these changes or navigating the broader uncertainty and stress they’ve created, some federal employees may be considering a major transition: pivoting to the private sector.  

It’s certainly a change of pace for federal workers to make this kind of job shift, but it’s definitely possible — and for many, it will absolutely be the right career move. USC Online spoke with two human resources experts from USC Bovard College to learn more about how federal employees can transition to the private sector. 

How is the private sector different from federal work? 

Federal work differs significantly from the private sector not only in its mission-driven focus on public service rather than profit, but also in the structure, culture and pace of work. The distinctions go beyond end goals and shape nearly every aspect of the professional experience. 

“One difference that immediately strikes me is pace,” said Robin Elledge, a faculty member in the online Master of Science in Human Resource Management (MSHRM) program. “The private sector moves much faster. They have a higher tolerance for risk and rapid decision making, and there’s often a greater emphasis on metrics, innovation and competition, whereas federal roles have historically been more focused on process and stability, long-term impact and procedures.” 

Federal employees who make the switch will also find their managers and bosses to have different leadership attitudes, which also changes the day-to-day. 

“Leadership in the private sector tends to be more entrepreneurial, so leaders are expected to pivot quickly, and if your risk doesn’t pay off, they continue to innovate. This means it’s very results-focused, unlike the federal space, where leadership is hierarchical, and there are often protocols to follow as well a focus on procedure,” Elledge explained. 

What are the biggest challenges for federal employees pivoting into the private sector? 

Although federal employees possess a wide range of transferable skills well-suited for the private sector, they may encounter specific challenges during the transition, many of which stem directly from the structural and cultural differences between the two sectors. 

“There may be concerns around the pace of work. ‘Are these federal employees able to be agile and adjust to this change of pace?’” Jamie Latiano Jacobs, an MSHRM faculty member, told USC Online. “So, I think you need to dive deep and think about, what kind of work do you enjoy and will be successful in? Then make sure that you’re aligning with the kind of company that matches that for you.” 

For example, Jacobs pointed out that a fast-growing tech startup may not be the best place for a federal employee, where the emphasis is on speed and innovation. Instead, they may find themselves happier at a “more mature, stable organization.”  

Others may find themselves struggling to adapt to an entirely different kind of mission, Elledge said. 

“One obvious change that may be tough to navigate is the emphasis on profit. Private organizations really focus on metrics and the outcomes that they’re trying to achieve — even nonprofits have that. Meanwhile, federal workers have many impressive accomplishments, but they often frame their accomplishments differently in terms of compliance, policy implementation or maintaining system stability as opposed to business impact,” she said. 

Still, it’s possible to reframe those accomplishments in a way that will impress a private sector employee. It all comes down to phrasing. 

“Everybody has a story to tell. They just need to rethink their stories in terms of how their accomplishments can be framed differently to focus on business impact and their ability to influence and lead change in a fast-paced environment,” she suggested. 

How can federal employees secure a job in the private sector? 

Despite the significant shift it can represent, many federal employees are increasingly interested in transitioning to the private sector. A critical first step in making that move is crafting a resume that effectively translates government experience into language that resonates with private-sector employers (since federal terminology and priorities don’t always align with those in corporate settings). 

In fact, updating your resume to “articulate your transferable skills” is one of the most challenging but crucial parts of this process, said Jacobs. You may have to look elsewhere for help, and Jacobs points people to career coaches, resume builders, LinkedIn and alumni networks to help them craft the perfect resume.  

Both Elledge and Jacobs recommend focusing on quantifiable achievements in your resume — such as reducing the length of a process by a specific percentage — and incorporating industry-specific language to demonstrate familiarity with the company and its priorities. It’s also important to highlight your top transferable skills. Think project management, leadership, communications, budgeting, tech know-how, compliance and more. 

If you’re worried your resume isn’t strong enough, you can always consider upskilling, whether through a short-term credential like an online certificate or a more comprehensive path, such as completing a master’s degree program. 

Once you’ve updated your resume, it’s all about networking beyond your federal worker circle. Go to industry events, reach out to fellow alumni from your university, check LinkedIn and focus on making connections, all of which will boost your chances of landing your dream role.

Do you need to go back to school if you’re a federal employee who wants to work in the private sector? 

You don’t necessarily need to return to school to enter the private sector. Many of your skills are likely transferable, and experience goes a long way. That said, there are compelling reasons to consider pursuing a graduate degree before making a career transition. 

“I’m a believer that life is all about learning, and so I think the more you have a mindset toward lifelong learning, the better. … Plus, if we want to stay competitive in the job market, we have to keep learning,” advised Elledge. “So, I think it’s always a good idea to seek out learning, whether that’s going back to school, starting a certificate program, or some other methodology, whatever the person’s preference is.” 

Plus, she pointed out, returning to school is a great way to explain any gaps in your resume, as interviewers will be more impressed by someone taking the time to enhance their skills. 

It’s also a smart move, said Jacobs, if you’d like to break into an entirely new field altogether. 

“For employees who need education to create a baseline knowledge in order to make a dramatic shift, then going back to school is important,” Jacobs said. “Plus, education is always something that can increase confidence and knowledge in order to move into new areas.” 

However, she emphasized that graduate school won’t be the right path for everyone, especially if you already have the skills and experience to succeed in a private-sector role. 

It’s important to take time for self-reflection: What kind of company do you want to work for? What kind of responsibilities? What kind of skills do you have already, and what would you need to learn? Answering these questions can help you determine whether pursuing additional education would truly support your goals at this stage. 

Access more career advice from USC Online today.