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Department of Defense INSTRUCTION NUMBER 1332.32 December 27, 2006 USD(P&R) SUBJECT: Selective Early Retirement of Officers on an Active Duty List and the Reserve Active Status List and Selective Early Removal of Officers from the Reserve Active Status List References: (a) DoD Directive 1332.32, "Selective Early Retirement of Regular Commissioned Officers on the Active Duty List," September 30, 1996 (hereby canceled) (b) Deputy Secretary of Defense Memorandum, DoD Directives Review Phase II, July 13, 2005 (c) DoD Directive 5124.02, Under Secretary of Defense for Personnel and Readiness (USD(P&R)), February 11, 2006 (d) Title 10, United States Code 1. REISSUANCE AND PURPOSE This Instruction: 1.1. Reissues Reference (a) as a DoD Instruction according to the guidance in Reference (b) and the authority in Reference (c). 1.2. Implements sections 581, 638, 638a, 14704, and 14705 of Reference (d) to update policies for: 1.2.1. The selective early retirement of commissioned officers and warrant officers from the Active Duty List. 1.2.2. The selective early removal of commissioned officers from the Reserve Active Status List. 1.2.3. The selective early retirement of officers in the Naval Reserve, serving in an active status, in the grade of rear admiral (lower half) or rear admiral and officers in the Marine Corps Reserve, serving in an active status, in the grade of brigadier general or major general.

2. APPLICABILITY AND SCOPE This Instruction applies to: 2.1. The Office of the Secretary of Defense and the Military Departments. The term "Military Services," as used herein, refers to the Army, the Navy, the Air Force, and the Marine Corps. 2.2. Chief Warrant Officers on the Warrant Officer Active Duty List, Regular officers on the Active Duty List in the permanent grades of lieutenant colonel through major general in the Army, the Air Force, and the Marine Corps, and of commander through rear admiral in the Navy who may be considered for selective early retirement by a selection board convened under section 573 (a) or 611(b) of Reference (d), and flag and general officers of the Navy and Marine Corps who are on the Reserve Active Status List who may be considered for selective early retirement by a selection board convened under section 14101(b) of Reference (d). 2.3. Reserve commissioned officers on the Reserve Active Status List in any grade and competitive category who have at least 30 years of service computed under section 14706 of Reference (d) or at least 20 years of satisfactory service for retirement purposes computed under section 12732 of Reference (d) and who may be considered for selective early removal from the Reserve Active Status List by a selection board convened under section 14101(b) of Reference (d). 3. DEFINITIONS Terms used in this Instruction are defined in Enclosure 1. 4. POLICY It is DoD policy that: 4.1. Selection Guidelines. The authority to select warrant officers above the grade of warrant officer, W-1; commissioned officers who are serving in the grades of lieutenant colonel and colonel in the Army, the Air Force, and the Marine Corps; commander and captain in the Navy; and, Reserve commissioned officers covered in paragraphs 2.2. and 2.3.; for early retirement or early removal from active status shall be used sparingly. Early retirement or early removal from the Active Duty List, Warrant Officer Active Duty List, or Reserve Active Status List shall be used as a means of managing an officer grade imbalance or strength overage in a competitive category. It may not be used for only enhancing promotion opportunity; nor may it be used as a substitute for the disposition of commissioned officers who otherwise would be processed for separation for cause under Chapters 59, 60, or 1411 of Reference (d). 2

4.2. Selection Boards. Selection boards to consider warrant or commissioned officers for early retirement or early removal from active status, in accordance with sections 581, 638, 638a, 14704, or 14705 of Reference (d), may be convened by the Secretary of the Military Department concerned, as circumstances warrant, to accommodate Military Service needs. Separate boards shall be convened as appropriate, for each grade, or grade and competitive category. For the U.S. Army National Guard and the Air National Guard, selective early removal from active status shall provide for due consideration of the constitutional prerogatives of the States. 4.3. Centralized Selection. To ensure fairness in the selection process, a central board, as determined appropriate by the Secretary of the Military Department concerned, shall be convened to consider all warrant officers in the same grade or grade and competitive category, or commissioned officers, in the same grade and competitive category, whose names fall on the Warrant Officer Active Duty List or Active Duty List between and including the most junior and senior warrant or commissioned officers on the applicable list, as determined by the Secretary of the Military Department concerned. Officers on the Reserve Active Status List shall be considered for early removal from that list in accordance with section 14704(a) of Reference (d). 4.4. Information Furnished to a Selection Board. The Secretaries of the Military Departments shall issue written instructions to boards. The written instructions, information, or guidance furnished to a selection board may not be modified, withdrawn, or supplemented after that board submits its report to the Secretary of the Military Department concerned under sections 581, 638, 638a, 14704, or 14705 of Reference (d). The Secretary of the Military Department concerned shall furnish the selection board with all necessary information. Such information is exempt from formal approval and shall include, as a minimum, those things outlined in Enclosure 2. 5. RESPONSIBILITIES 5.1. The Under Secretary of Defense for Personnel and Readiness (USD(P&R)) shall establish and oversee policies involving selective early retirement of officers. 5.2. The Secretaries of the Military Departments shall: 5.2.1. Convene selection boards to consider warrant or commissioned officers for early retirement or early removal from active status, in accordance with sections 581, 638, 638a, 14704, or 14705 of Reference (d), as circumstances warrant, to accommodate Military Service needs. 5.2.2. Shall issue written instructions to the boards and furnish the selection board with all necessary information as outlined in subparagraph 4.4. 5.2.3. Recommend policy changes to this issuance to the USD(P&R). 3

6. EFFECTIVE DATE This Instruction is effective immediately. Enclosures - 2 E1. Definitions E2. Information Furnished to a Selection Board by the Secretary of the Military Department 4

E1. ENCLOSURE 1 DEFINITIONS E1.1. Active Duty List. A single list for the Army, the Navy, the Air Force, or the Marine Corps required to be maintained under section 620 of Reference (d) that contains the names of all officers of that Military Service other than officers described in section 641 of Reference (d) who are serving on active duty. E1.2. Commissioned Officer. An officer in any of the Military Services who holds a grade and office under a commission signed by the President, and who is appointed as a Regular or Reserve officer. It does not include a commissioned warrant officer or a retired commissioned officer. E1.3. Competitive Category. A separate promotion category established by the Secretary of a Military Department under section 621 or 14005 of Reference (d) for specific groups of officers whose specialized education, training, or experience, and often relatively narrow utilization, make separate career management desirable. E1.4. Reserve Active Status List. A single list for the Army, the Navy, the Air Force, or the Marine Corps, required to be maintained under section 14002 of Reference (d), that contains the names of all officers of that Armed Force, except warrant officers (including commissioned warrant officers) who are in an active status in a Reserve component of the Army, the Navy, the Air Force, or the Marine Corps and are not on an Active Duty List. E1.5. Selection Board. A board of commissioned officers convened under section 611(b) or 14101(b) of Reference (d) to evaluate and recommend officers on the Active Duty List or Reserve Active Status List for selective early retirement or selective early removal from active status earlier than their mandatory dates, as established under sections 633, 634, 635, 636, 14704, and 14705 of Reference (d). E1.6. Warrant Officer Active Duty List. A single list for each Service concerned that is required to be maintained under section 574 of Reference (d) and that contains the names of all warrant officers of that Military Service (other than warrant officers described in section 582 of Reference (d)) who are serving on active duty. 5 ENCLOSURE 1

E2. ENCLOSURE 2 INFORMATION FURNISHED TO A SELECTION BOARD BY THE SECRETARY OF THE MILITARY DEPARTMENT E2.1. These Guidelines ensure the consideration of all eligible officers without prejudice or partiality. E2.2. The names of all the officers (last name, first, middle initial) on the Warrant Officer Active Duty List, Active Duty List, or Reserve Active Status List whom the board shall consider. That list shall, as appropriate, include each officer on the Warrant Officer Active Duty List or the Active Duty List in the same grade, or same grade and competitive category, whose position is between, and including that of, the most junior and the most senior officers in that grade and competitive category to be considered by the board. The names of officers on the Reserve Active Status List to be considered shall include those in the same grade and competitive category whose position is between, and including that of, the most junior and the most senior officer in that grade and competitive category who meet the amount of service requirement in section 14704(a) of Reference (d). E2.3. The maximum number of officers that the board may recommend for early retirement or early removal in each competitive category. E2.4. The pertinent records, as determined by the Secretary of the Military Department concerned, of each officer whose name is furnished to the board. E2.5. The list of officers on the Warrant Officer Active Duty List or the Active Duty List shall not include an officer in that grade and competitive category who has been approved for voluntary retirement under sections 3911, 6323, or 8911 of Reference (d), or who is to be involuntarily retired under any provision of law during the fiscal year in which the selection board is convened or during the following fiscal year. 6 ENCLOSURE 2