Nuclear Power: Actions Needed to Improve NRC’s Assessment of Its Workforce Needs

Executive Summary

The GAO report highlights a critical workforce shortfall at the U.S. Nuclear Regulatory Commission (NRC) that directly affects firms operating in the Nuclear Energy, Engineering Services, Environmental Consulting, Regulatory Compliance, Technical Services, and Workforce Development segments. From July 2024 through June 2026, the NRC experienced a net loss of about 500 staff (mostly voluntary retirements). Congress enacted the Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy Act of 2024 (ADVANCE Act) in July 2024, giving NRC three enhanced authorities (direct hire, compensation flexibility, and hiring/performance bonuses). Between July 2024 and July 2026 NRC used only the bonus authority (awarding $335,000 to 18 staff) and has not yet used the other two authorities while it completes a workforce evaluation and delays finalizing its strategic workforce planning tool until the first quarter of fiscal year 2027.

Contractors should pay attention now because reduced NRC staffing and delays in workforce planning can affect licensing throughput, inspection cadence, and timing for new reactor and related project approvals—areas that drive demand across the listed market segments. The ADVANCE Act authorities create potential levers for NRC capacity recovery, but NRC has not established metrics to assess the authorities’ effectiveness. That combination — near-term capacity constraints with potential mid-term policy tools not yet fully deployed or measured — creates both risk (project timing, regulatory uncertainty) and opportunity (supplemental services, workforce solutions, compliance support) for contractors prepared to respond.

Impact Matrix

Nuclear Energy

• Risk Level: Critical
• Opportunity: Greater demand for services that accommodate licensing and oversight slowdowns (e.g., project schedule risk mitigation, supplemental regulatory support). Specific opportunities TBD pending solicitation language. Relevant NAICS codes (from Tags): 221113, 237990, 541330, 541620, 541690, 541715, 541990.
• Timeline: NRC lost ~500 staff July 2024–June 2026; ADVANCE Act enacted July 2024; workforce planning tool finalization now planned for Q1 FY2027.
• Action Required: Assess pipeline risk for active and planned nuclear projects; build flexible staffing models and contingency plans for licensing/inspection delays; track NRC workforce-tool finalization and ADVANCE Act implementation updates.
• Competitive Edge: Develop offerings that reduce dependency on NRC turnaround times (e.g., pre-packaged regulatory deliverables, modular environmental or engineering analyses), and document experience managing schedule risk under constrained regulator capacity.

Engineering Services

• Risk Level: High
• Opportunity: Demand for engineering support that can bridge gaps while NRC processes and staffing stabilize (e.g., supplemental technical assessments, design review assistance). Specific opportunities TBD pending solicitation language. Relevant NAICS codes (from Tags): 541330, 541715, 541690.
• Timeline: NRC staffing losses July 2024–June 2026; workforce planning tool finalization Q1 FY2027.
• Action Required: Position teams to offer short-term augmentation and project acceleration services; reinforce credentials that align with NRC expectations; monitor NRC use of ADVANCE Act authorities for signals of changing priorities.
• Competitive Edge: Maintain ready-to-deploy, security-cleared technical teams and rapid onboarding processes to fill temporary capability gaps for licensees or for NRC-directed needs.

Environmental Consulting

• Risk Level: High
• Opportunity: Increased need for environmental analyses and permitting support if NRC licensing processes slow or backlog grows; opportunity to offer end-to-end environmental packages that streamline client interactions with NRC. Specific opportunities TBD pending solicitation language. Relevant NAICS codes (from Tags): 541620, 541330, 541690.
• Timeline: NRC staffing losses July 2024–June 2026; workforce planning tool finalization Q1 FY2027.
• Action Required: Strengthen capacity for environmental permitting and risk communications; offer solutions that anticipate longer regulatory lead times; watch for shifts in inspection/oversight schedules.
• Competitive Edge: Combine technical environmental capabilities with regulatory navigation services to reduce client time-to-compliance under constrained NRC review capacity.

Regulatory Compliance

• Risk Level: Critical
• Opportunity: Advisory, compliance-readiness, and remediation services to help licensees manage interactions with a thinner NRC workforce and evolving NRC authorities (ADVANCE Act). Specific opportunities TBD pending solicitation language. Relevant compliance surfaces (from Tags): 10 CFR Part 73, 10 CFR Part 26, Nuclear Security. Relevant NAICS codes (from Tags): 541620, 541990, 541690.
• Timeline: NRC staffing losses July 2024–June 2026; workforce planning tool finalization Q1 FY2027.
• Action Required: Prioritize services that ensure clients remain inspection-ready and compliant; prepare to advise on security- and fitness-for-duty-related processes tied to 10 CFR obligations; monitor NRC metric development for ADVANCE Act effectiveness.
• Competitive Edge: Offer measurable compliance outcomes and audit-ready documentation that reduce regulator time per review and demonstrate risk reduction under 10 CFR regimes.

Technical Services

• Risk Level: High
• Opportunity: Provide technical analyses, inspection support, and IT/tooling that can help NRC and licensees operate more efficiently while staffing is constrained. Specific opportunities TBD pending solicitation language. Relevant NAICS codes (from Tags): 541330, 541690, 541715.
• Timeline: NRC staffing losses July 2024–June 2026; workforce planning tool finalization Q1 FY2027.
• Action Required: Invest in scalable technical service offerings and automation that reduce manual burden; position to support NRC workstreams if direct-hire and compensation flexibilities are used in the future.
• Competitive Edge: Demonstrate tools and processes that compress review cycles (analytics, standardized reporting) and document how they can integrate with NRC workflows.

Workforce Development

• Risk Level: High
• Opportunity: Support for workforce evaluation, inventorying, training, and recruitment solutions for NRC or licensees. ADVANCE Act authorities suggest a policy environment receptive to new staffing models, though NRC has delayed full implementation. Specific opportunities TBD pending solicitation language. Relevant NAICS codes (from Tags): 541990, 541330, 541620.
• Timeline: NRC staffing losses July 2024–June 2026; workforce planning tool finalization Q1 FY2027.
• Action Required: Prepare staffing pipeline programs, training curricula, and rapid-redeployment options; offer frameworks for metrics and evaluation to help NRC or licensees measure effectiveness of workforce authorities.
• Competitive Edge: Propose measurable workforce-development pilots that align to NRC’s planned strategic workforce tool and can demonstrate quick wins in recruitment/retention.

Cross-Segment Implications

• NRC workforce reductions create a chokepoint that cascades across Nuclear Energy development, Engineering Services, Environmental Consulting, and Technical Services: slower licensing or inspection throughput can delay project milestones that sustain demand in those segments.
• Regulatory Compliance workload may increase in complexity and importance as both NRC and licensees adapt to staff constraints and new hiring/compensation authorities; compliance-focused firms can act as force multipliers to reduce regulator burden.
• Workforce Development providers have an outsized role: effective, measurable staffing solutions could accelerate NRC capacity recovery (once the strategic workforce tool is finalized) and thereby restore normal cadence across the other segments. Conversely, delays in NRC workforce planning (tool finalization now planned for Q1 FY2027) prolong uncertainty for project timelines and contractor staffing strategies.
• Compliance surfaces identified (10 CFR Part 73, 10 CFR Part 26, Nuclear Security) remain central cross-cutting requirements—contractors that can reduce regulatory friction under these regimes will be better positioned while NRC capacity is constrained.