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That depends on what the job position is, what the IG report says, and how long it takes before the IG report is issued. The rules for federal government hiring differ depending on the level of the job. For example, candidates for a senior executive service (SES) position go through a different process than, say, a unionized postal clerk. If you want to challenge the decision, you have only a limited time to do it. Waiting for the IG report may be too late. My experience as a former federal government manager is that IG reports are typically not very fast to come out. 


It may help to understand that for many positions in the federal government your test scores, performance appraisals, etc., are used to determine the top three candidates for the job, and that's done more or less strictly by the numbers. When you get to the final three and go to the interview process, all three people start fresh and the interview panel selects the person whom they believe to be the best choice, and that doesn't have to be the person who had the highest objective test score or performance rating. The panel can use other criteria, too, in making the selection. Indeed, that's the purpose of the interviews — to get to know the person behind the numbers. If the rules required always hiring the person with the best test scores or performance ratings then that interview process would not be needed; it would just be a waste of everyone's time.


In general, for jobs using the process I described above, unless you can prove the panel made its choice based on illegal criteria like race or religion you're not going to have a great shot at overturning the decision. Having had a friendly relationship with the interviewer(s) before the hiring process is not illegal. And it is human nature to pick people you know and trust will do the job well over someone you don't know much at all, regardless of their objective scores.


If you think you may have reason to challenge the hiring process for this job, I suggest you look for an attorney who handles civil service matters for federal employees NOW. Do not wait for the IG report. By then it may be too late even if you have a good case. 


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