[Federal Register Volume 62, Number 124 (Friday, June 27, 1997)]
[Notices]
[Pages 34906-34932]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-16849]
[[Page 34905]]
_______________________________________________________________________
Part V
Office of Personnel Management
_______________________________________________________________________
Science and Technology Reinvention Laboratory Personnel Demonstration
Project at the Aviation Research, Development, and Engineering Center
(AVRDEC); Notice
Federal Register / Vol. 62, No. 124 / Friday, June 27, 1997 /
Notices
[[Page 34906]]
OFFICE OF PERSONNEL MANAGEMENT
Science and Technology Reinvention Laboratory Personnel
Demonstration Project at the Aviation Research, Development, and
Engineering Center (AVRDEC)
AGENCY: Office of Personnel Management.
ACTION: Notice of approval of demonstration project final plan.
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SUMMARY: The National Defense Authorization Act for fiscal year 1995
(Pub. L. 103-337) authorizes the Secretary of Defense, with Office of
Personnel Management (OPM) approval, to conduct a Personnel
Demonstration Project at Department of Defense (DoD) laboratories
designated as Science and Technology Reinvention Laboratories. The
legislation requires that most requirements of Section 4703 of Title 5
shall apply to the Demonstration Project. Section 4703 requires OPM to
publish the project plan in the Federal Register.
DATE: This Demonstration project may be implemented by the AVRDEC
September 28, 1997.
FOR FURTHER INFORMATION CONTACT:
AVRDEC: James A. Ray, Deputy Director for Engineering, Commander, U.S.
Army Aviation and Troop Command, Attn: AMSAT-R-E, Federal Center, 4300
Goodfellow Boulevard, St. Louis, Missouri 63120-1798, 314 263-1100.
OPM: Fidelma A. Donahue, U.S. Office of Personnel Management, 1900 E.
Street, NW, Room 7460, Washington, D.C. 20415, 202-606-1138.
SUPPLEMENTARY INFORMATION:
1. Overview
Two letters and one E-mail were received and a total of eleven
individuals commented on the Federal Register notice at the three
Public Hearings. These comments brought several new perspectives to the
attention of those responsible for implementing, overseeing, and
evaluating the project. The comments highlighted instances of
miscommunication and misunderstanding with the present system as well
as the project interventions. Further, they underscored the importance
of providing training to employees and supervisors on the Demonstration
Project. The substance of all comments received has been conveyed to
the Executive Director, AVRDEC. A summary of all comments received,
along with accompanying responses, is provided below.
Because the AVRDEC demonstration project has been closely modeled
on the MRDEC demonstration project and both projects will be operating
in tandem at Redstone Arsenal, changes made to the MRDEC demonstration
project, as a result of comments received, will, to the maximum extent
feasible, be reflected in the AVRDEC demonstration project.
A. Competitive Area
Comments: There was one comment in this area that expressed concern
over the revised Reduction-in-Force (RIF) procedures that limit a
competitive area to occupational families in all geographic areas. The
concern was that the reduced number of employees in a particular
occupational family will result in smaller competitive levels and may
lead to more separations from that occupational family if a RIF occurs
within the AVRDEC. (Note that MRDEC demonstration proposal received
seventy-three comments in this area.)
Response: The project designers proposed this intervention as a
means of minimizing the severe turbulence that is normally caused
during a Reduction-In-Force (RIF). Since the AVRDEC is extensively
customer funded, its vitality and future credibility depend upon a
reasonably stable work force that is highly trained and motivated to
the precepts of customer service and quality products. This
intervention would achieve the desired goal of minimizing personnel
turbulence but at the same time it may put some loyal and recently
hired employees at an added risk of separation. For this reason, the
proposal design will be changed to define the competitive areas as each
separate geographic location of the AVRDEC, i.e., Redstone Arsenal, AL;
Ft. Eustis and Langley, VA; and Moffett Field, CA. This change was made
in full recognition that prior to any RIF action being taken, action
will be taken to place impacted employees in other parts of the parent
organization and that the provisions of the DoD Stability of Employment
Programs (Priority Placement Program) will be used to assist impacted
employees. These changes are in Section III.F (Revised Reduction-In-
Force (RIF) Procedures).
B. Supervisory Pay Differentials
Comments: One comment was received in this area regarding the
absence of any pay incentive for team leaders. (Note that the MRDEC
demonstration proposal received seventy-one comments in this area.)
Response: At this time, pay incentives are limited to those who are
in supervisory positions with formal supervisory authority meeting that
required for coverage under the criteria of OPM General Schedule
Supervisory Guide and the criteria prescribed in Section III.B
(Supervisory Pay Adjustment and Supervisory Pay Differentials). As a
result, no additional pay incentives for team leaders have been
incorporated into the demonstration proposal.
Supervisory Differentials were designed to compensate supervisors
who supervise employees that are typically at the same grade level or
higher. This normally occurs at the higher bands in the E&S
occupational families. However, in recognition that restricting
supervisory differentials to just the E&S occupational families may be
perceived as an unfair application, the plan will be changed in Section
III.B (Supervisory Pay Differentials) to state that supervisory
differentials may be used, at the discretion of the AVRDEC Executive
Director, to incentivize and reward supervisors who are in paybands
III, IV, or V in any occupational family, except for employees in
Payband V of the E&S occupational family. Additionally, the plan is
modified in Section III.B (Supervisory Pay Adjustments and Supervisory
Pay Differentials) to state that supervisory differentials and
supervisory adjustments will not be funded from the performance pay
pools.
C. Performance Evaluation System
Comments: Four comments were received in this area that raised
questions and concerns about the mechanics of implementing the
performance evaluation system and also about perceived shortcomings of
the system. Concerns relating to the mechanics of implementation are:
(1) How personnel on long term training (LTT) will receive performance
ratings and (2) how the demonstration proposal would affect current
rating periods. Perceived shortcomings are: (1) supervisors will not be
effective, impartial, or fair, and (2) concerns about abuses of the
current personnel system and that the new system will allow even more
abuses due to increased flexibility in authority afforded supervisors.
(Note that the MRDEC demonstration proposal received eleven comments on
this subject area.)
Response: Procedures for rating the performance of personnel on LTT
are being defined in locally developed guidance, i.e., personnel on LTT
will fall into one of two categories: developmental (on the job) or
classroom. The LTT developmental assignment will be treated as any
other temporary assignment that continues for 120 days or more, and for
the LTT
[[Page 34907]]
classroom, if the training covers most or all of the rating period, two
options exist: (a) Render a rating as soon as the employee returns to
the position and completes 120 days under performance objectives and
weighted performance elements; or (b) render a rating for the LTT
classroom. The driving concern here is that individuals on LTT might
receive a presumed fully successful rating for RIF purposes and thus be
disadvantaged. This will not be the case. As regards the demonstration
project's affect on current rating periods, prior to employees entering
the demonstration proposal, each will receive a closeout rating under
the current system, as appropriate.
Like many performance evaluation systems, the proposed intervention
makes appropriate provisions for supervisory judgement. The use of
benchmark performance standards as universal criteria for evaluating
all employees in the demonstration project on any element will lead to
greater fairness and reliability of evaluation, thus reducing the
potential for subjectivity in the evaluation process. These benchmark
performance standards define expected performance at the 100%, 70%,
50%, and unsatisfactory levels, thus assuring a clear definition of
expected performance levels.
The AVRDEC intends to address concerns about supervisory fairness,
impartiality, effectiveness, and potential abuses of the personnel
system through significant training of managers and supervisors prior
to and after implementation of the proposal and through employee
feedback capability. Employee feedback to supervisors in a non-
threatening and not-for-attribution environment is considered essential
for the success of this demonstration and therefore, the proposal is
changed in Section III.B (Performance Evaluation) to provide employee
feedback capability.
D. Pay-for-Performance System
Comments: Five comments were received in this area. Of the five,
one comment stated that the loss of the within-grade increases would
lead to a lower standard of living for all non-engineers; two comments
concerned the equity of the pay system; one comment questioned if funds
would be distributed based on perceived organizational importance; and
one comment questioned how the responsibilities and salaries of team
leaders and first and second-line supervisors in the same payband will
be differentiated. (Note that the MRDEC demonstration proposal received
seventy-six comments on this area.)
Response: In regards to pay system equity, the demonstration
proposal establishes a Personnel Management Board, chartered by the
AVRDEC Executive Director, with the requirement to define the pay pool
structure that will be used in the demonstration, administer pay pool
funds allocation, and review/monitor operation of the pay/award pools.
Bands will be assigned based on an employee's nature and level of work.
Pay progression within a band will be based on employee performance and
contributions over time.
Regarding salaries and responsibilities, supervisors will have a
separate benchmark job description in each payband; additionally,
supervisors have a critical performance element ``Supervision/EEO.''
Supervisory salaries are augmented by supervisor pay adjustments and
supervisor pay differentials. The rating given against the performance
element ``Supervision/EEO'' can directly impact the salary augmentation
received for being a supervisor. Team leader responsibilities are
defined in the performance standard ``Management/Leadership''; however,
there is no salary augmentation for team leaders in the demonstration
proposal.
Within-grade increases have not been lost, rather, they have been
incorporated into the performance pay pools. This provides the
opportunity for high performers to receive in excess of the value of
the current within-grade increases on an annual basis.
The proposal will be revised in Section III.B (Pay-for-Performance)
to clarify that the General Increase will be received by all covered
employees whose rating of record is greater than U (except those
receiving retained rates), and to state that performance bonuses have
no impact on benefits such as retirement.
E. Pay Bands and Occupational Families
Comments: Four comments were received in this area. Comments
included: (1) Concern about opportunity for movement between E&S and
non-E&S occupational families for career development purposes; (2)
expanding payband III of the E&S Support occupational family to include
GS-13s to allow for career progression for contracting personnel; (3)
consideration of career progression specific to the Acquisition Corps
in pay banding; and (4) revising the paybands of the Business
Management occupational family to mirror the E&S occupational family
payband. (Note that the MRDEC demonstration proposal received eighty-
two comments in this area.)
Response: The demonstration does not present barriers to employees
who want to cross occupational family lines for career development
purposes. The proposal will be changed to clarify that no barrier
exists and that the benchmark position descriptions identify position
series, specialty code, and function code.
The proposed paybands were designed considering OPM design
guidelines, developments within the Acquisition Corps and the
requirements for critical Acquisition Corps positions (GS 14 and 15),
the designs of the China Lake experiment (banding of GS 14 and 15), and
the job needs of the AVRDEC. Therefore, no change will be made to the
proposal. The comment to revise paybands II and III of the Business
Management occupational family does not take into account that payband
II of the E&S occupational family reflects the current accelerated
advancement for E&S local hire interns and their higher journeyman
level grade structure. Therefore, the banding structure is considered
proper and will remain as proposed.
Additionally, Section III.A (Paybands) and Appendix A are changed
to reflect that the E&S Support and Business Management occupational
families have been combined into one occupational family titled
``Technical and Business Support.'' This proposal modification is a
technical change, and is a natural consequence of changing the AVRDEC
competitive areas from occupational families to the entire geographic
area of AVRDEC. The new occupational family has one payband structure
and benchmark position descriptions have been developed for each
payband.
F. Management Issues
Comments: One comment was received in this area. This comment
addressed concerns about the rating chain for collocated matrix support
personnel under the demonstration proposal. (Note that the MRDEC
demonstration proposal received twenty comments in this area.)
Response: Discussion continues on which of several approaches
should be used regarding the rating chain of AVRDEC collocated matrix
support personnel. However, for purposes of the demonstration project,
whatever rating chain approach or mix of approaches is used, training
and guidance will be provided to all supervisors involved in the
demonstration project.
[[Page 34908]]
G. RIF Retention
Comments: One comment questioned how computation of RIF retention
points would be accomplished between the demonstration proposal and
other personnel systems.
Response: Ratings given under non-demo systems will be converted to
the demo rating scheme and provided the equivalent rating credit. The
specifics of the methodology will be defined in locally developed
guidance.
H. Miscellaneous Comments
Comments: Twelve comments were received in this area. These
comments reflect that the proposal: (1) Limits employee ability to seek
employment elsewhere; (2) provides advantages only to engineers and
scientists; (3) normalizes the E&S special pay rates; (4) provides
unique educational opportunities for engineers and scientists; (5)
permits non-competitive promotions by banding; (6) may adversely effect
Equal Employment Opportunity and Affirmative Action (EEO/AA); (7) has
an impact on personnel on saved pay; and (8) excludes engineers not in
the AVRDEC. (Note that the MRDEC demonstration proposal received
ninety-one comments in this area.)
Response: The proposal has been changed to clarify that the
proposal does not present barriers to applying for jobs outside the
AVRDEC and for movement between occupational families for career
development purposes. Training for degrees was always intended to apply
to the entire workforce. The proposal will be changed to clarify
Section III.E.2 (Training for Degrees) that training for degrees is
available for all occupational families. The Expanded Developmental
Opportunity Program (sabbaticals) has been extended, in Section III.E.1
(Expanded Developmental Opportunity Program) to all occupational
families except for the General Support occupational family. Movement
through a payband is not considered a promotion, but is based on
individual performance. Nothing within the demonstration proposal
inherently violates either EEO, AA, or merit principles; rather, the
proposal links employees' pay to their performance. The proposal offers
significant safeguards in terms of the oversight responsibilities of
the Personnel Management Board, and the use of the ``Supervision/EEO''
performance element to rate supervisors on meeting their EEO/AA
requirements. Employees receiving retained (``saved'') pay at the time
of conversion will not suffer a reduction in pay. If their former GS
retained rate does not fit into the pay band range, they will be
entitled to a retained rate under the demonstration project. Finally,
the existence of engineers outside the AVRDEC is outside the purview of
the demonstration proposal.
2. Demonstration Project System Changes
The following is a summary of changes and clarifications in the
project proposal that were of paramount interest to employees:
(1) In Section III.F (Revised Reduction-in-Force (RIF) Procedures),
the project design is changed to define the competitive areas as each
separate geographic location of the AVRDEC, i.e., Redstone Arsenal, AL;
Ft. Eustis and Langley, VA; and Moffett Field, CA. Also, the method of
bumping and retreating is redefined as follows: ``In the Demonstration
Project an employee can bump to a position held by another employee in
a lower subgroup or tenure group; the position may be no lower than the
equivalent of three GS grades (or appropriate grade intervals) below
the minimum GS grade level of his/her current band, in accordance with
procedures outlined in Section V (Conversion or Movement from a Project
Position to a General Schedule Position), a. Grade-Setting Provisions.
An employee can retreat to a position held by another employee in the
same subgroup who has a lower adjusted RIF service computation date;
the position may be no lower than the equivalent of three GS grades (or
appropriate grade intervals) below the minimum GS grade level of his/
her current band. A preference eligible with a compensable service-
connected disability of 30 percent or more may retreat to a position
equivalent to five GS grades below the minimum grade level of his/her
current band.''
(2) In Section III.A (Paybands) and Appendix A, the proposal is
changed to combine the E&S Support occupational family with the
Business Management occupational family to form one occupational family
called ``Technical and Business Support.''
(3) Additionally, editorial and technical changes were made to
correct the final version of the Project.
James B. King,
Director.
Table of Contents
I. Executive Summary
II. Introduction
A. Purpose
B. Problems with the Present System
C. Changes Required/Expected Benefits
D. Participating Organization
E. Participating Employees
F. Labor Participation
G. Project Design
H. Personnel Management Board
III. Personnel System Changes
A. Broadbanding
B. Pay-for-Performance Management System
C. Classification
D. Hiring and Appointment Authorities
E. Employee Development
F. Revised Reduction-in-Force (RIF) Procedures
IV. Training
V. Conversion
VI. Project Duration
VII. Evaluation Plan
VIII. Demonstration Project Costs
IX. Required Waivers to Laws and Regulations
Appendix A: Occupational Series by Occupational Family
Appendix B: Project Evaluation and Oversight
Appendix C: Performance Elements
Appendix D: Benchmark Performance Standards
I. Executive Summary
This project was designed by the Department of the Army, with
participation of and review by the Department of Defense (DoD) and the
Office of Personnel Management (OPM). The purpose of the project is to
achieve the best workforce for the AVRDEC mission, adjust the workforce
for change, and improve workforce quality. The AVRDEC strives to exceed
the greatest expectations of its many customers. To achieve this, the
AVRDEC must be able to balance customer requirements for near-term
technical and scientific products and information with the evolving
capabilities of the workforce. These purposes will be significantly
enhanced by interventions such as training for degrees in critical
skills areas, the contingent employee appointment authority, and those
interventions designed to rapidly hire highly qualified individuals.
The foundations of this project are based on the concept of linking
performance to pay for all covered positions; simplifying paperwork and
the processing of classification and other personnel actions;
emphasizing partnerships among management, employees, and unions
representing covered employees; and delegating classification and other
authorities to line managers. Additionally, the research intellect of
the AVRDEC workforce will be revitalized through the use of expanded
opportunities for employee development. These opportunities will
reinvigorate the creative intellect of the research and development
community.
[[Page 34909]]
Development and execution of this project will be in-house budget
neutral, based on a baseline of September 1995 in-house costs and
consistent with the Department of the Army (DA) plan to downsize
laboratories. Army managers at the DoD S&T Reinvention Laboratory sites
will manage and control their personnel costs to remain within
established in-house budgets. An in-house budget is a compilation of
costs of the many diverse components required to fund the day-to-day
operations of a laboratory. These components generally include pay of
people (labor, benefits, overtime, awards), training, travel, supplies,
non-capital equipment, and other costs depending on the specific
function of the activity.
This project will be under the joint sponsorship of the Assistant
Secretary of the Army for Research, Development and Acquisition and the
Assistant Secretary of the Army for Manpower and Reserve Affairs. The
Commander, U.S. Army Materiel Command, will execute and manage the
project. Project oversight within the Army will be achieved by an
executive steering committee made up of top-level executives, co-
chaired by the Deputy Assistant Secretary of the Army for Research and
Technology and the Deputy Assistant Secretary of the Army (Civilian
Personnel Policy)/Director, Civilian Personnel. Oversight external to
the Army will be provided by the Department of Defense and the Office
of Personnel Management.
II. Introduction
A. Purpose
The purpose of the project is to demonstrate that the effectiveness
of Department of Defense (DoD) laboratories can be enhanced by allowing
greater managerial control over personnel functions and, at the same
time, expanding the opportunities available to employees through a more
responsive and flexible personnel system. The quality of DoD
laboratories, their people, and products has been under intense
scrutiny in recent years. This perceived deterioration of quality is
due, in substantial part, to the erosion of control which line managers
have over their human resources. This demonstration, in its entirety,
attempts to provide managers, at the lowest practical level, the
authority, control, and flexibility needed to achieve quality
laboratories and quality products.
B. Problems With the Present System
The AVRDEC products contribute to the readiness of U.S. forces and
to the stability of the American economy. To do this, the AVRDEC must
acquire and retain an enthusiastic, innovative, and highly educated and
trained workforce, particularly scientists and engineers. The AVRDEC
must be able to compete with the private sector for the best talent and
be able to make job offers in a timely manner with the attendant
bonuses and incentives to attract high quality employees. Today,
industry laboratories can make an offer of employment to a promising
new hire before the government can prepare the paperwork necessary to
begin the recruitment process.
Currently, jobs are described using a classification system that is
overly complex and specialized. This hampers a manager's ability to
shape the workforce and match the positions while making best use of
employees. Managers must be given local control of positions and their
classification to move both their employees and vacancies within their
organization to other lines of the business activities to match the
life cycle needs of supported customers.
These issues work together to hamper supervisors in all areas of
human resource management. Hiring restrictions and overly complex job
classifications, coupled with poor tools for rewarding and motivating
employees and a system that does not assist managers in removing poor
performers builds stagnation in the workforce and wastes valuable time.
C. Changes Required/Expected Benefits
This project is expected to demonstrate that a human resource
system tailored to the mission and needs of the AVRDEC will result in:
(a) Increased quality in the total workforce and the products they
produce; (b) increased timeliness of key personnel processes; (c)
increased retention of high quality employees and separation rates of
poor quality employees; and (d) increased customer satisfaction with
the AVRDEC and its products by all customers it serves.
The AVRDEC demonstration program builds on the successful features
of demonstration projects at China Lake and the National Institute of
Standards and Technology (NIST). These demonstration projects have
produced impressive statistics on the job satisfaction for their
employees versus that for the federal workforce in general. Therefore,
in addition to expected benefits mentioned above, the AVRDEC
demonstration expects to find more satisfied employees on many aspects
of the demonstration including pay equity, classification decisions,
and career development opportunities. A full range of measures will be
collected during project evaluation (Section VII).
D. Participating Organization
AVRDEC has approximately 785 employees covered by the project.
Approximately 59 percent of the employees are located at the Federal
Center, St. Louis, Missouri, with the remaining located at the
following sites: Moffett Field, California; Fort Eustis, Virginia;
Langley, Virginia, and Washington, D.C.
Successor organization(s) which may result from actions associated
with the 1995 Base Realignment and Closure Commission (BRAC) or future
Commissions will continue coverage in the demonstration project.
E. Participating Employees
The demonstration project includes civilian appropriated funded
employees in the competitive and excepted service paid under the
General Schedule (GS) pay system. Scientific and Professional (ST)
employees and positions will be included for employee development,
performance appraisal, and award provisions only; their classification,
staffing, and compensation, however, will not change. Senior Executive
Service employees and positions, Federal Wage System employees, and
employees in the Civilian Intelligence Personnel Management System will
not be covered in the demonstration project. Additionally, DA interns
will not be converted to the demonstration until they complete their
intern program. Personnel added to the laboratory after implementation,
in like positions covered by the demonstration (either through
appointment, promotion, reassignment, change to a lower grade or where
their functions and positions have been transferred into the
laboratory) will be converted to the demonstration project.
F. Labor Participation
The National Federation of Federal Employees (NFFE) Local 405
currently represents many GS employees at AVRDEC, St. Louis. However,
based upon the 1995 BRAC commission action disestablishing ATCOM and
the uncertainty as to the implementation date of this project, it was
uncertain what labor organization would represent AVRDEC employees at
the time the demonstration project is implemented. Therefore, NFFE has
not been involved in the development of the project.
As of 24 April 1997, NFFE Local 405 requested to become an integral
part of this personnel demonstration project and to be a full partner
in arriving at
[[Page 34910]]
major decisions involving program implementation. Since the project is
now scheduled to be implemented prior to any BRAC action, and NFFE
Local 405 will represent many professional and nonprofessional
employees of the AVRDEC at the time of implementation, they will be
included in arriving at major decisions involving program
implementation as long as they continue to represent these employees.
Currently, no union represents AVRDEC employees at the Moffett
Field, California, and Fort Eustis and Langley, Virginia geographic
locations.
G. Project Design
As a result of the 1995 BRAC recommendation transferring the AVRDEC
to Redstone Arsenal; the subsequent identification of the AVRDEC as an
Army Science and Technology Reinvention Laboratory; and ATCOM and the
U.S. Army Missile Command (MICOM) management decisions to maintain two
RDECs at Redstone Arsenal with common functional areas merged within
the MRDEC; the Executive Director, AVRDEC, decided to accelerate the
AVRDEC role in the civilian personnel demonstration project to that of
an initial demonstration site. Since the two RDECs will be collocated
at Redstone Arsenal, the Executive Director decided to formulate the
AVRDEC personnel demonstration proposal based on the MRDEC proposal,
taking maximum advantage of the MRDEC experience and lessons learned in
developing its proposal. The following is a brief synopsis of the
combined AVRDEC/MRDEC demonstration project design.
An Integrated Process Team approach was used to develop the
attributes of this personnel demonstration proposal. The team was lead
by MRDEC management, and team members came from managers and associates
from the MRDEC, AFGE Local 1858, the Civilian Personnel Office (CPO),
and several other major functional organizations within MICOM. The
AVRDEC assembled a similar team using management, business management,
and CPO personnel.
This personnel system design has been subjected to critical reviews
by both MRDEC and MICOM. Additionally, negotiations with AFGE Local
1858 have influenced the design in areas of significant concern to
bargaining unit employees.
The design was based upon exhaustive study of broadbanding systems
currently practiced in the Federal sector. Additionally, consultation
was provided by the designers of the broadbanding systems practiced by
the Navy China Lake experiment and the National Institute of Standards
and Technology. The preliminary demonstration concept was briefed to
the ATCOM Command Group and the AVRDEC workforce, at all geographic
locations. During these briefing sessions, employees were afforded the
opportunity to ask questions and were given a list of points of contact
for concerns and questions. Subsequent concept revisions have evolved
from critical reviews by headquarters elements of the Department of the
Army, Department of Defense, and the Office of Personnel Management.
H. Personnel Management Board
The AVRDEC intends to establish an appropriate balance between the
personnel management authority and accountability of supervisors and of
the oversight responsibilities of a Personnel Management Board (PMB).
The Executive Director will delegate management and oversight of the
Project at AVRDEC to a Personnel Management Board whose members,
Chairperson, and staff (other than the union and Equal Employment
Opportunity Office members) will be appointed by the Director. The
union and the Equal Employment Opportunity Office will have permanent
membership in the PMB, and their representatives will be selected by
the respective organizations. The establishment of this Board shall not
affect the authority of any management official in the exercise of
their management rights set forth in 5 U.S.C. 7106(b)(1). The PMB
membership includes representation from the major geographic locations
of the AVRDEC and will be tasked with the following:
1. Overseeing the civilian pay budget,
2. Determining the composition of the pay-for-performance pay pools
in accordance with the guidelines of this proposal and internal
procedures,
3. Administering funds allocation to pay pool managers,
4. Reviewing operation of AVRDEC pay pools,
5. Reviewing hiring and promotion salaries as well as exceptions to
pay-for-performance salary increases,
6. Providing guidance to pay pool managers,
7. Monitoring award pool distribution by organization or any other
special categorization,
8. Selecting participants for the Expanded Developmental
Opportunity Program, long term training, and any special developmental
assignments,
9. Managing promotions to stay within ``high grade'' controls,
10. Addressing in-house budget neutrality issues to include
tracking of average salaries,
11. Assessing the need for changes to demonstration procedures and
policies.
III. Personnel System Changes
A. Broadbanding
Occupational Families
Occupations at the AVRDEC will be grouped into occupational
families. Occupations will be grouped according to similarities in type
of work, customary requirements for formal training or credentials, and
in consideration of the business practices at the AVRDEC. The common
patterns of advancement within the occupations as practiced at DoD
Laboratories and in the private sector will also be considered. The
current occupations and grades have been examined, and their
characteristics and distribution have served as guidelines in the
development of the three occupational families described below:
1. Engineers and Scientists (E&S). This occupational family
includes all technical professional positions, such as engineers,
physical scientists, and mathematicians. Predominantly, specific course
work or educational degrees are required for these occupations.
2. Technical & Business Support. This occupational family contains
positions that directly support the E&S mission: it includes
specialized functions in such fields as technical information
management, librarians, equipment specialists, quality assurance,
engineering and electronics technicians, accounting, administrative
computing, counsel, finance, management analysis, personnel,
procurement, public information, and safety. Employees in these jobs
may or may not require college course work. Analytical ability and
specialized knowledge in administrative fields or special degrees are
required. Knowledge of and training in the various electrical,
mechanical, chemical, or computer principles, methods, and techniques
are also generally required.
3. General Support. This occupational family is composed of
positions for which minimal formal education is needed, but for which
special skills, such as office automation or shorthand, are usually
required. Clerical work usually involves the processing and maintenance
of records. Assistant work requires knowledge of methods and procedures
within a specific administrative area. Other support functions include
the work of secretaries and office automation clerks.
[[Page 34911]]
Paybands
Each occupational family will be composed of discrete paybands
(levels) corresponding to recognized advancement within the
occupations. These paybands will replace grades. They will not be the
same for all occupational families. Each occupational family will be
divided into four to five paybands; each payband covering the same pay
range now covered by one or more grades. A salary overlap, similar to
the current overlap between GS grades, will be maintained.
Ordinarily an individual will be hired at the lowest salary in a
payband. Exceptional qualifications, specific organizational
requirements, or other compelling reasons may lead to a higher entrance
level within a band.
The proposed paybands for the occupational families and how they
relate to the current GS grades are shown in Figure 1. Application of
the Fair Labor Standards Act (FLSA) within each payband is also shown
in Figure 1. This payband concept has the following advantages:
1. It may reduce the number of classification decisions required
during an employee's career.
2. It simplifies the classification decision-making process and
paperwork. A payband covers a larger scope of work than a grade, and
will be defined in shorter and simpler language.
3. It supports delegation of classification authority to line
managers.
4. It provides a broader range of performance-related pay for each
level. In many cases, employees whose pay would have been frozen at the
top step of a grade will now have more potential for upward movement in
the broader payband.
5. It prevents the progression of low performers through a payband
by mere longevity, since job performance serves as the basis for
determining pay.
The AVRDEC broadbanding plan expands the broadbanding concept used
at China Lake and NIST by creating Payband V of the Engineers and
Scientists occupational family. This payband is designed for Senior
Scientific Technical Managers.
Current legal definitions of Senior Executive Service (SES) and
Scientific and Professional (ST) positions do not fully meet the needs
of AVRDEC. The SES designation is appropriate for executive level
managerial positions whose classification exceeds the GS-15 grade
level. The primary knowledges and abilities of SES positions relate to
supervisory and managerial responsibilities. Positions classified as ST
are reserved for bench research scientists and engineers; these
positions require a very high level of technical expertise and they
have little or no supervisory responsibility.
AVRDEC currently has several positions, typically division chiefs,
that have characteristics of both SES and ST classifications. Most
division chiefs in AVRDEC are responsible for supervising other GS-15
positions, including branch chiefs, non-supervisory researcher
engineers and scientists and, in some cases, ST positions. Most
division chiefs are classified at the GS-15 level, although their
technical expertise warrants classification beyond GS-15. Because of
their management responsibilities, these individuals are excluded from
the ST system. Because of management considerations, they cannot be
placed in the SES. Management considers the primary requirement for
division chiefs to be knowledge of and expertise in the specific
scientific and technology areas related to the mission of their
divisions. Historically, incumbents of these positions have been
recognized within the community as scientific and engineering leaders,
who possess primarily scientific/engineering credentials and are
considered experts in their field. However, they must also possess
strong managerial and supervisory ability. Therefore, although some of
these employees have scientific credentials that might compare
favorably with ST criteria, classification of these positions as ST is
not an option because the managerial and supervisory responsibilities
inherent in the positions cannot be ignored.
The purpose of Payband V (which will reinforce the equal pay for
equal work principle) is to solve a critical classification problem. It
will also contribute to an SES ``corporate culture'' by excluding from
the SES positions for which technical expertise is paramount. Payband V
proposes to overcome the difficulties identified above by creating a
new category of positions, the Senior Scientific Technical Manager,
which has both scientific/technical expertise and full managerial and
supervisory authority.
Current GS-15 division chiefs will convert into the demonstration
project at Payband IV. After conversion they will be reviewed against
established criteria to determine if they should be reclassified to
Payband V. Other positions possibly meeting criteria for classification
to Payband V will be reviewed on a case-by-case basis. The proposed
salary range is a minimum of 120% of the minimum rate of basic pay for
GS-15 with a maximum rate of basic pay established at the rate of basic
pay (excluding locality pay) for SES level 4 (ES-4). Vacant positions
in Payband V will be competitively filled to ensure that selectees are
preeminent researchers and technical leaders in the specialty fields
who also possess substantial managerial and supervisory abilities.
AVRDEC will capitalize on the efficiencies that can accrue from central
recruiting by continuing to use the expertise of the Army Materiel
Command SES Office as the recruitment agent. Panels will be created to
assist in filling Payband V positions. Panel members will be selected
from a pool of current AVRDEC SES members, ST employees and later those
in Payband V, and an equal number of individuals of equivalent stature
from outside the AVRDEC to ensure impartiality, breadth of technical
expertise, and a rigorous and demanding review. The panel will apply
criteria developed largely from the current OPM Research Grade
Evaluation Guide for positions exceeding the GS-15 level.
DoD will test the establishment of Payband V for a five-year
period. Positions established in Payband V will be subject to
limitations imposed by OPM and DoD. Payband V positions will be
established only in an S&T Reinvention Laboratory which employs
scientists, engineers, or both. Incumbents of Payband V positions will
work primarily in their professional capacity on basic or applied
research and secondarily perform managerial or supervisory duties. The
number of Payband V positions within the Department of Defense will not
exceed 40. These 40 positions will be allocated by ASD (FMP), DoD, and
administered by the respective Services. The number of Payband V
positions will be reviewed periodically to determine appropriate
position requirements. Payband V position allocations will be managed
separately from SES, ST, and SL positions. An evaluation of the Payband
V concept will be performed during the fifth year of the demonstration
project.
The final component of Payband V is the management of all Payband V
assets. Specifically, this authority will be exercised at the DA level,
and includes the following: authority to classify, create, or abolish
positions within the limitations imposed by OPM and DoD; recruit and
reassign employees in this payband; set pay and to have their
performance appraised under this project's Pay for Performance System.
The laboratory wants to demonstrate increased effectiveness by gaining
greater managerial control and authority, consistent with merit,
[[Page 34912]]
affirmative action, and equal employment opportunity principles.
BILLING CODE 6325-01-P
[GRAPHIC] [TIFF OMITTED] TN27JN97.000
BILLING CODE 6325-01-C
Fair Labor Standards Act
Fair Labor Standards Act (FLSA) exemption and nonexemption
determinations will be made consistent with criteria found in 5 CFR
part 551. There are six paybands (see Figure 1) where employees can be
either exempt or nonexempt from overtime provisions. For these six
paybands supervisors with classification authorities will make the
determinations on a case-by-case basis by comparing the duties and
responsibilities assigned, the classification standards for each
payband, and the FLSA criteria under 5 CFR part 551. Additionally, the
advice and assistance of the Civilian Personnel Office (CPO)/Civilian
Personnel Advisory Center/Civilian Personnel Operations Center (CPAC/
CPOC) will be obtained in making determinations as part of the
performance review process. The benchmark position descriptions will
not be the sole basis for the determination. Basis for exemption will
be documented and attached to each description. Exemption criteria will
be narrowly construed and applied only to those employees who clearly
meet the spirit of the exemption. Changes will be documented and
provided to the CPAC/CPOC, as appropriate.
Simplified Assignment Process
Today's environment of downsizing and workforce transition mandates
that the AVRDEC have increased flexibility to assign individuals.
Broadbanding can be used to address this need. As a result of the
assignment to a particular level descriptor, the organization will have
increased flexibility to assign an employee, without pay change, within
broad descriptions consistent with the needs of the organization, and
the individual's qualifications and rank or level. Subsequent
assignments to projects, tasks, or functions anywhere within the
organization requiring the same level and area of expertise, and
qualifications would not constitute an assignment outside the scope or
coverage of the current level descriptor.
Such assignments within the coverage of the generic descriptors are
accomplished without the need to process a personnel action. For
instance, a technical expert can be assigned to any project, task, or
function requiring similar technical expertise. Likewise, a manager
could be assigned to manage any similar function or organization
consistent with that individual's qualifications. This flexibility
allows a broader latitude in assignments and further streamlines the
administrative process and system.
Promotion
A promotion is a move of an employee to (1) a higher payband in the
same occupational family or (2) a payband in another occupational
family
[[Page 34913]]
in combination with an increase in the employee's salary. Positions
with known promotion potential to a specific band within an
occupational family will be identified when they are filled. Not all
positions in an occupational family will have promotion potential to
the same band. Movement from one occupational family to another will
depend upon individual knowledge, skills, and abilities, and needs of
the organization.
Promotions will be processed under competitive procedures in
accordance with merit principles and requirements and the local merit
promotion plan. The following actions are excepted from competitive
procedures:
(a) Re-promotion to a position which is in the same payband and
occupational family as the employee previously held on a permanent
basis within the competitive service.
(b) Promotion, reassignment, demotion, transfer or reinstatement to
a position having promotion potential no greater than the potential of
a position an employee currently holds or previously held on a
permanent basis in the competitive service.
(c) A position change permitted by reduction in force procedures.
(d) Promotion without current competition when the employee was
appointed through competitive procedures to a position with a
documented career ladder.
(e) A temporary promotion, or detail to a position in a higher
payband, of 180 days or less.
(f) Reclassification to include impact of person on-the-job
promotions.
(g) A promotion resulting from the correction of an initial
classification error or the issuance of a new classification standard.
(h) Consideration of a candidate not given proper consideration in
a competitive promotion action.
(i) Impact of person on the job and Factor IV process (application
of the Research Grade Evaluation Guide, Equipment Development Grade
Evaluation Guide, Part III, or similar guides) promotions.
Link Between Promotion and Performance
Career ladder promotions and promotions resulting from the addition
of duties and responsibilities are examples of promotions that can be
made noncompetitively. Promotions can be made noncompetitively when
contributions and achievements are such that a higher payband is
achieved when comparing the overall position to the Equipment
Development Grade Evaluation Guide, Part III or the Research Grade
Evaluation Guide. To be promoted noncompetitively from one band to the
next, an employee must meet the minimum qualifications for the job and
have a current performance rating of B or better (see Performance
Evaluation) or equivalent under a different performance management
system. Selection of employees through competitive procedures will
require a current performance rating of B or better.
B. Pay-for-Performance Management System
Performance Evaluation
Introduction: The performance evaluation system will link
compensation to performance through annual performance appraisals and
performance scores. The performance evaluation system will allow
optional use of peer evaluation and/or input from subordinates as
determined appropriate by the Personnel Management Board. The system
will have the flexibility to be modified, if necessary, as more
experience is gained under the project.
Performance Objectives
Performance objectives are statements of job responsibilities based
on the work unit's mission, goals and supplemental benchmark position
descriptions. Employees and supervisors will jointly develop
performance objectives which will reflect the types of duties and
responsibilities expected at the respective pay level. In case of
disagreements, the decision of the supervisor will prevail.
Performance objectives deal with outputs and outcomes of a
particular job. The performance objectives, representing joint efforts
of employees and their rating chains, should be in place within 30 days
from the beginning of each rating period.
Performance Elements
Performance elements are generic attributes of job performance,
such as technical competence, that an employee exhibits in performing
job responsibilities and associated performance objectives. New
performance elements and rating forms will be designed to implement a
new scoring and rating system. The new performance evaluation system
will be based on critical and non-critical performance elements defined
in Appendix C. Each performance element is assigned a weight between a
specified range. The total weight of all elements is 100 points. The
supervisor assigns each element some portion of the 100 points in
accordance with its importance for mission attainment. As a general
rule, essentially identical positions will have the same critical
elements and the same weight. These weights will be developed along
with employee performance objectives.
Mid-Year Review
A mid-year review between a supervisor and employee will be held to
determine whether objectives are being met and whether ratings on
performance elements are above an unsatisfactory level. Performance
objectives should be modified as necessary to reflect changes in
planning, workload, and resource allocation. The weights assigned to
performance elements may be changed if necessary. Additional reviews
may be held as deemed necessary by the supervisor or requested by the
employee. The supervisor will provide periodic feedback to the employee
on their level of performance. If the supervisor determines that the
employee is not performing at an acceptable level on one or more
elements, the supervisor must alert the employee and document the
problem(s). This feedback will be provided at any time during the
rating cycle.
Employee Feedback to Supervisors
Employee feedback to supervisors (in a non-threatening and not-for-
attribution environment) is considered essential for the success of
this demonstration. A feedback process will be developed and
implemented within six months after implementation of the
demonstration. The employee feedback will be for the supervisors'
information only, and will not be a factor in determining annual
ratings of record. Additionally, the individual supervisor ratings will
be aggregated into a summary for the Director's use (with copies
furnished to the union) in assessing the quality of supervision
provided and to take whatever steps are needed in supervisory training
and development.
Performance Appraisal
A performance appraisal will be scheduled for the final weeks of
the annual performance cycle, although an individual performance
appraisal may be conducted at any time after the minimum appraisal
period of 120 days is met. The performance appraisal process brings
supervisors and employees together for formal discussions on
performance and results in (1) written appraisals, (2) performance
ratings, (3) performance scores, and (4) other individual performance-
related actions as appropriate. A performance appraisal
[[Page 34914]]
shall consist of two meetings held between employee and supervisor: the
performance review meeting and the evaluation feedback meeting.
Performance Review Meeting Between Employee and Supervisor
The review meeting is to discuss job performance and
accomplishments. Supervisors will not assign performance scores or
performance ratings at this meeting. The supervisor notifies the
employee of the review meeting in time to allow the employee to prepare
a list of accomplishments. Employees will be given an opportunity at
the meeting to give a personal performance assessment and describe
accomplishments. The supervisor and employee will discuss job
performance and accomplishments in relation to the performance elements
and performance objectives.
Evaluation Feedback Meeting Between Employee and Supervisor
In this second meeting between employee and supervisor, the
supervisor informs the employee of management's appraisal of the
employee's performance on performance objectives, and the employee's
performance score and rating on performance elements. During this
second meeting, the supervisor and employee will discuss and document
performance objectives for the next rating period.
Performance Scores
The overall score is the sum of individual performance element
scores. Employees will receive an academic-type rating of A, B, C, or U
depending upon the score attained. These summary ratings are
representative of pattern E (a 4 level system) in summary level chart
in 5 CFR 430.208(d)(1). This rating will become the rating of record,
and only those employees rated C or higher will receive general
increases, performance pay increases (i.e., basic pay increases), and/
or performance bonuses. A rating of A will be assigned for scores from
85 to 100 points, B for scores from 70 to 84, C for scores from 50 to
69, and U for scores from 0 to 49 or a failure to achieve at the 50%
level of any critical element. The academic-type ratings will be used
to determine performance payouts and to award additional RIF retention
years as follows:
------------------------------------------------------------------------
RIF
Rating Compensation retention
yrs added
------------------------------------------------------------------------
A................................... 4 shares * + c......... 10
B................................... 2 shares * + c......... 7
C................................... 1 share * + c.......... 3
U................................... 0...................... 0
------------------------------------------------------------------------
* c = GS General Increase (Title 5, Section 5303). Pay increases for
employees receiving retained rates will be determined in accordance
with 5 U.S.C. 5363 except that those with a U rating will receive no
pay increase.
Selection of the weighted points to assign to an employee's
performance on performance elements is assisted by use of benchmark
performance standards (Appendix D). These benchmark performance
standards are modified versions of the performance standards used by
the National Institute of Standards and Technology (NIST), National
Bureau of Standards. Each benchmark performance standard describes the
level of performance associated with a particular point on a rating
scale. Supervisors may add supplemental standards for employees they
supervise to further elaborate the benchmark performance standards.
Performance-Based Actions
AVRDEC will implement a process to deal with poor performers. This
process may lead to involuntary separations, with grievance or appeal
rights. The process may start at any time during the rating period, not
necessarily at the end of an appraisal period. This process begins when
the supervisor identifies a deficiency(ies) which causes the level of
performance to be at the U (unsatisfactory) level based on a composite
score that is less than 50 for all elements or a score on any critical
element of less than 50 percent. Employees whose performance is
recognized as failing shall be notified and provided appropriate
guidance to assist in improving their performance. This performance
review will be documented, with a copy being provided to the employee.
Normally, performance based actions will not be initiated in the
absence of such performance reviews.
When the employee's performance is determined to be unsatisfactory
at the close of the annual rating period, the Unsatisfactory (U) rating
will become the rating of record for all matters relating to pay or
Reduction-in-Force (RIF).
There are two processes to deal with poor performers:
1. Change in Assignment--Because it is recognized that employees
may be assigned to a position for which they are not suited, an attempt
will be made to place poor performers in a position better suited to
their skills and capabilities. The offer of change in assignment will
be contingent upon the employee's concurrence and will be either within
the same band or in the next lower payband. If reassigned, within the
same pay band, the employee will receive written notification that they
will be given a minimum of ninety (90) calendar days in length, to
demonstrate performance at a level that is at least equal to that of a
summary level C rating. If reassigned in the next lower pay band, the
employee will receive written notification that they will be given a
reasonable opportunity period of no less than thirty (30) calendar days
in length to demonstrate performance at a level that is at least equal
to that of a summary level C rating. The period of time considered to
be reasonable will be determined, in part, by whether the employee's
reassignment is to a substantially similar or the same position under a
different supervisor, or in a different office, or in a substantially
different position. Essential training and mentoring will be provided
as appropriate during this opportunity period. Failure to achieve a
level of performance that is at least equal to that of a summary level
C rating (following the above-referenced opportunity period) will place
the employees in Step 3 of this process. There will be no further
opportunity period.
2. Performance Improvement Plan (PIP)--If the employee does not
accept an offer of change in assignment, or if there is no appropriate,
available position to assign an employee, the supervisor will develop a
PIP that will be monitored for a minimum of ninety (90) calendar days.
When an employee is placed in a PIP, the employee will be informed in
writing, that unless their level of performance improves to, and is
sustained at a level at least equal to that of a summary level C
rating, the employee may be removed from the position (change in
assignment, reduction in pay, or removal from the Federal service).
If, during or at the conclusion of the PIP, the employee's level of
performance improves to a level at least equal to that of a summary
level C rating and is again determined to deteriorate to below level C
in any area during one year from the beginning of the PIP, the AVRDEC
may initiate action to remove the employee from the position with no
additional opportunity to improve. An employee whose level of
performance improves to a level at least equal to that of a summary
level C rating for one year from the beginning of the PIP, and then
deteriorates to below level C again, in any area, during succeeding
rating
[[Page 34915]]
periods, will be placed in a second PIP before initiating action to
remove the employee from the position.
If and when performance improves during the period in which the
employee is otherwise ineligible for the general increase, then the
general increase shall be restored. Such restoration is not retroactive
and is separate and apart from incentive pay.
3. Removal--If the employee fails to demonstrate a level of
performance at least equal to that of a summary level C rating after
completing either Step 1 or Step 2, the employee will be given a
written notice of proposed removal from the position. The notice period
will be a minimum of thirty (30) calendar days and the employee will
have a reasonable period of time in which to reply. The employee will
be given a written notice of decision to include all applicable
grievance and appeal rights.
Note: Performance-based adverse actions may be taken under 5
U.S.C. Chapter 75, rather than Chapter 43.
A decision to remove an employee for poor performance may be based
only on those instances of poor performance that occurred during the
opportunity period (Step 1) or during the one-year period ending on the
date of proposed removal (Step 2). The notice of decision will specify
the instances of poor performance on which the action is based and will
be given to the employee at or before the time the action will be
effective.
The AVRDEC will preserve all relevant documentation concerning an
action taken for poor performance and make it available to review by
the affected employee or designated representative. At a minimum, the
record will consist of a copy of the notice of proposed action; the
employee's written reply, if provided, or a summary if the employee
makes an oral reply. Additionally, the record will contain the written
notice of decision and the reasons therefore, along with any supporting
material including documentation regarding the opportunity afforded the
employee to demonstrate improved performance. An employee who sustains
their performance at a level at least equal to a summary level C rating
for one year, will have all relevant documentation removed from their
record.
Employee Relations
Employees covered by the project will be evaluated under a
performance evaluation system that affords grievance or appeal rights
comparable to those provided currently.
Senior Executive Service and 5 U.S.C. 3104 (ST) Employees
Members of the SES will remain under the current SES performance
appraisal system. Title 5 U.S.C. 3104 (ST) employees will be included
in the project performance evaluation system, but will not be in the
project pay-for-performance system.
Awards
The AVRDEC currently has an extensive awards program consisting of
both internal and external awards. On-the-spot, special act (which are
both performance related and nonperformance related), and other
internal awards (both monetary and nonmonetary) will continue under the
project, and may be modified or expanded as appropriate. MACOM, DA, and
DoD awards and other honorary noncash awards will be retained.
Teams may distribute an award pool among themselves where
appropriate. Thus, a team leader or supervisor may allocate a sum of
money to a team for outstanding completion of a special task, and the
team may decide the individual distribution of the total dollars among
themselves.
The AVRDEC Executive Director will have the authority to grant
awards to covered employees of up to $10,000 for a special act. The
scale of the award will be determined using criteria in AR 5-17.
Members of the SES will remain under their current awards system
and will not participate in the project performance recognition bonus
awards program. Title 5 U.S.C. 3104 (ST) employees will be eligible for
cash awards.
Pay Administration
Introduction: The objective is to establish a pay system that will
improve the ability of the AVRDEC to attract and retain quality
employees. The new system will be a pay-for-performance system and,
when implemented, will result in a redistribution of pay resources
based upon individual performance. The first performance payout will be
made effective with the first full pay period of FY 1999 (October
1998). Future pay adjustments will be effective at the beginning of the
first full pay period of subsequent fiscal years. General increase
payouts in January 1998 will be provided to all covered employees
regardless of their rating of record or current performance status.
Pay-for-Performance
AVRDEC will use a simplified performance appraisal system that will
permit both the supervisor and the employee to focus on quality of the
work. The proposed system will permit the manager/supervisor to base
incentive pay increases entirely on performance or value added to the
goals of the organization. This system will allow managers to withhold
pay increases from nonperformers, thereby giving the nonperformer the
incentive to improve performance or leave government service. For
example, employees with ratings of U will receive no performance pay
increase, general increase, or performance bonus. This action may
result in the employee's pay falling below the minimum rate of their
current payband because the minimum rate is increased by the general
increase (5 U.S.C. 5303). Under these transitory conditions, the
employee's payband designator will remain the same. Since there is no
reduction in band level or pay, there is no adverse action.
Pay for performance has two components: performance pay increases
and/or performance bonuses. The basic rates of pay used in computing
the pay pool and performance payouts exclude locality pay. All covered
employees will be given the full amount of locality pay adjustments
when they occur regardless of performance. Additionally, all covered
employees who have a rating of record above U will receive a full
general schedule increase, except that employees receiving retained
rates will receive a pay increase in accordance with 5 U.S.C. 5363. The
funding for performance pay increases and/or performance bonuses is
composed of money previously available for within-grade increases,
quality step increases, promotions from one grade to another where both
grades are now in the same payband, and for some performance awards.
Additionally, funds will be obtained from performance pay increases
withheld for poor performance (see Performance Evaluation).
Performance Pay Pool
The performance pay pool is composed of a base pay fund and a bonus
pay fund. The payouts made to employees from the performance pay pool
will be a mix of base pay increases and bonus payments, subject to the
amounts available in the respective funds. The funding for the base pay
fund is composed of money previously available for within-grade
increases, quality step increases, and promotions between grades that
are banded under the demonstration project. The bonus pay fund is
separately funded within the constraints of the organization's overall
performance award budget. Some portion of the performance award budget
will be reserved for special ad hoc awards--e.g., suggestion awards or
[[Page 34916]]
special act awards--and will not be included as part of the performance
pay pool.
The AVRDEC Business Management Support Office/MRDEC Management of
Operations and Business Office, in consultation with Executive
Director, AVRDEC, NFFE Local 405, and supporting personnelists, will
calculate the total performance pay increase fund and allocate pay
pools to prior to implementation to Major Organizational Units or
teams, as determined by the Executive Director.
Performance Pay Increases and/or Performance Bonuses
A pay pool manager is accountable for staying within pay pool
limits. The pay pool manager assigns performance pay increases and/or
performance bonuses to individuals on the basis of an academic-type
rating, the value of the performance pay pool resources available, and
the individual's current basic rate of pay within a given payband. A
pay pool manager may request approval from the Personnel Management
Board (PMB) or its designee to grant a performance pay increase to an
employee that is higher than the compensation formula for that employee
to recognize extraordinary achievement or to provide accelerated
compensation for local interns.
Performance payouts will be calculated for each individual based
upon a performance pay pool value that will be initially 3 percent
(e.g., 2.0% performance pay +1.0% performance bonus) of the combined
basic rates of pay of the assigned employees. This percentage, a payout
factor, will be adjusted as necessary to compensate for changing
employee demographics which impact the elements used in the GS system,
such as the amount of step raises, quality step increases, and
promotions. The Center will reexamine the pay-out factor (F) at the end
of the first assessment period to determine if a pay-out factor of 2%
was maintained by revised labor rates. If not, then the factor F must
be adjusted prior to the first year payments to compensate for the
early payment of step increases which would have been used to form the
full robust value of this factor. Performance payouts will be
calculated so that a pay pool manager will not exceed the resources
that are available in the pay pool. An employee's performance payout is
computed as follows:
Where: Pool Value =F * SUM (SALk) ; k =1 to n
n=Number of employees in pay pool
N=Number of shares earned by an employee based on their performance
rating (0 to 4)
SAL=An individual's basic rate of pay
SUM=The summation of the entities in parenthesis over the range
indicated
F=Payout Factor
Once the individual performance payout amounts have been
determined, the next step is to determine what portion of each payout
will be in the form of a base pay increase as opposed to a bonus
payment. A base pay share factor is derived by dividing the amount of
the base pay fund by the amount of the total performance pay pool. This
factor is multiplied by the individual performance payout amounts to
derive each individual's projected base pay increase. Certain employees
will not be able to receive the projected base pay increase due to base
pay caps. Base pay is capped when an employee reaches the maximum rate
of pay in an assigned payband, when the midpoint principle applies (see
below), and when the 50 percent rule applies (see below). Also, for
employees receiving retained rates above the applicable payband
maximum, the entire performance payout will be in the form of a bonus
payment.
If the organization determines it is appropriate, it may reallocate
a portion (up to the maximum possible amount) of the unexpended base
pay funds for capped employees to uncapped employees. This reallocation
must be made on a proportional basis so that all uncapped employees
receive the same percentage increase in their base pay share (unless
the reallocation adjustment is limited by a pay cap). Any dollar
increase in an employee's projected base pay increase will be offset,
dollar for dollar, by an accompanying reduction in the employee's
projected bonus payment. Thus, the employee's total performance payout
is unchanged.
A midpoint principle will be used to determine performance pay
increases. This principle requires that employees in all paybands must
receive a B rating or higher to advance their basic rate of pay beyond
the midpoint dollar threshold of their respective paybands. If the
performance payout formula yields a basic pay increase for a C-rated
employee that would increase their basic rate of pay beyond the
midpoint dollar threshold, then their basic rate of pay will be
adjusted to the midpoint dollar threshold and the balance converted to
a performance bonus. Once an employee has progressed beyond the
midpoint dollar threshold, future performance pay increases will
require a B rating or greater. If an employee attains a C rating and is
beyond the midpoint dollar threshold, incentive pay increases will be
restricted to performance bonuses only.
Annual performance pay increases will be limited to (1) 50 percent
of the difference between the particular maximum band rate and the
employee's current basic rate of pay, or (2) the projected performance
pay increase, whichever is less, with the balance converted to a
performance bonus. This rule will not apply when an employee's current
basic rate of pay is within $100 of the maximum band rate. This means
that employees whose pay has reached the upper limits of a particular
payband will receive most performance incentives as a performance
bonus. Performance bonuses are cash payments and are not part of the
basic pay for any purpose (e.g., lump sum payments of annual leave on
separation, life insurance, and retirement).
Supervisory Pay Adjustments
Supervisory pay adjustments may be used at the discretion of the
AVRDEC Executive Director, to compensate employees assuming positions
entailing supervisory responsibilities. Supervisory pay adjustments are
increases to the supervisor's basic rate of pay, ranging up to 10
percent of that pay rate, subject to the constraint that the adjustment
may not cause the employee's basic rate of pay to exceed the payband
maximum rate. Only employees in supervisory positions with formal
supervisory authority meeting that required for coverage under the OPM
GS Supervisory Guide may be considered for the supervisory pay
adjustment. Criteria to be considered in determining the pay increase
percentage include the following organizational and individual employee
factors: (1) Needs of the organization to attract, retain, and motivate
high quality supervisors; (2) budgetary constraints; (3) years of
supervisory experience; (4) amount of supervisory training received;
(5) performance appraisals and experience as a group or team leader;
(6) their organizational level of supervision; and (7) managerial
impact on the organization. The supervisory pay adjustment will not
apply to 5 U.S.C. 3104 (ST) position, or to employees in Payband V of
the E&S occupational family.
Conditions, after the date of conversion into the demonstration
project, under which the application of a supervisory pay adjustment
may be considered are as follows:
(1) New hires into supervisory positions will have their initial
rate of basic pay set at the supervisor's discretion within the pay
range of the applicable payband. This rate of pay
[[Page 34917]]
may include a supervisory pay adjustment determined using the ranges
and criteria outlined above.
(2) A career employee selected for a supervisory position that is
within the employee's current payband may also be considered for a
supervisory pay adjustment.
If a supervisor is already authorized a supervisory pay adjustment
and is subsequently selected for another supervisory position, within
the same payband, then the supervisory pay adjustment will be
redetermined.
Within the demonstration project rating system, the performance
element ``Supervision/EEO'' is identified as a critical element.
Changes in the rating value for this element awarded to a supervisor
with a supervisory pay adjustment may generate a review of the
adjustment and may result in an increase or decrease to that
adjustment. Decrease to a supervisory pay adjustment is not an adverse
action if this action results from changes in supervisory duties or
supervisory ratings.
Supervisors, upon initial conversion into the demonstration project
into the same, or substantially similar position, will be converted at
their existing basic rate of pay and will not be offered a supervisory
pay adjustment. Supervisory adjustments will not be funded from
performance pay pools.
The initial dollar amount of the adjustment will be removed when
the employee voluntarily leaves the supervisory position. The
cancellation of the adjustment under these circumstances is not an
adverse action and is not appealable. If an employee is removed from a
supervisory position for personal cause (performance or conduct), the
adjustment will be removed under adverse action procedures. However, if
an employee is removed from a non-probationary supervisory position for
conditions other than voluntary or for personal cause, then the pay
retention provisions of 5 CFR part 536 will prevail.
Supervisory Pay Differentials
Supervisory differentials may be used, at the discretion of the
AVRDEC Executive Director, to incentivize and reward supervisors who
are in Paybands III, IV, and V of any occupational family, except
employees in Payband V of the E&S occupational family, in supervisory
positions with formal supervisory authority meeting that required for
coverage under the OPM GS Supervisory Guide. A supervisory pay
differential is a cash incentive that may range up to 10 percent of the
supervisor's basic rate of pay. It is paid on a pay period basis and is
not included as part of the supervisor's basic rate of pay. Criteria to
be considered in determining the amount of this supervisory pay
differential includes those identified for Supervisory Pay Adjustments.
The supervisory pay differential may be considered, either during
conversion into or after initiation of the demonstration project, if
the supervisor has subordinate employees in the same payband. The
differential must be terminated if the employee is removed from a
supervisory position, regardless of cause, or no longer meets the
established eligibility criteria. Supervisory differentials will not be
funded from performance pay pools.
As specified in Supervisory Pay Adjustments, after initiation of
the demonstration project, all personnel actions involving a
supervisory differential will require a statement signed by the
employee acknowledging that the differential may be terminated or
reduced at the AVRDEC Executive Director's discretion. The termination
or reduction of the differential is not an adverse action and is not
subject to appeal.
Pay and Compensation Ceilings
An employee's total monetary compensation paid in a calendar year
may not exceed the basic rate of pay paid in level I of the Executive
Schedule consistent with 5 U.S.C. 5307 and 5 CFR part 530, subpart B.
In addition, each payband will have its own pay ceiling, just as
grades do in the current system. Pay rates for the various paybands
will be directly keyed to the GS rates. Except for retained rates,
basic pay will be limited to the maximum rates payable for each
payband.
Pay Setting for Promotion
Upon promotion to a higher payband, an employee will be entitled to
a 6% pay increase or the lowest level in the payband to which promoted,
whichever is greater. Highest previous rate also may be considered in
setting pay upon promotion, under rules similar to the highest previous
rate rules in 5 CFR 531.203 (c) and (d).
Grade and Pay Retention
Except where waived or modified in the waivers section of this
plan, grade and pay retention will follow current law and regulations.
C. Classification
Introduction
The objectives of the new classification system are to simplify the
classification process, make the process more serviceable and
understandable, and place more decision-making authority and
accountability with line managers. All positions listed in Appendix A
will be in the classification structure. Provisions will be made for
including other occupations as employment requirements change in
response to changing technical programs.
Occupational Series
The present GS classification system has over 400 occupations (also
called series), which are divided into 22 groups. The occupational
series will be maintained. New series, established by OPM, may be added
as needed to reflect new occupations in the workforce. Appendix A lists
the occupational series currently represented at the AVRDEC by
occupational family.
Classification Standards
AVRDEC will use a classification system that is a modification of
the system now in use at the U.S. Navy, Naval Command, Control and
Ocean Surveillance Center, San Diego, California. The present
classification standards will be used to create local benchmark
position descriptions for each payband, reflecting duties and
responsibilities comparable to those described in present
classification standards for the span of grades represented by each
payband. There will be at least one benchmark position description for
each payband. A supervisory benchmark position description will be
added to those paybands that include supervisory employees. Present
titles and series will continue to be used in order to recognize the
types of work being performed and educational backgrounds and
requirements of incumbents. Locally developed specialty codes and OPM
functional codes will be used to facilitate titling, making
qualification determinations, and assigning competitive levels to
determine retention status.
Position Descriptions and Classification Process
The AVRDEC Executive Director will have delegated classification
authority and may redelegate this authority to subordinate managers.
New benchmark position descriptions will be developed to assist
managers in exercising delegated position classification authority.
Managers will identify the occupational family, job series, the
functional code, the specialty code, payband level, and the appropriate
acquisition codes. The manager will
[[Page 34918]]
document these decisions on a cover sheet similar to the present DA
Form 374.
Specialty codes will be developed by Subject Matter Experts (SMEs)
to identify the special nature of work performed. Functional codes are
those currently found in the OPM Introduction to the Classification
Standards which define certain kinds of activities, e.g., Research,
Development, Test and Evaluation, etc., and covers Engineers &
Scientists.
Classification Appeals
An employee may appeal the occupational family, occupational
series, or broadband level of his or her position at any time. An
employee must formally raise the areas of concern to the supervisors in
the immediate chain of command, either verbally or in writing. If the
employee is not satisfied with the supervisory response, he or she may
then appeal to the DoD appellate level. If an employee is not satisfied
with the DoD response, he or she may then appeal to the Office of
Personnel Management, only after DoD has rendered a decision under the
provisions of this demonstration project. Appellate decisions from OPM
are final and binding on all administrative, certifying, payroll,
disbursing, and accounting officials of the Government. Time periods
for case processing under Title 5 apply.
An employee may not appeal the accuracy of the position
description, the demonstration project classification criteria, the
pay-setting criteria, or the assignment of occupational series, to an
occupational family, the title of a position, the propriety of a
procedure, or an alternative dispute resolution procedure.
The evaluation of classification appeals under this demonstration
project are based upon the demonstration project classification
criteria. Case files will be forwarded for adjudication through the
CPO/CPOC/CPAC providing personnel service and will include copies of
appropriate demonstration project criteria.
D. Hiring and Appointment Authorities
1. Hiring Authority
A candidate's basic eligibility will be determined using Office of
Personnel Management's (OPM) Qualification Standards Handbook for
General Schedule Positions. Candidates must meet the minimum standards
for entry into the payband. For example if the payband includes
positions in grades GS-5 and GS-7, the candidate must meet the
qualifications for positions at GS-5 level. Specific experience/
education required will be determined based on whether a position to be
filled is at the lower or higher end of the band. Selective placement
factors can be established in accordance with the OPM Qualification
Handbook, when judged to be critical to successful job performance.
These factors will be communicated to all candidates for particular
position vacancies and must be met for basic eligibility. Under the
demonstration authority, the AVRDEC will modify qualification standards
only as authorized in the General Policies and instructions (paragraph
8) of the Qualification Standard Handbook.
2. Appointment Authority
Under the demonstration project, there will continue to be career
and career conditional appointments and temporary appointments not to
exceed one year. These appointments will use existing authorities and
entitlements. Non-permanent positions (exceeding one year) needed to
meet fluctuating or uncertain workload requirements will be filled
using a Contingent Employee appointment authority.
Employees hired for more than one year, under the contingent
employee appointment authority, are given term appointments in the
competitive service for no longer than five years. The AVRDEC Executive
Director is authorized to extend a contingent appointment one
additional year. These employees are entitled to the same rights and
benefits as term employees and will serve a one year trial period. The
Pay-for-Performance Management System described in III.B applies to
contingent employees.
Appointments will be made under the same appointment authorities
and processes as regular term appointments, but recruitment bulletins
must indicate that there is a potential for conversion to permanent
employment.
Employees hired under the contingent employee authority may be
eligible for conversion to career-conditional appointments. To be
converted, the employee must (1) have been selected for the term
position under competitive procedures, with the announcement
specifically stating that the individual(s) selected for the term
position(s) may be eligible for conversion to career-conditional
appointment at a later date; (2) served two years of substantially
continuous service in the term position; (3) be selected under merit
promotion procedures for the permanent position; and (4) have a current
rating of B or better.
Employees serving under regular term appointments at the time of
conversion to the Demonstration Project will be converted to the new
contingent employee appointments provided they were hired for their
current positions under competitive procedures. These employees will be
eligible for conversion to career-conditional appointment if they have
a current rating of B or better (or one of the top two ratings on the
current evaluation system), and are selected under merit promotion
procedures for their permanent position after having completed two
years of continuous service. Time served in term positions prior to
conversion to the contingent employee appointment is creditable to the
requirement for two years of continuous service stated above, provided
the service was continuous.
3. Extended Probationary Period
The current one year probationary period will be extended to two
years for all newly hired employees in the Engineers and Scientists,
Technical and Business Support occupational families. The purpose of
extending the probationary period is to allow supervisors an adequate
period of time to fully evaluate an employee's ability to complete a
cycle of work (such as research, program development and execution, and
technology transfer) and to fully evaluate an employee's contribution
and conduct. Employees in the General Support occupational family will
serve a one year probationary period.
Aside from extending the time period, all other features of the
current probationary period are retained including the potential to
remove an employee without providing the full substantive and
procedural rights afforded a non-probationary employee. Any employee
appointed prior to the implementation date will not be affected. The
two year probation will apply to new hires or those who do not have
reemployment rights or reinstatement privileges.
Probationary employees will be terminated when the employee fails
to demonstrate proper conduct, technical competency, and/or adequate
contribution for continued employment. When the AVRDEC decides to
terminate an employee serving a probationary period because his/her
work performance or conduct during this period fails to demonstrate
their fitness or qualifications for continued employment, it shall
terminate his/her services by written notification of the reasons for
separation and the effective date of the action. The information in the
notice as to why the employee is being terminated shall, as a minimum,
[[Page 34919]]
consists of the manager's conclusions as to the inadequacies of their
performance or conduct.
4. Supervisory Probationary Periods
Supervisory probationary periods will be made consistent with 5 CFR
Part 315, Subchapter 315.901. Employees that have successfully
completed the initial probationary period will be required to complete
an additional one year probationary period for the initial appointment
to a supervisory position. If, during the probationary period, the
decision is made to return the employee to a nonsupervisory position
for reasons solely related to supervisory performance, the employee
will be returned to a comparable position of no lower payband and pay
than the position from which they were promoted.
5. Voluntary Emeritus Program
Under the demonstration project, the AVRDEC Executive Director will
have the authority to offer retired or separated individuals (engineers
and scientists) voluntary assignments in the AVRDEC. This authority
will include individuals who have retired or separated from Federal
service. Voluntary Emeritus Program assignments are not considered
``employment'' by the Federal government (except for purposes of injury
compensation). Thus, such assignments do not affect an employee's
entitlement to buyouts or severance payments based on an earlier
separation from Federal service. The Voluntary Emeritus Program will
ensure continued quality research while reducing the overall salary
line by allowing higher paid individuals to accept retirement
incentives with the opportunity to retain a presence in the scientific
community. The program will be of most benefit during manpower
reductions as senior S&Es could accept retirement and return to provide
valuable on-the-job training or mentoring to less experienced
employees. Voluntary service will not be used to replace any employee,
or interfere with career opportunities of employees.
To be accepted into the emeritus program, a volunteer must be
recommended by AVRDEC managers to the AVRDEC Executive Director.
Everyone who applies is not entitled to a voluntary assignment. The
AVRDEC Executive Director must clearly document the decision process
for each applicant (whether accepted or rejected) and retain the
documentation throughout the assignment. Documentation of rejections
will be maintained for two years.
To ensure success and encourage participation, the volunteer's
federal retirement pay (whether military or civilian) will not be
affected while serving in a voluntary capacity. Retired or separated
federal employees may accept an emeritus position without a break or
mandatory waiting period.
Volunteers will not be permitted to monitor contracts on behalf of
the government or to participate on any contracts or solicitations
where a conflict of interest exists. The same rules that currently
apply to source selection members will apply to volunteers.
An agreement will be established between the volunteer, the AVRDEC
Executive Director and the CPAC/CPOC Director. The agreement will be
reviewed by the local Legal Office for ethics determinations under the
Joint Ethics Regulation. The agreement must be finalized before the
assumption of duties and shall include:
(a) A statement that the voluntary assignment does not constitute
an appointment in the civil service and is without compensation, and
any and all claims against the Government (because of the voluntary
assignment) are waived by the volunteer,
(b) A statement that the volunteer will be considered a federal
employee for the purpose of injury compensation,
(c) Volunteer's work schedule,
(d) Length of agreement (defined by length of project or time
defined by weeks, months, or years),
(e) Support provided by the AVRDEC (travel, administrative, office
space, supplies),
(f) A one page Statement of Duties and Experience,
(g) A provision that states no additional time will be added to a
volunteer's service credit for such purposes as retirement, severance
pay, and leave as a result of being a member of the Voluntary Emeritus
Program,
(h) A provision allowing either party to void the agreement with 10
working days written notice, and
(i) the level of security access required (any security clearance
required by the assignment will be managed by the AVRDEC while the
volunteer is a member of the Voluntary Emeritus Program).
E. Employee Development
1. Expanded Developmental Opportunity Program
The AVRDEC Expanded Developmental Opportunity Program will be
funded by the AVRDEC, and it will cover all demonstration project
employees in the Engineers and Scientists and the Technical and
Business Support occupational families. An expanded developmental
opportunity complements existing developmental opportunities such as
(1) long term training, (2) one year work experiences in an industrial
setting via the Relations With Industry Program, (3) one year work
experiences in laboratories of allied nations via the Science and
Engineer Exchange Program, (4) rotational job assignments within the
AVRDEC, (5) up to one year developmental assignments in higher
headquarters within the Army and Department of Defense, and (6) self
directed study via correspondence courses and local colleges and
universities.
Each developmental opportunity period should benefit the AVRDEC, as
well as increase the employee's individual effectiveness. Various
learning or uncompensated developmental work experiences may be
considered, such as advanced academic teaching or research, or on-the-
job work experience with public or non-profit organizations. Employees
will be eligible after completion of seven years of Federal service.
Final approval authority will rest with the AVRDEC Executive Director,
and selection of an employee to be granted an expanded developmental
opportunity will be on a competitive basis. An expanded developmental
opportunity period will not result in loss of (or reduction in) basic
pay, leave to which the employee is otherwise entitled, or credit for
time or service. Employees accepting an expanded developmental
opportunity do not have to sign a continued service agreement cited in
5 U.S.C. 4108(a)(1)(Supplement 1995).
The opportunity to participate in the Expanded Developmental
Opportunity Program will be announced annually. Instructions for
application and the selection criteria will be included in the
announcement. Final selection for participation in the program will be
made by the Personnel Management Board. The position of employees on an
expanded developmental opportunity may be backfilled with employees
temporarily promoted or contingent employees or employees assigned via
the simplified assignment process in III.A. However, that position or
its equivalent must be made available to the employee returning from
the expanded developmental opportunity.
[[Page 34920]]
2. Training for Degrees
Degree training is an essential component of an organization that
requires continuous acquisition of advanced and specialized knowledge.
Degree training in the academic environment of laboratories is also a
critical tool for recruiting and retaining employees with or requiring
critical skills. Constraints under current law and regulation limit
degree payment to shortage occupations. In addition, current government
wide regulations authorize payment for degrees based only on
recruitment or retention needs. Degree payment is not currently
permitted for non-shortage occupations involving critical skills.
The AVRDEC proposes to expand the authority to provide degree
payment to employees in all occupational families for purposes of
meeting critical skill requirements, to ensure continuous acquisition
of advanced and specialized knowledge essential to the organization,
and to recruit and retain personnel critical to the present and future
requirements of the organization. Degree payment may not be authorized
where it would result in a tax liability for the employee without the
employee's express and written consent. It is expected that the degree
payment authority will be used primarily and largely for advanced
degrees, except where an undergraduate program is necessary to the
attainment of an advanced degree or credits. Any variance from this
policy must be rigorously determined and documented.
The AVRDEC will develop guidelines to ensure competitive approval
of degree payment and that such decisions are fully documented. In
addition, this proposal shall be implemented consistent with 5 U.S.C.
4107(b)(2).
F. Revised Reduction-in-Force (RIF) Procedures
Introduction
Modifications include limiting competitive area to occupational
families and increasing the emphasis on performance in the RIF Process.
Retention criteria are in the following order; tenure, veterans'
preference, service credit adjusted by a sum of the last three
performance ratings. Current reduction in force regulations/procedures
have been adjusted in the context of the occupational family and the
payband classification system.
Competitive Areas
All positions included in the Demonstration Project at a specific
geographic location will be considered a separate competitive area
(exception: positions at Ft. Eustis and Langley, Virginia will be
combined in one competitive area). Bumps and retreats will occur only
within the competitive area and only to positions for which the
employee is qualified.
Competitive levels will be established based on the payband,
classification series, and where responsibilities are similar enough in
duties, qualification requirements, pay schedules, and working
conditions so that an employee may be reassigned to any of the other
positions within the level without requiring significant training or
causing undue interruption. Separate competitive levels will be
established for positions in the competitive and excepted service; for
positions filled on a full-time, part-time, intermittent, seasonal, or
on-call basis; and separate levels will be established for positions
filled by an employee in a formally designated trainee or developmental
program.
Retention
Competing employees are listed on a retention register in the order
shown below. Each tenure group has three subgroups (30% or higher
compensable veterans, other veterans, and non-veterans) and employees
appear on the retention register in that order. Within each subgroup,
employees are in order of years of service adjusted to include
performance credit.
Tenure I (Career employees)
Tenure II (Career-Conditional employees)
Tenure III (Contingent employees)
In the demonstration project, an employee can bump to a position
held by another employee in a lower subgroup or tenure group; the
position may be no lower than the equivalent of three GS grades (or
appropriate grade intervals) below the minimum GS grade level of his/
her current band, in accordance with Section V (Conversion or Movement
from a Project Position to a General Schedule Position, a. Grade-
Setting Provisions). An employee can retreat to a position held by
another employee in the same subgroup who has a lower adjusted RIF
service computation date; the position may be no lower than the
equivalent of three GS grades (or appropriate grade intervals) below
the minimum GS grade level of his/her current band. A preference
eligible with a compensable service-connected disability of 30 percent
or more may retreat to a position equivalent to five GS grades below
the minimum grade level of his/her current band.
An employee with a current annual performance rating of U has
assignment rights only to a position held by another employee who has a
U rating. An employee who has been given a written decision of removal
because of unacceptable performance will be placed at the bottom of the
retention register for his/her competitive level.
Link Between Performance and Retention
An employee will have additional years of service added to the
service computation date for retention purposes. The credit is applied
for each of the last three annual performance ratings of record,
received over the last four years, for a potential credit of 30 years.
If an employee has less than three annual performance ratings of
record, then for each missing rating, an average of the ratings
received for the past four years will be used. Ratings given under non-
demo systems will be converted to the demo rating scheme and provided
the equivalent rating credit.
Rating A adds 10 years
Rating B adds 7 years
Rating C adds 3 years
Rating U adds no credit for retention
IV. Training
Introduction
The key to the success or failure of the proposed demonstration
project will be the training provided for all involved. This training
will not only provide the necessary knowledge and skills to carry out
the proposed changes, but will also lead to program commitment on the
part of participants.
Training before the beginning of implementation and throughout the
demonstration will be provided to supervisors, employees, and the
administrative staff responsible for assisting managers in effecting
the changeover and operation of the new system.
The elements to be covered in the orientation portion of this
training will include: (1) A description of the personnel system, (2)
how employees are converted into and out of the system, (3) the pay
adjustment and/or bonus process, (4) familiarization with the new
position descriptions and performance objectives, (5) the performance
evaluation management system, (6) the reconsideration process, and (7)
the demonstration project administrative and formal evaluation process.
NFFE Local 405 will be given an opportunity to describe their role and
function in the demonstration project.
Supervisors
The focus of this project on management-centered personnel
[[Page 34921]]
administration, with increased supervisory and managerial personnel
management authority and accountability, demands thorough training of
supervisors and managers in the knowledge and skills that will prepare
them for their new responsibilities. Training will include detailed
information on the policies and procedures of the demonstration
project, skills training in using the classification system, position
description preparation, performance evaluation, and interaction with
NFFE Local 405 as a partner. Additional training may focus on
nonproject procedural techniques such as interpersonal and
communication skills.
Administrative Staff
The administrative staff, generally personnel specialists,
technicians, and administrative officers, will play a key role in
advising, training, and coaching supervisors and employees in
implementing the demonstration project. This staff will need training
in the procedural and technical aspects of the project.
Employees
The AVRDEC, in conjunction with the NFFE Local 405 and education
and development assets of the CPAC/CPOC, will train employees covered
under the demonstration project. In the months leading up to the
implementation date, meetings will be held for employees to fully
inform them of all project decisions, procedures, and processes.
V. Conversion
Conversion to the Demonstration Project
a. Initial entry into the demonstration project will be
accomplished through a full employee protection approach that ensures
each employee an initial place in the appropriate payband without loss
of pay. Employees serving under regular term appointments at the time
of the implementation of the demonstration project will be converted to
the contingent employee appointment. Position announcement, etc. will
not be required for these contingent employee appointments. An
automatic conversion from current GS/GM grade and pay into the new
broadband system will be accomplished. Each employee's initial total
salary under the demonstration project will equal the total salary
received immediately before conversion. Employees who enter the
demonstration project later by lateral reassignment or transfer will be
subject to parallel pay conversion rules. If conversion into the
demonstration project is accompanied by a geographic move, the
employee's GS pay entitlements in the new geographic area must be
determined before performing the pay conversion.
b. Employees who are on temporary promotions at the time of
conversion will be converted to a payband commensurate with the grade
of the position to which promoted. At the conclusion of the temporary
promotion, the employee will revert to the payband which corresponds to
the grade of record. When a temporary promotion is terminated, the
employee's pay entitlements will be determined based on the employee's
position of record, with appropriate adjustments to reflect pay events
during the temporary promotion, subject to the specific policies and
rules established by the AVRDEC. In no case may those adjustments
increase the pay for the position or record beyond the applicable pay
range maximum rate. The only exception will be if the original
competitive promotion announcement stipulated that the promotion could
be made permanent; in these cases actions to make the temporary
promotion permanent will be considered, and if implemented, will be
subject to all existing priority placement programs.
c. Employees who are covered by special salary rates, prior to the
demonstration project, will no longer be considered a special rate
employee under the Demonstration Project. These employees will,
therefore, be eligible for full locality pay. The adjusted salaries of
these employees will not change. Rather, the employees will receive a
new basic pay rate computed by dividing their adjusted basic pay
(higher of special rate or locality rate) by the locality pay factor
for their area. A full locality adjustment will then be added to the
new basic pay rate. Adverse action and pay retention provisions will
not apply to the conversion process as there will be no change in total
salary.
d. During the first 12 months following conversion, employees will
receive pay increases for non-competitive promotion equivalents when
the grade level of the promotion is encompassed within the same
broadband, the employee's performance warrants the promotion and
promotions would have otherwise occurred during that period. Employees
who receive an in-level promotion at the time of conversion will not
receive a prorated step increase equivalent as defined below.
e. Under the current pay structure, employees progress through
their assigned grade in step increments. Since this system is being
replaced under the demonstration project, employees (including those
added to the AVRDEC by BRAC 95 actions) will be awarded that portion of
the next higher step, based upon the portion of the waiting period they
have completed up until the effective date of implementation. As under
the current system, supervisors will be able to withhold these partial
step increases if the employee's performance falls below fully
successful. Rules governing Within-Grade Increases (WGI) under the
current Army performance plan will continue in effect until the
implementation date. Adjustments to the employee's base salary for WGI
equity will be computed effective the date of implementation to
coincide with the beginning of the first formal PFP assessment cycle.
WGI equity will be acknowledged by increasing base salaries by a
prorated share based upon the number of weeks an employee has completed
towards the next higher step. Payment will equal the current value of
the employee's next WGI times the proportion of the waiting period
completed (weeks completed in waiting period/weeks in the waiting
period) at the time of conversion. Employees at step 10, or receiving
retained rates, on the date of implementation will not be eligible for
WGI equity adjustments since they are already at or above the top of
the step scale.
Conversion or Movement From a Project Position to a General Schedule
Position
If a demonstration project employee is moving to a General Schedule
(GS) position not under the demonstration project, or if the project
ends and each project employee must be converted back to the GS system,
the following procedures will be used to convert the employee's project
payband to a GS-equivalent grade and the employee's project rate of pay
to GS equivalent rate of pay. The converted GS grade and GS rate of pay
must be determined before movement or conversion out of the
demonstration project and any accompanying geographic movement,
promotion, or other simultaneous action. For conversions upon
termination of the project and for lateral reassignments, the converted
GS grade and rate will become the employee's actual GS grade and rate
after leaving the demonstration project (before any other action). For
transfers, promotions, and other actions, the converted GS grade and
rate will be used in applying any GS pay administration rules
applicable in connection with the employee's movement out of the
project (e.g., promotion rules, highest previous rate rules, pay
retention rules), as if the GS converted grade and rate were
[[Page 34922]]
actually in effect immediately before the employee left the
demonstration project.
a. Grade-Setting Provisions: An employee in a payband corresponding
to a single GS grade is converted to that grade. An employee in a
payband corresponding to two or more grades is converted to one of
those grades according to the following rules:
(1) The employee's adjusted rate of basic pay under the
demonstration project (including any locality payment) is compared with
step 4 rates in the highest applicable GS rate range. (For this
purpose, a ``GS rate range'' includes a rate in (1) the GS base
schedule, (2) the locality rate schedule for the locality pay area in
which the position is located, or (3) the appropriate special rate
schedule for the employee's occupational series, as applicable.) If the
series is a two-grade interval series, only odd-numbered grades are
considered below GS-11.
(2) If the employee's adjusted project rate equals or exceeds the
applicable step 4 rate of the highest GS grade in the band, the
employee is converted to that grade.
(3) If the employee's adjusted project rate is lower than the
applicable step 4 rate of the highest grade, the adjusted rate is
compared with the step 4 rate of the second highest grade in the
employee's payband. If the employee's adjusted rate equals or exceeds
step 4 rate of the second highest grade, the employee is converted to
that grade.
(4) This process is repeated for each successively lower grade in
the band until a grade is found in which the employee's adjusted
project rate equals or exceeds the applicable step 4 rate of the grade.
The employee is then converted at that grade. If the employee's
adjusted rate is below the step 4 rate of the lowest grade in the band,
the employee is converted to the lowest grade.
(5) Exception: If the employee's adjusted project rate exceeds the
maximum rate of the grade assigned under the above-described ``step 4''
rule but fits in the rate range for the next higher applicable grade
(i.e., between step 1 and step 4), then the employee shall be converted
to that next higher applicable grade.
(6) Exception: An employee will not be converted to a lower grade
than the grade held by the employee immediately preceding a conversion,
lateral reassignment, or lateral transfer into the project, unless
since that time the employee has undergone a reduction in band.
b. Pay-Setting Provisions: An employee's pay within the converted
GS grade is set by converting the employee's demonstration project rate
of pay to GS rate of pay in accordance with the following rules:
(1) The pay conversion is done before any geographic movement or
other pay-related action that coincides with the employee's movement or
conversion out of the demonstration project.
(2) An employee's adjusted rate of basic pay under the project
(including any locality payment) is converted to a GS adjusted rate on
the highest applicable rate range for the converted GS grade. (For this
purpose, a ``GS rate range'' includes a rate range in (1) the GS base
schedule, (2) an applicable locality rate schedule, or (3) an
applicable special rate schedule.)
(3) If the highest applicable GS rate range is a locality pay rate
range, the employee's adjusted project rate is converted to a GS
locality rate of pay. If this rate falls between two steps in the
locality-adjusted schedule, the rate must be set at the higher step.
The converted GS unadjusted rate of basic pay would be the GS base rate
corresponding to the converted GS locality rate (i.e., same step
position). (If this employee is also covered by a special rate schedule
as a GS employee, the converted special rate will be determined based
on the GS step position. This underlying special rate will be basic pay
for certain purposes for which the employee's higher locality rate is
not basic pay.)
(4) If the highest applicable GS rate range is a special rate
range, the employee's adjusted project rate is converted to a special
rate. If this rate falls between two steps in the special rate
schedule, the rate must be set at the higher step. The converted GS
unadjusted rate of basic pay will be the GS rate corresponding to the
converted special rate (i.e., same step position).
c. E&S Payband V Employees: An employee in Payband V of the E&S
Occupational Family will convert out of the demonstration project at
the GS-15 level. AVRDEC, in consultation with the MICOM CPAC, will
develop a procedure to ensure that employees entering Payband V
understand that if they leave the demonstration project and their
adjusted pay exceeds the GS-15, step 10 rate, there is no entitlement
to retained pay. Their GS-equivalent rate will be deemed to be the rate
for GS-15, step 10. For those Payband V employees paid below the
adjusted GS-15, step 10 rate, the converted rates will be set in
accordance with paragraph b.
d. Employees with Band or Pay Retention: (1) If an employee is
retaining a band level under the demonstration project, apply the
procedures in paragraphs a and b, above, using the grades encompassed
in the employee's retained band to determine the employee's GS-
equivalent retained grade and pay rate. The time in a retained band
under the demonstration project counts toward the 2-year limit on grade
retention in 5 U.S.C. 5382.
(2) If an employee is retaining rate under the demonstration
project, the employee's GS-equivalent grade is the highest grade
encompassed in his or her band level. MRDEC will coordinate with OPM to
prescribe a procedure for determining the GS-equivalent pay rate for an
employee retaining a rate under the demonstration project.
e. Within-Grade Increase--Equivalent Increase Determinations:
Service under the demonstration project is creditable for within-grade
increase purposes upon conversion back to the GS pay system.
Performance pay increases (including a zero increase) under the
demonstration project are equivalent increases for the purpose of
determining the commencement of a within-grade increase waiting period
under 5 CFR 531.405(b).
Personnel Administration
All personnel laws, regulations, and guidelines not waived by this
plan will remain in effect. Basic employee rights will be safeguarded
and merit principles will be maintained. Supporting personnel
specialists will continue to process personnel-related actions and
provide consultative and other appropriate services.
Use of benchmark position descriptions is not anticipated to
adversely impact an employee's ability to seek employment outside of
AVRDEC. AVRDEC employees participating in the project will have short
generic benchmark position descriptions which describe the general type
of work performed, and the range of complexity and supervisory
controls. The benchmark position description cover sheet lists the OPM
occupational series, e.g., 855 for Electronics Engineer, to which the
employee is assigned, and, where additional specificity is needed,
lists a specialty code, which ties the employee's benchmark description
to a particular technology or functional area. The OPM occupational
code will serve as ready identification Government-wide of the basic
qualifications and experience that the employee possesses. In addition,
virtually all federal employment systems, including the Office of
Personnel Management's, rely on employee-generated resumes which allow
the applicants to summarize or describe the details of their experience
and training. Any pertinent information regarding the AVRDEC employees'
knowledge, skills or abilities not contained in the benchmark position
description can be conveyed to potential employers through their
resume.
[[Page 34923]]
Automation
The AVRDEC will continue to use the Defense Civilian Personnel Data
System (DCPDS) for the processing of personnel-related data. Payroll
servicing will continue from the respective payroll offices.
Local automated systems will be developed to support computation of
performance related pay increases and awards and other personnel
processes and systems associated with this project.
Experimentation and Revision
Many aspects of a demonstration project are experimental. Upon
written request by Management or the union to the other party,
modifications may be negotiated at any time as experience is gained,
results are analyzed, and conclusions are reached on how the system is
working. The AVRDEC will make minor modifications, such as changes in
the occupational series in a occupational family without further
notice. Major changes, such as a change in the number of occupational
families, will be negotiated with the union and published in the
Federal Register. See 5 CFR Part 470.
VI. Project Duration
Public Law 103-337 removed any mandatory expiration date for this
demonstration. The project evaluation plan adequately addresses how
each intervention will be comprehensively evaluated for at least the
first 5 years of the demonstration. Major changes and modifications to
the interventions can be made through announcement in the Federal
Register and would be made if formative evaluation data warranted. At
the 5 year point, the entire demonstration will be reexamined for
either: (a) Permanent implementation, (b) change and another 3-5 year
test period, or (c) expiration.
VII. Evaluation Plan
Chapter 47 (Title 5 U.S.C.) requires that an evaluation system be
implemented to measure the effectiveness of the proposed personnel
management interventions. An evaluation plan for the entire laboratory
demonstration program covering 24 DoD labs was developed by a joint
OPM/DoD Evaluation Committee. A Comprehensive evaluation plan was
submitted to the Office of Defense Research & Engineering in 1995 and
subsequently approved (Proposed Plan for Evaluation of the Department
of Defense S&T Laboratory Demonstration Program, Office of Merit
Systems Oversight & Effectiveness, June 1995). The overall evaluation
effort will be coordinated and conducted by OPM's Personnel Resources
and Development Center (PRDC). The primary focus of the evaluation is
to determine whether the waivers granted result in a more effective
personnel system than the current as well as an assessment of the costs
associated with the new system.
The present personnel system with its many rigid rules and
regulations is generally perceived as an impediment to mission
accomplishment. The Demonstration Project is intended to remove some of
those barriers and therefore, is expected to contribute to improved
organizational performance. While it is not possible to prove a direct
causal link between intermediate and ultimate outcomes (improved
personnel system performance and improved organizational
effectiveness), such a linkage is hypothesized and data will be
collected and tracked for both types of outcome variables.
An intervention impact model (Appendix B) will be used to measure
the effectiveness of the various personnel system changes or
interventions. Additional measures will be developed as new
interventions are introduced or existing interventions modified
consistent with expected effects. Measures may also be deleted when
appropriate. Activity specific measures may also be developed to
accommodate specific needs or interests which are locally unique.
The evaluation model for the Demonstration Project identifies
elements critical to an evaluation of the effectiveness of the
interventions. The overall evaluation approach will also include
consideration of context variables that are likely to have an impact on
project outcomes: e.g., HRM regionalization, downsizing, cross-service
integration, and the general state of the economy. However, the main
focus of the evaluation will be on intermediate outcomes, i.e., the
results of specific personnel system changes which are expected to
improve human resources management. The ultimate outcomes are defined
as improved organizational effectiveness, mission accomplishment, and
customer satisfaction.
Data from a variety of different sources will be used in the
evaluation. Information from existing management information systems
supplemented with perceptual data will be used to assess variables
related to effectiveness. Multiple methods provide more than one
perspective on how the demonstration project is working. Information
gathered through one method will be used to validate information
gathered through another. Confidence in the findings will increase as
they are substantiated by the different collection methods. The
following types of data will be collected as part of the evaluation:
(1) Workforce data; (2) personnel office data; (3) employee attitudes
and feedback using surveys, structured interviews, and focus groups;
(4) local activity histories; and, (5) core measures of laboratory
effectiveness.
VIII. Demonstration Project Costs
Costs associated with the development of the personnel
demonstration system include software automation, training, and project
evaluation. All funding will be provided through the ATCOM/AVRDEC
(prior to BRAC implementation) and the U.S. Army Aviation and Missile
Command and AVRDEC budgets (after BRAC implementation). The projected
annual expenses for each area is summarized in Table 1.
Table 1.--Projected Developmental Costs
(Then Year Dollars)
--------------------------------------------------------------------------------------------------------------------------------------------------------
FY 96 FY 97 FY 98 FY 99 FY 00 FY 01
--------------------------------------------------------------------------------------------------------------------------------------------------------
Training......................... .................. $ 33K $ 16K
Project Evaluation............... $ 13K 25K 25K $ 25K $ 25K $ 25K
Automation....................... .................. 6K 1K
Totals..................... 13K 64K 42K 25K 25K 25K VIII.
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 34924]]
IX. Required Waivers to Law and Regulation
Public Law 103-337 gave the DoD the authority to experiment with
several personnel management innovations. In addition to the
authorities granted by the law, the following are the waivers of law
and regulation that will be necessary for implementation of the
Demonstration Project. In due course, additional laws and regulations
may be identified for waiver request.
1. Title 5, U.S. Code
Chapter 31, Section 3111: Acceptance of Volunteer Service--To the
extent that the acceptance of retired or separated engineers and
scientists are included as volunteers under current statute.
Chapter 31, Section 3132: The Senior Executive Service; Definitions
and exclusions.
Chapter 33, Section 3324: Appointment to positions classified above
GS-15.
Chapter 41, Section 4107: Pay for Degrees.
Chapter 41, Section 4108: Employee Agreements; Service after
Training--To the extent that employees who accept an expanded
developmental opportunity (sabbatical) do not have to sign a continued
service agreement.
Chapter 43, Sections 4301(3): Definitions
Chapter 43, Section 4302: Establishment of Performance Appraisal
Systems.
Chapter 43, Section 4303(a), (b), and (c): Actions based on
Unacceptable Performance.
Chapter 51, Sections 5101-5111: Related to classification standards
and grading; to the extent that white collar employees will be covered
by broadbanding. Pay category determination criteria for federal wage
system positions remain unchanged.
Chapter 53, Sections 5301, 5302 (8) and (9), 5303 and 5304:
Sections 5301, 5302, and 5304 are waived only to the extent necessary
to allow demonstration project employees to be treated as General
Schedule employees and to allow basic rates of pay under the
demonstration project to be treated as scheduled rates of pay. This
waiver does not apply to ST employees who continue to be covered by
these provisions, as appropriate. Employees in Payband V of the E&S
occupational family are treated as ST employees for the purposes of
these provisions.
Chapter 53, Section 5305: Special Rates
Chapter 53, Sections 5331-5336: General Schedule pay rates.
Chapter 53, Sections 5361-5366: Grade and pay retention--This
waiver applies only to the extent necessary to (1) replace ``grade''
with ``payband'; (2) allow demonstration project employees to be
treated as General Schedule employees; (3) provide that pay retention
provisions do not apply to conversions from General Schedule special
rates to demonstration project pay, as long as total pay is not
reduced, and to reductions in pay due solely to the removal of a
supervisory pay adjustment upon voluntarily leaving a supervisory
position; (4) provide that an employee on pay retention whose
performance rating is ``U'' is not entitled to 50 percent of the amount
of the increase in the maximum rate of basic pay payable for the
payband of the employee's position; and, (5) ensure that for employees
of Payband V of the E&S occupational family, payband retention is not
applicable and pay retention provisions are modified so that no rate
established under these provisions may exceed the rate of basic pay for
GS-15, step 10 (i.e., there is no entitlement to retained rate). This
waiver does not apply to ST employees unless they move to a GS-
equivalent position under the demonstration project under conditions
that trigger entitlement to pay retention.
Chapter 55, Section 5545(d): Hazardous duty differential--This
waiver applies only to the extent necessary to allow demonstration
project employees to be treated as General Schedule employees. This
waiver does not apply to ST employees or employees in Payband V of the
E&S occupational family.
Chapter 57, Section 5753, 5754, and 5755: Recruitment and
Relocation Bonuses, Retention Allowances and Supervisory
Differentials--This waiver applies only to the extent necessary to
allow employees and positions under the demonstration project to be
treated as employees and positions under the General Schedule. This
waiver does not apply to ST employees who continue to be covered by
these provisions, as appropriate. Employees in Payband V of the E&S
occupational family are treated as ST employees for the purposes of
these provisions.
Chapter 75, Section 7512(3): Adverse actions--This waiver applies
only to the extent necessary to replace ``grade'' with ``payband'.
Chapter 75, Section 7512(4): Adverse actions--This waiver applies
only to the extent necessary to provide that adverse action provisions
do not apply to (1) conversions from General Schedule special rates to
demonstration project pay, as long as total pay is not reduced and (2)
reductions in pay due to the removal of a supervisory pay adjustment
upon voluntary movement to a nonsupervisory position.
2. Title 5, Code of Federal Regulations:
Part 300.601-605: Time-in-Grade requirements--Restrictions
eliminated under the demonstration.
Part 308.101 through 308.103: Volunteer Service--To the extent that
retired engineers/scientists can perform voluntary services.
Part 315.801 and 315.802: Probationary Period--Demonstration
project employees in some occupational families will have extended
probationary period.
Part 316.301: Term Appointments--Adding years to exceed 4.
Part 316.303: Tenure of Term Employees--Demonstration allows for
conversion.
Part 316.305: Eligibility for Within-Grade Increases.
Part 351.402(b): Competitive Areas.
Part 351.403: Competitive level--To the extent that payband is
substituted for grade.
Part 351.504: Credit for Performance--As it relates to years of
credit.
Part 351.701: Assignment Involving Displacement--To the extent that
employees bump and retreat rights will be limited to one payband except
in the case of 30% preference eligibles which is a position equivalent
to five GS grades below the minimum grade level of his/her payband.
Part 430 subpart B, Performance Appraisal for General Schedule,
Prevailing Rate, and Certain Other Employees: Employees under the
demonstration project will not be subject to the requirements of this
subpart.
Part 432: Modified to the extent that an employee may be removed,
reduced in band level with a reduction in pay, reduced in pay without a
reduction in band level and reduced in band level without a reduction
in pay based on unacceptable performance. Also modified to delete
reference to critical element. For employees who are reduced in band
level without a reduction in pay, Sections 432.105 and 432.106(a) do
not apply.
Part 432, Sections 104 and 105: Proposing and Taking Action Based
on Unacceptable Performance.
Part 511: Classification Under the General Schedule--To the extent
that grades are changed to broadbands, and that white collar positions
are covered by broadbanding.
Part 530, subpart C: Special salary rates.
Part 531, subparts B, D, and E: Determining rate of basic pay,
within-
[[Page 34925]]
grade increases, and quality step increases.
Part 531, subpart F: Locality pay--This waiver applies only to the
extent necessary to allow demonstration project employees to be treated
as General Schedule employees, and basic rates of pay under the
demonstration project to be treated as scheduled annual rates of pay.
This waiver does not apply to ST employees who continue to be covered
by these provisions, as appropriate. Employees in Payband V of the E&S
occupational family are treated as ST employees for the purposes of
these provisions.
Part 536: Grade and pay retention--This waiver applies only to the
extent necessary to (1) replace ``grade'' with ``payband''; (2) provide
that pay retention provisions do not apply to conversions from General
Schedule special rates to demonstration project pay, as long as total
pay is not reduced, and to reductions in pay due solely to the removal
of a supervisory pay adjustment upon voluntarily leaving a supervisory
position; (3) provide that an employee on pay retention whose
performance rating is ``U'' is not entitled to 50 percent of the amount
of the increase in the maximum rate of basic pay payable for the
payband of the employee's position; and, (4) ensure that for employees
of Payband V of the E&S occupational family, payband retention is not
applicable and pay retention provisions are modified so that no rate
established under these provisions may exceed the rate of basic pay for
GS-15, step 10 (i.e., there is no entitlement to retained rate). This
waiver does not apply to ST employees unless they move to a GS-
equivalent position under the demonstration project under conditions
that trigger entitlement to pay retention.
Part 550.703: Severance Pay--This waiver applies only to the extent
necessary to modify the definition of ``reasonable offer'' by replacing
``two grade or pay levels'' with ``one band level'' and ``grade or pay
level'' with ``band level''.
Part 550.902: Hazardous Duty Differential--This waiver applies only
to the extent necessary to allow demonstration project employees to be
treated as General Schedule employees. This waiver does not apply to ST
employees or employees in Payband V of the E&S occupational family.
Part 575, subparts A, B, C, and D: Recruitment Bonuses, Relocation
Bonuses, Retention Allowances and Supervisory Differentials--This
waiver applies only to the extent necessary to allow employees and
positions under the demonstration project covered by broadbanding to be
treated as employees and positions under the General Schedule. This
waiver does not apply to ST employees who continue to be covered by
these provisions, as appropriate. Employees in Payband V of the E&S
occupational family are treated as ST employees for the purposes of
these provisions.
Part 752.401 (a)(3): Adverse Actions--This waiver applies only to
the extent necessary to replace ``grade'' with ``payband.''
Part 752.401(a)(4): Adverse Actions--This waiver applies only to
the extent necessary to provide that adverse action provisions do not
apply to (1) conversions from General Schedule special rates to
demonstration project pay, as long as total pay is not reduced and (2)
reductions in pay due to the removal of a supervisory pay adjustment
upon voluntary movement to a nonsupervisory position.
Appendix A: Occupational Series by Occupational Family
I. Engineers & Scientists
0180 Engineering Research Psychologist, Engineering
Psychologist
0801 General Engineer, Human Factors Engineer, Value Analysis
Engineer
0806 Materials Engineer
0830 Mechanical Engineer
0850 Electrical Engineer
0854 Computer Engineer
0855 Electronics Engineer
0861 Aerospace Engineer, Senior Research Scientist
0896 Industrial Engineer
1301 Physical Scientist
1515 Operations Research Analyst
1520 Mathematician
II. Technical and Business Support
0018 Safety & Occupational Specialist
0201 Personnel Management Specialist
0301 Data & Configuration Management, Standardization
0301 Misc Admin & Program
0334 Computer Specialist
0341 Administrative Officer
0343 Management/Program Analyst
0346 Log Mgt Spec
0510 Operating Account
0560 Budget Analyst
0802 Aerospace Engineering Technician
0856 Electronics Technician
0905 Attorney Advisor
1035 Public Affairs Officer
1060 Photographer
1071 TV Production Specialist
1082 Technical Information Writer
1083 Technical Writer/Editor
1084 Visual Information Specialist
1102 Contract Specialist
1103 Industrial Property Management Specialist
1410 Librarian (Physical Sciences & Engineering)
1412 Technical Information Specialist
1601 Maintenance Program Specialist, Equipment Manager
1670 Equipment Specialist
1910 Quality Assurance Specialist
2001 General Supply Spec
2184 Aircraft Pilot
III. General Support
0303 Misc Clerk and Asst
0312 Clerk-Stenographer
0318 Secretary
0326 Office Automation Clerk
0344 Management Assistant
0525 Accounting Technician
0561 Budget Assistant
1105 Purchasing Agent
1106 Procurement Technician, Procurement Assistant
2005 Supply Clerk, Supply Technician
2134 Shipping Clerk
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Appendix C
Performance Elements
All employees will be rated against at least the five generic
performance elements listed through ``e'' below. Technical
competence is a mandatory critical element. Other elements may be
identified as critical by agreement between the rater and the
employee. In case of disagreements, the decision of the supervisor
will prevail. Generally, any performance element weighted 25 or
higher should be critical. However, only those employees whose
duties require manager/leader responsibilities will be rated on
element ``f.'' Supervisors will be rated against an additional
critical performance element, listed at ``g'' below:
a. Technical Competence. Exhibits and maintains current
technical knowledge, skills, and abilities to produce timely and
quality work with the appropriate level of supervision. Makes
prompt, technically sound decisions and recommendations that add
value to mission priorities and needs. For appropriate occupational
families, seeks and accepts developmental and/or special
assignments. Adaptive to technological change. (Weight range: 15 to
50)
b. Working Relationships. Accepts personal responsibility for
assigned tasks. Considerate of others' views and open to compromise
on areas of difference, if allowed by technology, scope, budget, or
direction. Exercises tact and diplomacy and maintains effective
relationships, particularly in immediate work environment and
teaming situations. Always willing to give assistance. Shows
appropriate respect and courtesy. (Weight Range: 5 to 15)
c. Communications. Provides or exchanges oral/written ideas and
information in a manner that is timely, accurate and cogent. Listens
effectively so that resultant actions show understanding of what was
said. Coordinates so that all relevant individuals and functions are
included in, and informed of, decisions and actions. (Weight Range:
5 to 15)
d. Resource Management. Meets schedules and deadlines, and
accomplishes work in order of priority; generates and accepts new
ideas and methods for increasing work efficiency; effectively
utilizes and properly controls available resources; supports
organization's resource development and conservation goals. (Weight
Range: 15 to 50)
e. Customer Relations. Demonstrates care for customers through
respectful, courteous, reliable and conscientious actions. Seeks out
and develops solid working relationships with customers to identify
their needs, quantifies those needs, and develops practical
solutions. Keeps customer informed and prevents surprises. Within
the scope of job responsibility, seeks out and develops new programs
and/or reimbursable customer work. (Weight Range: 10 to 50)
f. Management/Leadership. Actively furthers the mission of the
organization. As appropriate, participates in the development and
implementation of strategic and operational plans of the
organization. Develops and implements tactical plans. Exercises
leadership skills within the environment. Mentors junior personnel
in career development, technical competence, and interpersonal
skills. Exercises due responsibility of technical/acquisition/
organizational positions assigned to them. (Weight Range: 0 to 50)
g. Supervision/EEO. Works toward recruiting, developing,
motivating, and retaining quality team members; takes timely/
appropriate personnel actions, applies EEO/merit principles;
communicates mission and organizational goals; by example, creates a
positive, safe, and challenging work environment; distributes work
and empowers team members. (Weight Range: 15 to 50)
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[FR Doc. 97-16849 Filed 6-26-97; 8:45 am]
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