[Federal Register Volume 88, Number 18 (Friday, January 27, 2023)]
[Notices]
[Pages 5386-5387]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-01672]


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OFFICE OF PERSONNEL MANAGEMENT


January 2023 Pay Schedules

AGENCY: Office of Personnel Management.

ACTION: Notice.

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SUMMARY: The President adjusted the rates of basic pay and locality 
payments for certain Federal civilian employees effective in January 
2023. The Executive order authorizes a 4.1 percent across-the-board 
increase for statutory pay systems and locality pay increases costing 
approximately 0.5 percent of basic payroll, reflecting an overall 
average pay increase of 4.6 percent. This notice serves as 
documentation for the public record.

FOR FURTHER INFORMATION CONTACT: Rebecca Abels, Pay and Leave, Employee 
Services, Office of Personnel Management; (202) 606-2858 or [email protected].

SUPPLEMENTARY INFORMATION: On December 23, 2022, the President signed 
Executive Order (E.O.) 14090 (87 FR 79985), which implemented pay 
adjustments for certain Federal civilian employees in January 2023. 
E.O. 14090 provides an overall average pay increase of 4.6 percent for 
the statutory pay systems. This is consistent with the President's 
alternative pay plan issued under 5 U.S.C. 5303(b) and 5304a on August 
31, 2022. The pay rates in E.O. 14061 have been superseded.
    The publication of this notice satisfies the requirement in Section 
5(b) of E.O. 14090 that the Office of Personnel Management (OPM) 
publish appropriate notice of the 2023 locality payments in the Federal 
Register.
    Schedule 1 of E.O. 14090 provides the rates for the 2023 General 
Schedule (GS) and reflects a 4.1 percent increase from 2022. Executive 
Order 14090 also includes the percentage amounts of the 2023 locality 
payments. (See Section 5 and Schedule 9 of Executive Order 14090.)
    General Schedule employees receive locality payments under 5 U.S.C. 
5304. Locality payments apply in the United States (as defined in 5 
U.S.C. 5921(4)) and its territories and possessions. In 2023, locality 
payments ranging from 16.50 percent to 44.15 percent apply to GS 
employees in the 54 localities pay areas. The 2023 locality pay area 
definitions can be found at: https://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/2023/locality-pay-area-definitions/.
    The 2023 locality pay percentages became effective the first day of 
the first pay period beginning on or after January 1, 2023 (January 1, 
2023). An employee's locality rate of pay is computed by increasing his 
or her scheduled annual rate of pay (as defined in 5 CFR 531.602) by 
the applicable locality pay percentage. (See 5 CFR 531.604 and 
531.609.)
    Executive Order 14090 establishes the new Executive Schedule (EX), 
which incorporates a 4.1 percent increase required under 5 U.S.C. 5318 
(rounded to the nearest $100). By law, Executive Schedule officials are 
not authorized to receive locality payments.
    Executive Order 14090 establishes the 2023 range of rates of basic 
pay for members of the Senior Executive Service (SES) under 5 U.S.C. 
5382. The minimum rate of basic pay for the SES is $141,022 in 2023. 
The maximum rate of the SES rate range is $212,100 (level II of the 
Executive Schedule) for SES members who are covered by a certified SES 
performance appraisal system and $195,000 (level III of the Executive 
Schedule) for SES members who are not covered by a certified SES 
performance appraisal system.
    The minimum rate of basic pay for the senior-level (SL) and 
scientific and professional (ST) rate range was increased by 4.1 
percent ($141,022 in 2023), which is the amount of the

[[Page 5387]]

across-the-board GS increase. The applicable maximum rate of the SL/ST 
rate range is $212,100 (level II of the Executive Schedule) for SL or 
ST employees who are covered by a certified SL/ST performance appraisal 
system and $195,000 (level III of the Executive Schedule) for SL or ST 
employees who are not covered by a certified SL/ST performance 
appraisal system. Agencies with certified performance appraisal systems 
for SES members and employees in SL and ST positions must also apply a 
higher aggregate limitation on pay--up to the Vice President's salary 
($272,100 in 2023.)
    Note that section 747 of division E of the Consolidated 
Appropriations Act, 2023 (Pub. L. 117-328, December 29, 2022), contains 
a provision that continues the freeze on the payable pay rates for the 
Vice President and certain senior political appointees at the rates of 
pay and applicable limitations on payable rates of pay in effect on 
December 31, 2022. The section 747 pay freeze is scheduled to end on 
the last day of the last pay period that begins in calendar year 2023 
(January 13, 2024, for those on the standard biweekly pay period 
cycle). Future Congressional action will determine whether the pay 
freeze continues beyond that date. OPM guidance on the continued pay 
freeze for certain senior political officials can be found in CPM 2022-
25 at https://www.chcoc.gov/content/continued-pay-freeze-certain-senior-political-officials-7.
    Executive Order 14090 provides that the rates of basic pay for 
administrative law judges (ALJs) under 5 U.S.C. 5372 are increased by 
4.1 percent (rounded to the nearest $100) in 2023. The rate of basic 
pay for AL-1 is $183,500 (equivalent to the rate for level IV of the 
Executive Schedule). The rate of basic pay for AL-2 is $178,900. The 
rates of basic pay for AL-3/A through 3/F range from $122,400 to 
$169,600.
    The rates of basic pay for members of Contract Appeals Boards are 
calculated as a percentage of the rate for level IV of the Executive 
Schedule. (See 5 U.S.C. 5372a.) Therefore, these rates of basic pay are 
increased by 4.1 percent in 2023.
    On November 30, 2022, OPM issued a memorandum on behalf of the 
President's Pay Agent (the Secretary of Labor and the Directors of the 
Office of Management and Budget and OPM) that continues GS locality 
payments for ALJs and certain other non-GS employee categories in 2023. 
By law, EX officials, SES members, employees in SL/ST positions, and 
employees in certain other equivalent pay systems are not authorized to 
receive locality payments. (Note: An exception applies to certain 
grandfathered SES, SL, and ST employees stationed in a nonforeign area 
on January 2, 2010. See CPM 2009-27 at https://www.chcoc.gov/content/nonforeign-area-retirement-equity-assurance-act.) The memo is available 
at https://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/2022/extension-of-locality-pay-memo-for-non-gs-employees-2023.pdf.
    On December 23, 2022, OPM issued a memorandum (CPM 2022-22) on the 
2023 pay adjustments. (See https://www.chcoc.gov/content/january-2023-pay-adjustments.) The memorandum transmitted Executive Order 14090 and 
provided the 2023 salary tables, locality pay areas and percentages, 
and information on general pay administration matters and other related 
guidance. The ``2023 Salary Tables'' posted on OPM's website at http://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/ are the 
official rates of pay for affected employees and are hereby 
incorporated as part of this notice.

U.S. Office of Personnel Management.
Stephen Hickman,
Federal Register Liaison.
[FR Doc. 2023-01672 Filed 1-26-23; 8:45 am]
BILLING CODE 6325-39-P