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 <subject>Evaluation criteria</subject>
 <subject>Executive compensation</subject>
 <subject>Federal employees</subject>
 <subject>Pay</subject>
 <subject>Performance appraisal</subject>
 <subject>Performance management</subject>
 <subject>Performance measures</subject>
 <subject>Policy evaluation</subject>
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 <title>Human Capital: Bonuses to Senior Executives at the Department of Veterans Affairs</title>
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<abstract>Key practices of effective performance management for the Senior
Executive Service (SES) include the linkage or &quot;line of sight&quot;	 
between individual performance and organizational success, the	 
importance of linking pay to individual and organizational	 
performance, and the need to make meaningful distinctions in	 
performance. GAO identified certain principles for executive pay 
plans that should be considered to attract and retain the quality
and quantity of executive leadership necessary to address 21st	 
century challenges, including that they be sensitive to hiring	 
and retention trends; reflect knowledge, skills, and		 
contributions; and be competitive. This testimony focuses on the 
Department of Veterans Affairs&apos; (VA) process for awarding bonuses
to SES members, the amount and percentage of bonuses awarded for 
fiscal years 2004 through 2006 based on data reported by VA, and 
the Office of Personnel Management&apos;s (OPM) and the Office of	 
Management and Budget&apos;s (OMB) roles in certifying federal	 
agencies SES performance appraisal systems. GAO analyzed VA&apos;s	 
policies and procedures for awarding bonuses and data provided by
VA on the amount and percentages of bonuses and interviewed	 
knowledgeable VA officials. Information on OPM&apos;s and OMB&apos;s	 
certification process was based on our 2007 report on OPM&apos;s	 
capacity to lead and implement reform</abstract>
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<note>Testimony</note>
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 <topic>Evaluation criteria</topic>
 <topic>Executive compensation</topic>
 <topic>Federal employees</topic>
 <topic>Pay</topic>
 <topic>Performance appraisal</topic>
 <topic>Performance management</topic>
 <topic>Performance measures</topic>
 <topic>Policy evaluation</topic>
 <topic>Policies and procedures</topic>
 <topic>Senior Executive Service</topic>
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