Federal Register: May 9, 2008 (Volume 73, Number 91)
DOCID: fr09my08-112 FR Doc E8-10440
OFFICE OF PERSONNEL MANAGEMENT
Personnel Management Office
NOTICE: NOTICES
DOCID: fr09my08-112
ACTION: Proposed Personnel Demonstration Project:
DOCUMENT ACTION: Notice of a proposed demonstration project plan.
SUBJECT CATEGORY:
Proposed Personnel Demonstration Project; Alternative Personnel Management System for the U.S. Department of Agriculture, Food Safety and Inspection Service
DATES: To be considered, written comments must be submitted on or before June 9, 2008. A public hearing will be held on the proposed project plan on Thursday, June 26, 2008, and will begin at 10 a.m., Eastern Standard Time. The location of the hearing is: U.S. Department of Agriculture, South Building, 1400 Independence Avenue, SW., Washington, DC 20250. You must use the 7th wing entrance which is accessible from Independence Avenue.
Public parking is limited, but the building is conveniently accessible to the ``Smithsonian'' Metro stations. The South Building is a secure facility. Members of the public must show a governmentissued photo ID (e.g. State driver's license). Attendees will undergo electronic screening, and their personal belongings will be subject to a physical search. Personal items prohibited in the South Building include devices that can transmit and record, weapons (guns, knives, explosives, etc.), and alcohol. A member of the public possessing such items will be barred from entering, and such items are subject to confiscation. There will be a signin table set up in the lobby of the Jefferson Auditorium. A greeter and signs will direct attendees to the auditorium location.
There will be a telephone callin number for members of the public and agency who cannot attend in person. That number will be 888790 4330 (Passcode: Demonstration Project), and the line will be active from 10 a.m. Eastern Standard Time until the conclusion of the hearing.
At the time of the hearing, interested persons or organizations may present their written or oral comments on the proposed demonstration project. The hearing will be informal. However, anyone wishing to testify should contact the person listed under FOR FURTHER INFORMATION CONTACT, so that FSIS, USDA, and OPM can plan the hearing and provide sufficient lead time for all interested persons and organizations to be heard. Priority will be given to those on the schedule, with others speaking in any remaining available time. Each speaker's presentation will be limited to five minutes. Written comments may be submitted to supplement oral testimony during the public comment period.
DOCUMENT SUMMARY:
Chapter 47 of title 5, United States Code, authorizes the U.S.
Office of Personnel Management (OPM), directly or in agreement with one
or more agencies, to conduct demonstration projects that experiment
with new and different human resources management concepts to determine
whether changes in human resources policy or procedures result in
improved Federal human resources management. The Food Safety and
Inspection Service (FSIS), the United States Department of Agriculture
(USDA), and OPM propose to test a resultsbased, competencylinked pay
forperformance system that is combined with a simplified, pay banding classification and compensation system. Section 4703 of
[[Page 26437]]
title 5 requires OPM to publish the proposed project plan in the
Federal Register. This notice fulfills that requirement.
SUMMARY:
Alternative Personnel Management System; USDA, FSIS,
SUPPLEMENTAL INFORMATION
The goals of this demonstration project are
to improve workforce performance and promote mission accomplishment by
making employees' pay increases more performancesensitive, so that
only Fully Successful and higher performers will receive any pay
adjustments and the best performers will receive the largest pay
adjustments. This will produce such measurable outcomes as improving
the quality of new hires, increasing the proportion of agency positions
that remain filled, improving supervisors' and employees' commitment to
a highly effective performance culture, retaining good performers,
making line managers more responsible and accountable for human
resources management, improving the effectiveness and efficiency of
human resources systems, and closing human capital gaps for supervisory
and missioncritical occupations (e.g., the gap between the number of
employees required at each competency proficiency level to perform
current and future missions and the number of existing employees at those levels).
Linda M. Springer,
Director.
Table of Contents
I. Executive Summary
II. Introduction
A. Purpose
B. Problems with the Present System
C. Changes Required/Expected Benefits
D. Participating Organizations
E. Participating Employees
F. Labor Participation
G. Project Design
III. Personnel System Changes
A. Pay Banding Classification and Pay System
1. Establishment of Career Paths and Pay Bands
2. Position Classification
3. Delegation of Classification Authority
4. Classification Appeals
5. Elimination of Fixed Steps
6. Rate Range
7. Locality Pay
8. Rate of Basic Pay Upon Initial Appointment
9. Rate of Basic Pay Upon Promotion
10. Rate of Basic Pay in Noncompetitive Lateral Actions
11. Other Pay Administration Provisions
12. Staffing Supplements
13. Status as GS Employees
B. Performance Appraisal System
1. Program Requirements
2. Supervisory Accountability
3. Reconsideration of Ratings
C. Performancebased Pay Increases and Awards
1. Performance Shares
2. Performance Pay Pools
3. Performancebased Pay Increases
4. Employees Who Cannot Receive a Performance Pay Increase
5. Performance Awards
D. Developmental Pay Increases
E. Staffing
1. Minimum Qualification Requirements
2. Flexible Pay Setting for New Hires
3. Promotions
F. ReductioninForce
IV. Training
V. Conversion
A. Conversion to the Demonstration Project
B. Conversion to the General Schedule
VI. Project Modification
VII. Project Duration
VIII. Project Evaluation
IX. Costs
A. Buyin Costs
B. Recurring Costs
X. Waiver of Laws and Regulations Required
I. Executive Summary
This project was designed by the United States Department of Agriculture (USDA), including the Food Safety and Inspection Service (FSIS), with participation of and review by the U.S. Office of Personnel Management (OPM). The demonstration project will pursue several key objectives: to simplify the current classification system for greater flexibility in classifying work and paying employees; to reaffirm the performance management and rewards system for improving individual and organizational performance; to assure that the allocation of annual pay increases reflects distinctions in levels of performance in a meaningful way; and to test the effectiveness of multigrade pay bands in recruiting, advancing and retaining employees. The duration of the project will be 5 years, except that the project may be extended by OPM if further testing and evaluation are warranted.
The proposed project will test whether a resultsbased, competency
linked payforperformance system can be successful in USDA. Previous
alternative pay systems that used competency models (e.g., the
Government Accountability Office (GAO) compensation system and the
Department of Defense (DOD) Acquisition Workforce Demonstration
Project) did not focus on missions or occupations related to public
health or food defense. Moreover, the workforce covered by the proposed
demonstration project is predominantly supervisory (about 40%), and it is important to
[[Page 26438]]
establish effective payforperformance policies and procedures for
supervisory positions before extending such systems to large numbers of
line worker positions throughout the Federal Government. Finally, a
substantial number of the covered employees (approximately 30 percent)
have working conditions that are dramatically different from other
whitecollar workers (e.g., shiftoriented work in slaughter or meat
processing facilities), including the requirement for substantial amounts of regularlyscheduled and intermittent overtime.
II. Introduction
A. Purpose
The purpose of the proposed project is to strengthen the
contribution of human resources management in helping to achieve the
missions of the specific program areas of FSIS. The proposed project will test whether a resultsbased, competencylinked, payfor
performance system and related innovations will produce successful
results in a public health regulatory environment with distinct working
conditions and an everpresent concern for food defense and security. B. Problems with the Present System
The USDA Strategic Human Capital Plan and the President's Management Agenda require FSIS to manage human capital in the 21st century very aggressively. FSIS must achieve comprehensive human capital goals for strategic workforce planning, learning and workforce development, recruitment and retention, and evolution of a highly effective performance culture.
The FSIS Strategic Plan calls for continued transformation of the existing workforce, which was recruited and trained during a time when food safety was considered a conventional inspection program governed by legislation such as the Federal Meat Inspection Act of 1906, the Poultry Products Inspection Act of 1957, the Wholesome Meat Act of 1967, the Wholesome Poultry Products Inspection Act of 1968, and the Egg Products Inspection Act of 1970. This legislation was enacted when food industry practices were characterized by carcassbycarcass organoleptic inspection. To carry out its public health regulatory missions today, FSIS must assure sciencebased development and execution of policy and must also emphasize riskoriented assessment, planning, analysis, inspection, and management activities. Also, FSIS must recruit, develop, retain, and accomplish lifecycle management for a workforce that is educated and skilled in public health, food defense, food safety, public education, and emergencyresponse systems, programs, practices, and technologies. In addition to inspecting poultry and meat animals, poultry and meat products, and egg products, FSIS must accomplish a growing list of advanced public health functions to include conducting risk assessments to identify and evaluate the potential human health outcomes from the consumption of meat, poultry, and egg products.
At best, the personnel system that currently covers USDA and FSIS employees is based on 20th century assumptions about the nature of public service. Although the current Federal personnel management system is based on important core principles, those principles operate in an inflexible, onesizefitsall system of defining work, hiring staff, managing people, assessing and rewarding performance, and advancing personnel. These inherent weaknesses make support of the FSIS mission complex, costly, and, ultimately, risky from the standpoint of public health. Currently, pay and the movement of personnel are pegged to outdated, narrowlydefined work definitions, hiring processes are cumbersome, and high performers and low performers are generally paid alike. These systemic inefficiencies detract from the potential effectiveness of the public health workforce.
The challenges facing USDA and FSIS today to assure and improve the public health from farm to table require a workforce transformation. FSIS employees are being asked to assume new and different responsibilities, take more initiative, and be more innovative, agile, and accountable than ever before. It is critical that USDA and FSIS support the entire public health workforce with modern systems, particularly a human resources management system that supports and protects their critical role in public health, food safety, and food security.
C. Changes Required/Expected Benefits
The innovations of the project and their objectives are summarized below.
1. Pay Banding and Classification
Occupational groups will be placed in appropriate career paths, pay bands will replace grades, and agency pay band standards will replace OPM position classification standards. The classification system will be automated as much as possible through intranetbased classification tools, and authority will be delegated to line managers (at least one level below the Deputy Assistant Administrator level).
These changes are intended to simplify and speed up the classification process, make the process more serviceable and understandable, improve the effectiveness of classification decision making and accountability, and facilitate pay for performance.
Pay bands, which generally correspond to multiple grade levels, provide larger classification targets that can be defined by shorter, simpler, and more understandable classification standards. This simpler system will be easier to automate, will require fewer resources to operate, and will facilitate delegation to line managers.
By providing broader and more flexible pay ranges for setting entry pay, pay banding will provide hiring officials with an important tool for attracting highquality candidates and thus contribute to the objective of increasing the quality of new hires.
By providing more flexible pay progression based on performance, pay banding will give managers the ability to increase the pay of good performers to higher and more competitive levels, thus improving the retention of good performers. At the same time, the potential for higher pay increases for good performance, supported by the broader pay ranges of a pay banding system, will contribute to the objective of improving organizational and individual performance.
2. Staffing
Additional staffing tools will include such elements as flexible entry salaries, staffing supplements for employees in the applicable special rate categories, developmental pay increases, and more flexible pay increases associated with promotion.
These changes are intended to attract highquality candidates and increase the retention of good performers. Flexible paysetting for new hires is a recruiting tool that gives hiring officials greater flexibility to offer more competitive salaries to highquality candidates, addressing the objective of improving the quality of new hires. This will be used in conjunction with existing recruitment and retention incentives under title 5.
3. Pay
The most important change in pay administration is the introduction
of a payforperformance system. The payforperformance system will
support several objectives. It will strengthen the organization's performance culture. It will promote fairness through the
[[Page 26439]]
resultsbased, competencylinked, performance rating process. It will
provide a motivational tool as well as a retention tool. As a
motivational tool, the promise of higher pay increases for good
performance encourages high achievement. As a retention tool, a pay
forperformance system allows the organization to quickly move the
salaries of good performers to levels that are more competitive in the
labor market. The promise of higher pay increases for good performance
will encourage achievement and promote the objective of improved individual and organizational performance.
Under the proposed payforperformance system, employee performance ratings will govern individual pay progression within pay bands. Any general increase in GS rates of basic pay approved by Congress and the President will be applied only to the FSIS band ranges (i.e., band minimums and maximums). Demonstration project employees will receive pay increases based on their rating of record. Funds currently applied to withingrade increases, quality step increases, and the annual GS pay adjustment will be used to grant these performancebased pay increases. Employees rated below Fully Successful will not receive any basic pay increase, nor will they receive pay increases when locality pay percentages are increased. (See section III.C.)
In addition, employees in developmental positions may receive additional pay increases. Funds used for career ladder promotions from one grade to a higher grade will initially be used to fund these developmental pay increases. These pay increases may be granted to an employee to recognize the faster progression that can occur in a developmental position. This pay flexibility addresses the objective of improving retention by raising the pay of highperforming employees while also supporting the objective of preserving merit system principles (e.g., equal pay for work of equal value). (See section III.D.)
4. Performance Appraisal
The demonstration project will continue to use the current FSIS appraisal program including the current fivelevel rating process, which incorporates competencies into the performance standards. (The fivelevel rating system has the following levels: 1Unacceptable, 2 Marginal, 3Fully Successful, 4Superior, and 5Outstanding.) The performance appraisal process is intended to (1) promote good performance; (2) encourage a continuing dialogue between supervisors and employees on organizational objectives, supervisory expectations, employee performance, employee needs for assistance and guidance, and employee development; and (3) provide a basis for performancerelated decisions in employee development, pay, rewards, assignment, promotion, and retention. The program will more effectively communicate to employees how they are performing, the rewards of good performance, and the consequences of poor performance.
5. Pay for Performance
The most important feature of the demonstration project is that it links the employee's rating of record to shares of a performance pay pool. Performancebased pay increases give an operating unit the ability to raise the pay of good performers more rapidly, thus improving retention of good performers. Performance pay is distributed to employees either in the form of increases in base pay or, when the employee reaches a band maximum (or is on retained pay), in the form of a performance bonus. The number and type of performance pay pools will be described in implementing guidance, but performance ratings will be linked to performance pay shares so that employees who earn a level five rating (the highest) will earn the greatest number of performance pay shares, employees who earn a level four rating will earn a smaller number of shares, and employees who earn a level three rating will earn the fewest number of performance shares. Employees rated below level three will not be eligible for performance pay increases.
6. Performance Awards
Existing programs for both nonmonetary and monetary recognition will remain under the plan in accordance with chapter 45 of title 5, United States Code.
Awards address two objectives. First, rewarding achievement will make high achievers more likely to remain, thus improving retention of the best performers. Second, the potential for awards for achievement will encourage improved individual performance. Although FSIS is not testing any new procedures under the demonstration project authority in chapter 47 of title 5, awards are a key part of a performance pay system and therefore noted here to clarify their use and provide a full picture of the project plan.
7. Line Management Authority
The program areas will delegate greater authority and accountability to line managers. This delegation is intended to improve the effectiveness of human resources management by strengthening the role of line managers as the human resources managers of their units. The project will be managed by the FSIS Demonstration Project Management Board (DPMB), composed of representatives from each operating unit (program area) and chaired by the Assistant Administrator for the Office of Management.
D. Participating Organizations
The Department proposes that FSIS be the only agency participating in this project. The Department and FSIS have determined that employees in all program areas in the agency, including headquarters and field employees, will participate, except that all bargainingunit members will be excluded. Including all bargaining unit members would cause the project to exceed the 5,000 limit on the number of participating employees. Included in the project are all non bargainingunit employees located in meat and poultry plants throughout the United States (excluding intermittent food inspection personnel (GS1863) appointed under Schedule A 213.3113(1)(3) and Schedule C employees), 15 District Offices, 3 Field Laboratories, a Technical Service Center in Omaha NE, a Financial Processing Center in Des Moines IA, a Human Resources Field Office in Minneapolis MN, as well as all Headquarters program offices. Each of these units is committed to operating a credible, robust performance appraisal program aligned to the organization's strategic goals and objectives. These organizations have demonstrated this commitment the past two years, as FSIS implemented a comprehensive performance management training program within the agency.
E. Participating Employees
The demonstration project covers all General Schedule employees (with pay plan codes GS and GM) in nonbargaining unit positions. The excluded bargaining unit positions are nonsupervisory positions in the food technology (GS1382), food inspection (GS1863), and consumer safety inspection (GS1862) series and nonbargaining food inspection (GS1863) employees appointed under Schedule A 213.3113(1)(3).
Also excluded from coverage of this project are all Senior Executive Service (SES), Senior Level (SL), and Federal Wage System (WG) employees, and all Schedule C employees.
Table 1 shows the number of employees subject to coverage under this project by occupational series and
[[Page 26440]]
grade. The OPM occupational series will be retained for all covered positions.
Table 1.Covered Employees, by Series and Grade (as of 01/08/08)
Series 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Total
0018............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 4 1 ...... ...... 5
0080............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... 1
0099............................................................ ...... ...... ...... 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1
0101............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 1
0110............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 4 ...... 5
0199............................................................ ...... ...... ...... 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1
0201............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 10 ...... 4 26 41 21 4 106
0203............................................................ ...... ...... ...... ...... 6 5 17 ...... ...... ...... ...... ...... ...... ...... ...... 28
0260............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 3 ...... 1 1 8 4 1 18
0299............................................................ ...... ...... ...... ...... ...... ...... 1 ...... 2 ...... ...... ...... ...... ...... ...... 3
0301............................................................ ...... ...... ...... ...... ...... ...... 1 ...... 46 1 1 23 20 19 11 122
0303............................................................ 3 ...... 3 14 9 4 12 ...... 1 ...... ...... ...... ...... ...... ...... 46
0305............................................................ ...... ...... 1 5 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 7
0318............................................................ ...... ...... ...... ...... 4 16 37 8 4 ...... ...... ...... ...... ...... ...... 69
0326............................................................ ...... 1 ...... 14 ...... 9 ...... ...... ...... ...... ...... ...... ...... ...... ...... 24
0335............................................................ ...... ...... ...... 1 ...... 5 1 ...... ...... ...... ...... ...... ...... ...... ...... 7
0340............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 35 28 63
0341............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... 1 ...... ...... 2
0342............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... ...... ...... 1 1 ...... 3
0343............................................................ ...... ...... ...... ...... ...... ...... 1 ...... 16 ...... 15 34 52 32 14 164
0344............................................................ ...... ...... ...... ...... 1 4 35 ...... ...... ...... ...... ...... ...... ...... ...... 40
0361............................................................ ...... ...... ...... ...... ...... ...... 1 ...... ...... 1 ...... ...... ...... ...... ...... 2
0391............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 1 ...... ...... 2
0399............................................................ ...... ...... ...... 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1
0401............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 4 1 2 7
0403............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 6 ...... 2 30 35 16 2 91
0404............................................................ ...... ...... 5 2 1 1 8 ...... 11 ...... 2 ...... ...... ...... ...... 30
0414............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... ...... ...... 1
0415............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 2 1 ...... 3
0499............................................................ ...... 1 1 1 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 4
0501............................................................ ...... ...... ...... ...... ...... ...... 2 ...... 5 ...... 4 2 6 6 3 28
0503............................................................ ...... ...... ...... 2 22 6 5 3 ...... ...... ...... ...... ...... ...... ...... 38
0510............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 8 10 3 ...... 21
0544............................................................ ...... ...... ...... ...... ...... ...... 3 ...... ...... ...... ...... ...... ...... ...... ...... 3
0560............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... ...... 5 3 3 1 13
0561............................................................ ...... ...... ...... ...... ...... ...... 1 ...... ...... ...... ...... ...... ...... ...... ...... 1
0599............................................................ ...... ...... ...... 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1
0601............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 6 6 1 13
0602............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... 1
0690............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 1 ...... ...... 2
0696............................................................ ...... ...... ...... ...... ...... ...... 2 ...... 3 ...... 14 161 83 2 ...... 265
0699............................................................ ...... ...... ...... 2 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 2
0701............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 74 678 184 25 6 967
0799............................................................ ...... ...... ...... ...... ...... ...... 19 ...... ...... ...... 1 ...... ...... ...... ...... 20
0896............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 1 ...... 2
1035............................................................ ...... ...... ...... ...... ...... ...... 1 ...... 1 ...... 3 5 7 1 ...... 18
1071............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 2 ...... ...... ...... ...... 2
1084............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... ...... ...... ...... 1
1101............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 3 1 1 5
1102............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... ...... 3 3 2 ...... 9
1301............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 2 2 ...... 4
1311............................................................ ...... ...... ...... 1 1 1 ...... ...... 6 ...... 2 ...... ...... ...... ...... 11
1320............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 2 ...... 5 33 20 6 ...... 66
1382............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 8 3 ...... 11
1412............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 7 1 1 ...... 10
1501............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 3 2 ...... 5
1515............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 1 ...... ...... 2
1529............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 2 1 ...... 3
1654............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 1 1 ...... ...... 3
1701............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... ...... 1
1702............................................................ ...... ...... ...... ...... ...... 1 ...... 1 ...... ...... ...... ...... ...... ...... ...... 2
1801............................................................ ...... ...... ...... ...... ...... ...... 1 ...... 1 ...... 41 71 30 16 2 162
1810............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 6 2 1 ...... 9
1862............................................................ ...... ...... ...... ...... ...... ...... ...... 15 115 ...... ...... ...... ...... ...... ...... 130
1863............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 1 4 ...... ...... 5
1899............................................................ ...... ...... ...... 1 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 2
2001............................................................ ...... ...... ...... ...... ...... ...... ...... ...... ...... ...... 3 ...... 2 ...... ...... 5
2005............................................................ ...... ...... ...... ...... ...... 1 ...... ...... ...... ...... ...... ...... ...... ...... ...... 1
2210............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 2 ...... 2 34 30 18 3 89
2299............................................................ ...... ...... ...... ...... ...... ...... ...... ...... 1 ...... ...... ...... ...... ...... ...... 1
Total....................................................... 3 2 10 47 56 44 148 27 238 2 180 1,137 581 236 80 2,791 [[Page 26441]]
F. Labor Participation
No bargainingunit employees are covered in this project. G. Project Design
The project methodology is to introduce into all FSIS program areas (for covered positions) certain innovations in human resources management, and to evaluate over time the effects of those innovations on the ability of the program areas to manage their human resources. The methodology includes the following steps:
1. Selection of Innovations: The Department and FSIS have determined that particular pay banding and performancebased pay progression innovations that are linked to a framework of core competencies should be included in the proposed project. These innovations, and the procedures associated with them, are described below under Pay Banding Classification and Pay System, Performance Appraisal System, Performancebased Pay Increases and Awards, Developmental Pay Increases, Staffing and ReductioninForce (See Section III, A through F).
2. Selection of Program Areas: The Department and FSIS have
selected all program areas of the agency for inclusion in the project since the total number of nonbargaining unit employees is
approximately 2,900 (parttime, fulltime, and intermittent) and falls
within the maximum of 5,000 allowed for a demonstration project.
3. Goals and Objectives: The specific project objectives are listed under SUPPLEMENTARY INFORMATION and Executive Summary and are directly related to the issues identified under Section II.B, Problems with the Present System.
4. Partnership: The Department and FSIS have limited the covered workforce to nonbargaining unit positions. Therefore, input from labor representatives is not required. However, consistent with the policy of the agency Administrator, FSIS will seek input from two employee associations whose membership overlaps with the covered workforce.
5. Baseline Evaluation: To provide a basis of comparison between employee opinions of the current system and their future opinions of the project system, each employee in the covered program areas will be asked to complete an opinion questionnaire comparable to the Federal Human Capital Survey prior to implementation of the project. To establish a baseline for cost analysis, each operating unit will be required to analyze its personnel costs during fiscal years 2005, 2006, and 2007.
6. Training: The agency and the program areas will provide training to managers, employees, and human resources staff prior to implementation of the project and will provide additional training to managers on the payforperformance system prior to the end of the first performance cycle. (See Section IV, Training.)
7. Implementation: To ensure a smooth implementation, the agency
will emphasize top management support; the development of detailed operating procedures and implementing directives prior to
implementation; thorough training of managers, employees and human
resources staff; stepbystep implementation planning; adequate backup
systems, particularly in automated personnel and payroll systems; and sufficient operating resources.
8. Program Evaluation: The Department and FSIS will arrange for
periodic evaluation of the project under an OPMapproved evaluation
plan. (See Section VIII, Project Evaluation.) The evaluation will be
designed to determine whether the innovations are achieving project
goals and objectives and are operating within acceptable cost limits. (See Section IX, Costs.)
III. Personnel System Changes
A. Pay Banding Classification and Pay System
1. Establishment of Career Paths and Pay Bands
In coordination with OPM, FSIS may establish, and adjust over time,
career paths that group one or more occupational categories together
and provide a common pay banding structure ( i.e., a set of work levels
and rate ranges) for occupations within a given career path. Initially, FSIS intends to establish four career paths as follows:
(a) Professional, Scientific, and Administrative [AP]: Policy,
staff, line, supervisory, and managerial positions in science,
veterinary medicine, consumer safety, food technology, mathematics,
accounting, and other comparable occupations with a positive education
requirement. Examples of occupational series are 0403Microbiology,
0510Accounting, 0696Consumer Safety, 0701Veterinary Medical Science,
and 1301General Physical Science. In addition, this career path will
include policy, staff, line, supervisory, and managerial positions in
such fields as finance, procurement, human resources management, public
information, management and program analysis, compliance investigation,
and other twograde interval occupations that do not maintain a
positive education requirement. Examples of these occupational series
are 0201Human Resources Management, 0343Management and Program Analysis, 1035Public Affairs.
(b) Supervisory Inspection [AI]: Supervisory positions that direct
the work of inspectors at an import warehouse, a plant, or in a circuit
of plants within a geographic area. These positions are 1862 Supervisory Consumer Safety Inspectors.
(c) Scientific and Technical Support [AS]: Line positions,
predominantly in agency laboratories, which support professional and
scientific operations. Examples include 0404Biological Science
Technician, 1311Physical Science Technician and similar traditional
onegrade interval technician support occupations in agency laboratories.
(d) Management Support [AO]: Nonsupervisory and supervisory
clerical and assistant positions that support positions not fitting the
definition of any other career paths. Examples include 203Human
Resources Assistant, 318Secretary, 326Office Automation Assistant,
344Management Assistant and similar traditional onegrade interval technician and administrative support occupations.
Each career path will be subdivided into pay bands. Each pay band
will correspond to one or more GS grades. Pay bands provide larger
classification targets that can be defined by shorter, simpler and more
understandable classification standards. In coordination with OPM, FSIS
may establish, and adjust over time, a career path's pay band
structure. Initially, the pay bands within each career path and their relationship to GS grades will be as follows:
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Table 2.Sample Pay Bands Under PHHRS
Career path Pay band 1 Pay band 2 Pay band 3 Pay band 4 Pay band 5 Pay band 6
Administrative, Professional, GS1/4 (Student GS5/7 Trainee.... GS9/11 GS12/13 * Full GS14 Expert...... GS15 Senior Expert
and Scientific (AP). Trainee). Intermediate. Performance. Pay Band 5S....... Pay Band 6S
GS13/14 GS15 Manager
Supervisor.
Supervisory Inspection (AI).... .................. .................. GS8/9 Supervisory GS10/11 Senior
Inspectors. Supervisors.
Scientific & Technical (AS).... GS1/4 (Aide)..... GS5/6/7 Entry.... GS8/9 Independent GS10/11 Expert &
Supervisory.
Management Support (AO)........ GS1/4 Clerical GS5/6/7 Assistant GS8/9/10 Senior
(Entry). or Clerical or Lead
Supervisor. Assistant, and
Supervisor .
* Also includes supervisory positions where the bandcontrolling work is actually personally performed nonsupervisory work.
The final pay banding architecture will be described in implementing guidance. FSIS will coordinate changes in career paths or pay banding structures with OPM. After coordination with OPM, FSIS will give affected employees advance notice and an opportunity to comment before effecting a change with respect to career paths or pay banding structure.
2. Position Classification
Occupational groups will be placed in career paths, pay bands will replace grades, and FSIS pay band standards will replace OPM position classification standards. The General Schedule occupational series will be retained.
Each classification standard will describe the threshold of work encompassed by each pay band based on general duties and
responsibilities, knowledge, skills, and abilities. FSIS will establish
classification standards in consultation with OPM. Positions must meet
or exceed the threshold to be classified into a pay band. These bases
complement each other at each pay band in a career path and may not be
separated in classifying a position. OPM classification standards will
not be used directly, but may be used indirectly to establish
competency criteria that distinguish pay bands or pay levels within a key career path.
3. Delegation of Classification Authority
The agency has delegated classification authority to SES and GS15 executives and managers since July 2004. The delegated classification authority (DCA) provisions of this project continue this initiative and increase the number of managers who receive classification authority. Managers must successfully complete DCA training before classification authority may be exercised. The delegation of classification authority will be facilitated by the expansion of an intranetbased Position Description Library, which will include standard descriptions of all key positions in all career paths and pay bands. Line managers will utilize this intranetbased Position Description Library to select or classify most positions. These changes are intended to simplify and speed up the classification process, make the process more serviceable and understandable, improve the effectiveness of classification decisionmaking and accountability, and facilitate pay for performance. Implementing guidance will describe the modified DCA policies and procedures.
4. Classification Appeals
An employee covered by the FSIS Demonstration Project may appeal the occupational series, official title, or pay band of his or her position at any time to the agency, Department or directly to the Office of Personnel Management consistent with procedures currently prescribed under 5 CFR part 511, subpart F. Implementing guidance will describe the classification appeals process.
5. Elimination of Fixed Steps
Employees will be converted from existing 15grade GS position classification and pay system established under 5 U.S.C. chapter 51 and chapter 53, subchapter III, to the new pay banding system. The 10 fixed steps of each GS grade will not apply to employees participating in the demonstration project. The fixedstep system operates primarily to reward longevity. A pay banding pay system is an important element of any effort to make pay more performancesensitive. No employee's pay will be reduced as a result of becoming covered by the demonstration project. (See section V.A.) However, demonstration project employees will no longer receive longevitybased, withingrade pay increases at prescribed intervals. Instead, they will be granted annual performance increases and bonuses as described in section III.C below.
6. Rate Range
The normal minimum and maximum rates of the rate range for each pay band will equal the applicable step 1 rate and step 10 rate, respectively, for the lowest and highest grades, respectively, in the GS that are included in the pay band. The normal minimum and maximum rates of each band will be increased at the time of a general pay increase under 5 U.S.C. 5303 so they equal the new minimum and maximum rates of the grades corresponding to the band.
The minimum rate of the pay band is extended 5 percent below the normal minimum for employees with a rating of record below Fully Successful. Such an employee's rate may fall below the normal pay band minimum when that minimum increases as a result of a pay band adjustment, but the employee cannot receive a pay increase because the employee's rating of record is below Fully Successful, as described in section III.C.4.
The maximum rate of each pay band is extended 5 percent above the
normal maximum for all employees with a rating of record at the highest
level (currently called ``Outstanding'' in FSIS). This feature will
help to ensure that the range of available pay rates will be adequate
to recognize truly outstanding performance. The upper range extension
is reserved for employees with an Outstanding rating. If an employee in the upper range extension is rated below the
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Outstanding level, special provisions apply, as described in section III.A.11.
7. Locality Pay
Localitybased comparability payments under 5 U.S.C. 5304 will be paid on top of the rate of basic pay in the same manner as those payments apply to GS employees (except as otherwise provided in this plan). Staffing supplements may apply as described in section III.A.12. When a localitybased comparability payment established under 5 U.S.C. 5304 is increased, a demonstration project employee whose most recent rating of record is Fully Successful or higher is entitled to the increased locality payment.
A demonstration project employee whose most recent rating of record is below Fully Successful is entitled to the increased locality payment, but his or her underlying rate of basic pay will be reduced in a manner that ensures the employee's total rate of pay does not increase. This reduction is necessary to ensure, in an administratively feasible way, that an employee rated less than Fully Successful will not receive a pay increase. It does not constitute a reduction in pay for purposes of applying the adverse action procedures in chapter 75 of title 5, United States Code. (Exception: An employee's rate of basic pay may not be reduced under this paragraph to the extent that the reduction would cause an employee's rate to fall more than 5 percent below the normal range minimum.)
A locality rate cap 5 percent higher than the normal EXIV cap is established to accommodate those Outstanding performers in the 5 percent upper rate range extension. This higher cap will apply only to employees receiving a rate within the upper range extension. If the locality rate for an employee at the normal band maximum is affected by the EXIV cap, resulting in an ``effective locality pay percentage'' that is less than the regular locality pay percentage, the locality rate for an employee in the upper rate range extension of the same band will be computed using that same effective locality pay percentage. (For example, if the regular locality pay percentage is 30 percent, but the EXIV cap causes the amount of locality pay actually received by an employee at the normal band maximum to be 20 percent, that effective locality pay percentage of 20 percent would be used to compute locality pay for an employee in the upper range extension of the same band.) 8. Rate of Basic Pay Upon Initial Appointment
Upon appointment to a demonstration project position under Delegated Examining, DirectHire Authorization or other authority primarily designed for initial entry into the Federal service (e.g., Veterans Employment Opportunity Act, 30% Disabled Veteran Appointment), an appointee's rate of basic pay may be set at any rate within the normal pay band range. In exercising this flexibility, FSIS will consider the appointee's qualifications, competing job offers, FSIS's need for the appointee's talents, the appointee's potential contributions to FSIS mission accomplishment, and the rates received by onboard employees. This flexibility will allow FSIS to compete more effectively with private industry for the best talent available. Implementing guidance will provide managers with assistance in setting pay to assure fair and equitable treatment of a diverse workforce. 9. Rate of Basic Pay Upon Promotion
Upon promotion to a higher pay band within a career path or to a pay band in another career path with a higher maximum rate, an employee's rate of basic pay will be set at a rate within the higher pay band that provides a pay increase of 8 percent, unless a greater increase is necessary to set pay at the normal range minimum. (See section III.E.3 for definition of ``promotion.'') In consultation with OPM, FSIS may establish exceptions to this policy to deal with employees receiving a retained rate, employees who are repromoted shortly after demotion, employees with exceptional performance warranting a larger increase with highermanagement approval, etc. FSIS may adopt, in consultation with OPM, policies providing a promotion equivalent increase in appropriate circumstances to a Federal employee outside the demonstration project who accepts a position covered by the demonstration project.
10. Rate of Basic Pay in Noncompetitive Lateral Actions
Upon noncompetitive lateral movement (e.g., via transfer or reassignment, not conversion of position) to a demonstration project position from another Federal position, an employee's pay rate (including any locality payment or staffing supplement) will be set at an amount that is equal (after any geographic pay conversion) to the employee's existing pay rate (including any locality payment or equivalent basic pay supplement), subject to the applicable normal range maximum. For such an employee moving from a position outside the demonstration project, FSIS may provide an increase in the rate of basic pay immediately after movement to reflect the prorated value of the employee's next scheduled withingrade increase under the former pay system, consistent with the requirements in section V.A. 11. Other Pay Administration Provisions
Annual performancebased pay increases described in section III.C.3 will be made to the rate of basic pay. These increases are scheduled to be made on the same date that the annual rate range adjustments normally take effecti.e., the first day of the first pay period beginning on or after January 1. To be eligible for an annual performance pay increase an employee must have a rating of record of Fully Successful or higher.
Annual performance awards described in section III.C.5. provide for lumpsum cash payments recognizing performance and will be made at the same time as the annual performance pay increase. To be eligible for a performance award, an employee must have a rating of record of Fully Successful or higher.
Developmental pay increases described in Section III.D may be paid no more than once during any 52week period, following the midyear progress review.
The grade retention provisions in 5 U.S.C. 5362 and 5 CFR part 536
are not applicable (i.e., no pay band retention). The pay retention
rules in 5 U.S.C. 5363 and 5 CFR part 536 apply to demonstration project employees, subject to the following exceptions:
(1) An employee with a rating of record below Fully Successful may
not receive an increase in his or her retained rate under the 50 percent adjustment rule in 5 U.S.C. 5363(b)(2)(B);
(2) The cap on retained rates is equal to the rate for level IV of
the Executive Schedule plus 5 percent (instead of the EXIV cap
established in 5 CFR 536.306) in order to accommodate the upper range extension;
(3) An employee in the upper range extension who is rated below
Outstanding will be converted to a retained rate before processing any other pay action; and
(4) The range maximum rate used in computing retained rate
adjustments under the 50percent adjustment rule will be the maximum
rate of the highest applicable rate range (including any applicable locality payment or staffing
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supplement) taking into consideration an employee's rating of record.
For retained rate employees rated Outstanding, the increase is 50
percent of the dollar change in the applicable adjusted rate for the
upper range extension maximum. (Note that an employee rated Outstanding
must have a retained rate in excess of the upper range extension
maximum adjusted rate, since he or she would otherwise be converted to
a rate within that range extension.) For retained rate employees rated
below Outstanding, the increase is 50 percent of the dollar change in the applicable adjusted rate for the normal band maximum.
If an employee is receiving a retained rate that is less than the applicable adjusted maximum rate (including any applicable locality payment or staffing supplement) for the upper range extension for the employee's band, and if that employee receives a rating of record of Outstanding, the employee's retained rate will be terminated and converted to an equal adjusted rate (base rate in upper range extension plus applicable locality payment or staffing supplement). This conversion must be processed before any other pay adjustment.
For a retained rate employee with a rating of record of Outstanding, if a retained rate increase provided at the time of a range adjustment results in the retained rate falling below the applicable adjusted rate for the upper range extension maximum, the employee's retained rate will be terminated, and the employee's pay will be set at the maximum rate of the upper range extension.
For a retained rate employee with a rating of record of Fully Successful or Superior, if a retained rate adjustment provided at the time of a range adjustment results in the retained rate falling below the applicable adjusted rate for the normal band maximum, the employee's retained rate will be terminated, and the employee's pay will be set at the normal band maximum rate.
For a retained rate employee with a rating of record below Fully Successful, the retained rate is frozen and not subject to adjustment. When such an employee's retained rate falls below the applicable adjusted rate for the normal band maximum, the employee's retained rate will be terminated, and the employee's pay will be set at an adjusted rate equal to the retained rate (i.e., the rate is not set at the range maximum).
As required by 5 CFR 536.304(a)(2) and 536.305(a)(2), any general pay adjustment, including a retained rate adjustment as described in the preceding paragraphs, must be processed before any other simultaneous pay action (such as a geographic pay conversion).
When applicable, the saved pay rules in 5 U.S.C. 3594 and 5 CFR 359.705 for former SES members continue to apply to demonstration project employees, except that (1) an employee with a rating of record below Fully Successful may not receive an increase in his or her saved rate under 5 U.S.C. 3594(c)(2); and (2) the 50percent adjustment rule must be applied in the same manner as it is applied for a retained rate under 5 U.S.C. 5363, subject to the modifications described in the preceding paragraphs. The rules regarding termination of a saved rate when it falls below the applicable adjusted maximum rate must be parallel to those governing termination of a retained rate under 5 U.S.C. 5363, subject to the modifications described in the preceding paragraphs.
FSIS may adopt supplemental pay administration policies governing matters not specifically addressed in this plan, subject to any OPM guidance. In addressing geographic conversions and simultaneous pay actions, such rules must be consistent with 5 CFR 531.205 and 5 CFR 531.206, respectively.
12. Staffing Supplements
An employee who is assigned to an occupational series and geographic area covered by an OPMestablished special rates schedule, and who meets any other applicable coverage requirements, will be entitled to a staffing supplement if the maximum adjusted rate for a covered position in the GS grades corresponding to the employee's band is a special rate that exceeds the applicable maximum GS locality rate. The staffing supplement is added on top of the rate of basic pay in the same manner as locality pay. An employee will receive the higher of the applicable locality payment or staffing supplement.
For employees being converted into the demonstration project, the employee's total pay immediately after conversion will be the same as immediately before, but a portion of the total will be in the form of a staffing supplement. Adverse action and pay retention provisions will not apply to the conversion process as there will be no change in the total salary rate. The staffing supplement is calculated as described below.
Upon conversion, the demonstration base rate will be established by
dividing the employee's former GS adjusted rate (the higher of special
rate or locality rate) by the staffing factor. The staffing factor will
be determined by dividing the maximum special rate for the banded
grades by the GS base rate corresponding to that special rate (step 10
GS base rate for the same grade as the special rate). The employee's
demonstration staffing supplement is derived by multiplying the
demonstration base rate by the staffing factor minus one. Therefore,
the employee's final demonstration special staffing rate equals the
demonstration base rate plus the special staffing supplement; this amount will equal the employee's former GS adjusted rate.
Simplified, the formula is this:
Staffing factor=(Maximum special rate for banded grades)/(GS base rate corresponding to that special rate)
Demonstration base rate=(Former GS adjusted rate [special or locality rate])/ (Staffing factor)
Staffing supplement=demonstration base rate x (staffing factor1)
Salary upon conversion=demonstration base rate + staffing supplement [sum will equal existing rate]
If a special rate employee is converted to a band where the maximum GS adjusted rate for the banded grades is a locality rate, when the employee is converted into the demonstration project, the demonstration base rate is derived by dividing the employee's former special rate by the applicable locality pay factor (for example, in the Washington Baltimore area, the locality pay factor is 1.2089 in 2008). The employee's demonstration localityadjusted rate will equal the employee's former GS adjusted rate.
Any GS or special rate schedule adjustment will require recomputation of the staffing supplement. Employees receiving a staffing supplement remain entitled to an underlying locality rate, which may over time supersede the need for a staffing supplement. If OPM discontinues or decreases a special rate schedule, pay retention provisions will be applied, as appropriate. Upon geographic movement, an employee who receives the special staffing supplement will have his or her entitlement to a staffing supplement redetermined; any resulting reduction in the supplement will not be considered an adverse action or a basis for pay retention.
When a staffing supplement is increased, a demonstration project
employee whose rating of record is below Fully Successful is entitled
to the increased supplement, but his or her underlying rate of basic
pay will be reduced in a manner that ensures the employee's total rate of pay does not increase. Such a reduction does not
[[Page 26445]]
constitute a reduction in pay for purposes of applying the adverse
action procedures in chapter 75 of title 5, United States Code.
(Exception: An employee's rate of basic pay may not be reduced under
this paragraph to the extent that the reduction would cause an
employee's rate to fall more than 5 percent below the normal range minimum.)
Established salary including the staffing supplement will be considered basic pay for the same purposes as a special rate under 5 CFR 530.308e.g., for purposes of retirement, life insurance, premium pay, severance pay, and advances in pay. It will also be used to compute workers' compensation payments and lumpsum payments for accrued and accumulated annual leave.
Adjusted rates that include a staffing supplement are subject to an Executive Schedule Level IV (EXIV) cap, except that an adjusted rate cap 5 percent higher than the EXIV rate is established exclusively for Outstandingrated employees in the upper range extension. If the adjusted rate for an employee at the normal band maximum is affected by the EXIV cap, resulting in an ``effective staffing supplement percentage'' that is less than the regular staffing supplement percentage, the adjusted rate for an employee in the upper rate range extension of the same band and in the same staffing supplement category will be computed using that same effective staffing supplement percentage. (For example, if the regular staffing supplement percentage is 35 percent, but the EXIV cap causes the amount of the staffing supplement actually received by an employee at the normal band maximum to be 20 percent, that effective staffing supplement percentage of 20 percent would be used to compute the staffing supplement for an employee in the upper range extension of the same band.)
OPM may approve staffing supplements for categories of employees within the demonstration project who are not in approved special rate categories for GS employees, consistent with the provisions in 5 U.S.C. 5305(a) and (b).
13. Status as GS Employees
Notwithstanding the waiver of laws governing the GS classification and pay system, demonstration project employees will be considered to be GS employees in applying other laws, regulations, and policies, except as otherwise provided in this plan. For example, demonstration project employees will remain eligible for locality pay under 5 U.S.C. 5304 (subject to exceptions described in this plan), hazardous duty differentials under 5 U.S.C. 5545(d), and recruitment, relocation, and retention incentives under 5 U.S.C. 57535754. Demonstration project employees will be covered by the regulations in 5 CFR part 300, subpart F, except that ``grade'' will be replaced with ``pay band.'' (See section III.E.3. for a 52week timeinband requirement.) However, project employees will not be covered by the supervisory differential provision in 5 U.S.C. 5755.
A demonstration project employee who converts from the project position to a GS position without a break in service will be considered a GS employee for the purpose of applying the GS promotion rule under 5 U.S.C. 5334(b). (See section V.B.)
B. Performance Appraisal System
FSIS will use its current performance management program under the Department of Agriculture appraisal system that has been approved by OPM, consistent with chapter 43 of title 5, United States Code. Throughout the duration of the demonstration project, the effectiveness of performance management within the project will be monitored by examining metrics and assessments that will be included in the demonstration project evaluation plan.
1. Program Requirements
The FSIS performance appraisal program requires written performance plans for each covered employee containing the employee's performance elements and standards. The performance plan links the performance elements and standards for individual employees to the organization's strategic goals and objectives. Ongoing feedback and dialogue between employees and their supervisors regarding performance is required. In addition, the program provides for, at a minimum, one midyear progress review.
The FSIS appraisal program, including its performance levels and
standards, provides for making meaningful distinctions in performance.
The program currently uses a fivelevel summary rating pattern to
summarize performance and three levels to appraise performance at the
element level. Its summary level pattern under 5 CFR 430.208(d) uses
Pattern H with Levels 1, 2, 3, 4, and 5, which FSIS has labeled
Unacceptable, Marginal, Fully Successful, Superior, and Outstanding,
respectively. Employees must be covered by their performance plan for
at least 90 days before they can be assigned a rating of record.
Supervisors and managers apply the appraisal program in a way that makes appropriate differentiations in performance. These
differentiations reflect overall organizational performance. Employees
receiv
FOR FURTHER INFORMATION CONTACT
(1) FSIS, Laurie Lindsay, Director, HR Demonstration Project Staff, (202) 7207983, 1400 Independence Avenue, SW., Room 2134 South Building, Washington D.C, 20250; (2) Office of Personnel Management, Patsy Stevens, Systems Innovation Group Manager, (202) 6061574, U.S. Office of Personnel Management, 1900 E Street, NW., Room 7456, Washington, DC 20415.