New rules would allow agencies to set the service period at less than the current six-month minimum for incentives. Image: Steve Heap/Shutterstock.com
By: FEDweek StaffOPM has proposed loosening several restriction on use of recruitment and relocation incentive payments, including allowing individual agencies to pay more than the standard annual limit at their discretion rather than having to request OPM’s approval.
Proposed rules in the November 15 Federal Register would allow agencies to pay a recruitment or relocation incentive of up to 50 percent of an employee’s annual rate of basic pay at their discretion. Currently, agencies may pay up to 25 percent at their discretion and must ask OPM for permission to pay more, as high as 50 percent, by citing a “critical agency need.”
The rules would not change the policy that the incentives may not exceed 100 percent of salary over the required service period, which can be up to four years. However, they would allow agencies to set the service period at less than the current six-month minimum.
OPM said it could not project how widely the new flexibilities would be used, but said they would “allow agencies to move more quickly in approving incentives when hiring new employees and relocating those who are moving into positions that are likely to be difficult to fill.”
“Such efficiency could be especially helpful in emergency or other urgent situations in which recruiting new employees or relocating current employees rapidly is necessary. Also, with increases in the number of retirement-eligible employees, recruiting early career and experienced talent to the federal workforce is a high priority,” it said.
The rules would not affect policies regarding retention incentives, the third part of the so-called “3Rs.”
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