Federal Manager's Daily Report

In announcing the final rules, the Pentagon also altered,

yet again, its planned schedule for implementing the

rest of the personnel changes, which involve pay banding

and pay for performance, restrictions on appeals of

adverse actions, streamlined hiring procedures and

placing a greater emphasis on performance in reductions

in force, among other changes.

Those changes are to be phased in by groups of employees,

starting with the so-called “Spiral 1.1” group of about

65,000 in February 2006, followed by another roughly

48,000 in Spiral 1.2 in the spring of 2006, and another

160,000 in Spiral 1.3 in the autumn of 2006. Employees

in the first two groups will see an effect on their

raises starting in January 2007, and in the latter in

January 2008.

However, certain elements of the pay system remain a

work in process. Discussions are continuing with unions

regarding the structure of the occupational groupings

and pay bands that will be at the heart of the

compensation system. Also, DoD has not defined exactly

how much of the annual raise for employees under the

system will be performance-based and how much will be

market-based.