Federal Manager's Daily Report

The Bush administration’s proposed civil service reform

bill–dubbed the “Working for America Act”–whose stated

purpose is the ensure that agencies “are equipped to better

manage, develop and reward employees to better serve the

American people.” The proposal has not yet been introduced

as legislation.

As previously indicated, the plan would extend to most of

the rest of the government the pay for performance based

systems on tap for the Homeland Security and Defense

departments. That would replace the general schedule and

wage grade systems with pay banding, in which managers

would have greater leeway in setting salaries and

increasing the pay of good performers. Agencies would

move to such systems once they get certification from

the Office of Personnel Management.

Under the new system, only employees rated “fully

successful” or better would get any raises, a response

to the administration’s view that the current evaluation

system doesn’t make a substantial difference in an

employee’s pay and thus doesn’t offer enough of an

incentive for good performance or a deterrent for poor

performance. The measure would require written performance

expectations, although those could be “amplified”

through work assignments and other instructions.

On discipline, the same processes used today would continue

to apply to conduct-based actions. However, removal of a

poor performer would have to be based on a higher standard,

“preponderance of the evidence,” than is currently used

in those actions. Performance improvement periods would

no longer be required, and the in reducing a penalty, the

Merit Systems Protection Board and arbitrators would have

to find management’s action “totally unwarranted.”

The measure also would simplify the types of appointments

and allow OPM to create new types of appointments as it

deems fit–DoD will have similar authority under its

system. The measure also would allow agencies to limit

selection to a local commuting area in the name of faster

hiring, a change from the government’s traditional

policy that competitions are open to all applicants

regardless of geographic area.