Federal Manager's Daily Report

DoD has issued a memo covering award restrictions for defense civilian employees under sequestration cuts.

Until further notice, discretionary monetary awards should not be issued during sequestration unless agency counsel determines the awards are legally required – for example, those compelled as a result of decisions from the Merit Systems Protection Board, or Equal Employment Opportunity Commission, the guidance said.

It said restrictions on discretionary monetary awards prescribed by OMB are applicable to all DoD performance awards programs with limited exceptions. The restriction does not apply to quality step increases, travel savings incentives, foreign language awards, recruitment, relocation and retention incentives, student loan repayments, suggestion and invention incentives, or time-off awards

Collective bargaining obligations must be met prior to implementing the provisions of either OMB or the supplemental guidance, which can be downloaded here:https://www.fedweek.com/docs/20130801-Award-Guidance.pdf

This guidance also notes that management must reach agreement with unions prior to implementing a change to an agreement or past practice.