Federal Manager's Daily Report

The decision by the Defense Department to slow down its

process of carrying out personnel reforms for its own

employees has refocused attention on the other major agency

preparing for a personnel rules overhaul, the Department of

Homeland Security.


DHS currently is reviewing the thousands of comments that

it received–many of them from individual employees–after

publishing proposed rules in February. The rules would shift

most DHS employees into a new pay system featuring pay

banding with annual raises tailored by performance,

occupation and location. The draft rules also proposed

substantial changes in employee appeal rights and union

representation rights.


In theory, DHS could move ahead to the final rule-making

stage–which would kick off a required consultation period

with unions–at just about any time. However, the department

has not indicated its expected schedule. Those involved in

civil service issues, both among outside groups and on

Capitol Hill, believe that it could be a number of months

before DHS moves to that stage, however.


Some officials note that one effect of the DoD slowdown

was to push issuance of rules carrying out its new system

to beyond this fall’s elections.


Far more employees would be directly affected by the DoD

policy than by the DHS policy, both at first and ultimately.

DHS’s new policies ultimately will affect some 110,000 of

the agency’s roughly 180,000 employees, but only about

8,000 in the initial stage. DoD also will phase in its

system in several stages but the initial phases likely will

affect tens of thousands of employees and nearly all of

the department’s more than 700,000 employees ultimately

could be affected by at least parts of the new DoD

personnel system.