Alternative Systems Now Widespread

OPM has said that more than 360,000 federal employees are now under "alternative" pay systems, about half of those under DoD’s NSPS. While such systems vary, they typically have in common simplified job classification, pay banding and pay increases more closely linked to performance evaluations than in grade-and-step systems. About 43,000 are under demonstration projects, either still being tested or now made permanent, mostly at DoD under special authorities for research laboratories. Apart from NSPS, major independent systems are those covering TSA and FAA, financial regulatory agencies and the SES pay system—plus a system being phased in at intelligence agencies affecting an undisclosed number of employees. The prevalence of alternative systems could pose a challenge for employee organizations, which are hoping to roll back pay for performance arrangements. For a closer look, go to https://www.fedweek.com the hot free info section of our website.