Increase Not For All

Because of the need to reprogram payroll computers, it could be several months or longer even after issuance of the order before most employees see an increase in pay. However, several categories of federal employees might not see their salaries increase at all. For example, in January a new pay-setting system for senior executive service members kicked in, basing pay on performance within a salary range. Senior execs are no longer eligible for the same across the board and locality increases as general schedule employees. And while special rate employees-general schedule employees who get higher salaries for being in high-demand occupations-would stand to get the additional across the board component, an increase in the locality component would not benefit most of them. That’s because they get the higher of their special rate adjustment or locality pay, but not both, and in most cases the special rate adjustment is considerably higher. Similarly, GS employees outside the contiguous 48 states would benefit from boosting the across the board component but not the locality component since they don’t get locality pay (those in non-foreign areas get a special cost-of-living adjustment that generally is more generous than locality pay and those in foreign areas may be eligible for various types of allowances).