OPM Begins Annual Review of Special Rate Pay

Special rate pay ranges from several percent above the base GS rate for the grade and step of a position to much more. Image: Andy Dean Photography/Shutterstock.com

By: FEDweek Staff

OPM has issued its annual memo telling agencies to review and report on their need for “special rate” pay, a process in which agencies can recommend whether to provide that higher pay for recruitment and retention purposes in certain occupations and locations; continue—and potentially increase—the differential where it is already being paid; or reduce or discontinue it.

Agencies currently using the authority need only respond if they are requesting a different amount or to reduce rates in a special rate schedule or to end it. If an agency makes no recommendation—the most common outcome of these annual reviews—the differential continues unchanged and those employees will receive the GS across the board pay raise component in January. The deadline for any submissions is November 18.

Special rate pay ranges from several percent above the base GS rate for the grade and step of a position to much more. It is eliminated, however, if GS pay including the locality component is raised to above the special rate in an area.

The memo says that agencies should plan on a January 2023 GS raise under terms of the White House’s recommendation: a 4.1 percent across the board component plus an average 0.5 percent locality raise. That is not certain but Congress is on track to allow it to take effect by default.

askFW: Higher Special Rate Pay for Some Federal Jobs

Settlement over OPM Database Breaches Approved; Deadline ahead for Filing Claims

These Federal Workforce Proposals May Catch Ride on Defense Bill

Watch for ‘Significant’ FEHB Plan Changes, OPM Says

Enrollee Share of FEHB Premiums to Rise 8.7 Percent on Average for 2023

OPM Addresses Drivers of Premium Hikes, Upcoming Coverage Changes in FEHB

January Retirement COLA Set: 8.7 Percent for CSRS, 7.7 Percent for FERS

Leave Scheduling: Time to Use it or Lose it

Decisions on Federal Workplace Issues Remain Before Congress

See also,

Windfall Elimination Provision Getting Attention in Congress

Why Federal Employees Quit: It’s Not All about Pay

Employees Value TSP, Annuity, FEHB Most Highly, Survey Finds

Did FERS Actually End the CSRS “Golden Handcuffs” Effect?

FERS Retirement Planning Bundle: 2022 FERS Guide & TSP Handbook