Agencies to launch alternative-pay project

The Office of Personnel Management and the Veterans Affairs Department plan to test a performance-based pay system at the Veterans Health Administration.

According to a notice published June 18 in the Federal Register, the five-year demonstration project will modify the General Schedule pay system by eliminating fixed steps in each grade and basing pay adjustments on performance evaluations. The system will cover 150 GS employees in the health systems administrator job series at the GS-14 and GS-15 grade levels. Performance-based pay adjustments are scheduled to begin in January 2010 under the plan.

OPM said the purpose of the test is to “provide larger annual pay increases to employees who are better performers based on…a credible, strategically aligned performance appraisal program and thereby improve the results-oriented performance culture” at VA. Employees rated below the fully successful performance level will not receive pay increases under the program, OPM said.

Employees, supervisors and managers will receive extensive training before the project is launched and throughout the life of the program, OPM also said . “It is important that employees perceive the performance management program as fair and transparent. Therefore, supervisors and managers will be trained in the effective management of performance.”

Written comments on the proposal are due July 18. A public hearing is scheduled for Aug. 5 at VA headquarters in Washington.

Featured

  • Telecommunications
    Stock photo ID: 658810513 By asharkyu

    GSA extends EIS deadline to 2023

    Agencies are getting up to three more years on existing telecom contracts before having to shift to the $50 billion Enterprise Infrastructure Solutions vehicle.

  • Workforce
    Shutterstock image ID: 569172169 By Zenzen

    OMB looks to retrain feds to fill cyber needs

    The federal government is taking steps to fill high-demand, skills-gap positions in tech by retraining employees already working within agencies without a cyber or IT background.

  • Acquisition
    GSA Headquarters (Photo by Rena Schild/Shutterstock)

    GSA to consolidate multiple award schedules

    The General Services Administration plans to consolidate dozens of its buying schedules across product areas including IT and services to reduce duplication.

Stay Connected

FCW Update

Sign up for our newsletter.

I agree to this site's Privacy Policy.