2006
Department of CommerceDemonstration ProjectTrainingfor Managers
INTRODUCTION
Objectives
Increase efficiency of personnel system Strengthen manager’s role Improve ability to hire, motivate and
retain staff Emphasize pay for performance
System Attributes
Simplified/Understandable Flexible Delegated Decision-making Performance Enhancing Partnership Based Budget Discipline Fair & Equitable
Employees Covered
Covered GS GM ST3104 (appraisal, awards, RIF only)
Excluded WG SES
Administration of the Project
Office of Personnel Management Final Approval of Demo Project Plan Final Approval of Major Plan Changes Final Approval of Implementation
Regulations Annual Evaluations Reports to Congress
NOAA DEMO PROJECT STEERING COMMITTEE
Members include Deputy Assistant Administrators for each NOAA Participating Operating Unit
Evaluate, propose, review and provide comments or recommendations on policies, procedures and system changes
Oversee implementation of Demo policies, procedures, position classification proposals, or automated system changes
Oversee NOAA-wide training activities
Administration of the Project
Department Personnel Management Board (DPMB) Members include DOC/Operating Unit Top
Management DOC Approval Authority for Project Plan DOC Approval Authority for Project Plan Change DOC Approval Authority for Implementing
Regulations Sets Project Policies
Administration of the Project
DPMB (continued) Delegates Authorities to Operating
Personnel Management Boards (OPMBs) Authorizes Exceptions to Policies Establishes Project Training Plans Facilities Project Evaluation
Administration of the Project
Operating Personnel Management Board (OPMB) Established for Each Line Operating Unit
(OAR, NMFS, NESDIS & PPI) Membership includes Operating Unit top
management Establishes Operating Unit guidelines within
delegated authorities Delegates authorities to Operating Unit managers
Administration of the Project
OPMB (continued) Oversees training of Operating Unit
Management Requests exceptions to policies to DPMB Facilitates project evaluation
POSITION CLASSIFICATION
Classification Objectives
Simplify classification process
Increase management authority, accountability and flexibility
CLASSIFICATIONCURRENT One Pay Schedule (GS for all
White Collar Occupations)
15 Grade Levels, each with 10 steps
100’s of OPM Classification Standards & Individualized PDs.
DEMO 4 Pay Schedules: “Career
Paths”- Scientific & Engineering (ZP)- Technical (ZT)- Administrative (ZA)- Support (ZS)
5 “Pay Bands” with Range of Salaries. No Steps
Limited Number of DOC developed standards
CAREER PATHS &
BROAD PAY BANDS
Career Paths Pay BandsScientific &
Engineering ZPI II III IV V
Scientific &
Engineering
Technician ZT I II III IV V
Administrative
ZAI II III IV V
Support
ZSI II III IV V
Corresponding
GS Grade 1 2 3 4 5 6 7 8 9 10 11 1213
14 15
Career Path Definitions
One-grade interval nonprofessional technical positions that support scientific and engineering activities through the application of various skills and techniques in the electrical, mechanical, physical science, biology, mathematics, and computer fields; and student positions for training in these skills.
Scientific/Engineering (ZP)
Scientific/EngineeringTechnician(ZT)
Two-grade interval professional technical positions in the physical, engineering, biological, mathematical, computer and social sciences; and student positions for training in these disciplines.
Career Path Definitions
Support(ZS)
Two-grade interval positions in such administrative and managerial fields as finance, procurement, personnel, librarianship, public information, and program management and analysis; and student positions for training in these fields.
Administrative(ZA)
One-grade interval positions that provide administrative support through the application of typing, clerical, secretarial, assistant, and similar knowledge and skills; positions that provide specialized facilities support, such as guard and fire fighter; and student positions for training in these skills.
Purpose of Classification
To categorize positions by:
Career Path
Occupational Series
Pay Band
Title
Classification Principles
Provide classification equity Support the mission Consider the whole job Support “Pay-for-Performance”
Features of Pay Banding
Fewer, broader and simpler standardsMore understandable classificationShorter position descriptionsFewer classification decisions
Features of Pay Banding(continued)
Complements pay for performance More flexible entry pay Better link to career stages
Features of Pay Banding(continued)
Less documentationEasier to automateFacilitates delegation to line
managers
Features of Career Paths
Similar treatment for similar occupations
Broader and simpler classification standards
Focus on agency-specific work
Classification System
Automated Classification System(http://hr.ohrm.doc.gov/acs/login.asp)
User system Validation system Storage system
Automated Classification System
Supervisors are the authorized users of the system
Supervisors classify positions, as they create position descriptions, through menu-driven system
The ACS system stores created position descriptions and from this database a position description may be reviewed, copied, revised and printed
Classification Logic
Principal ObjectiveCareer PathSeriesPay BandTitle
P D Components
Principle objective Level designation Specialty descriptors Key phrases Supervisory/Lead designation Special qualifications
STAFFING
STAFFINGMERIT SYSTEMS PRINCPLES
Staffing of all positions must be accomplished within merit systems principles
PRIORITY CONSIDERATION PROGRAMS
CTAP – DOC program designed to assist displaced (RIF’d) employees in finding jobs before they are separated from DOC.
ICTAP – Government –wide program designed to assist displaced employee find federal jobs.
RPL – A computerized database of separated (RIF’d) DOC employees who must receive priority consideration for positions before an offer of employment can be made to a non-status or non-agency applicant.
Staffing Options
Merit Assignment Program (MAP)Delegated Examining (DE)
Merit Assignment Program Staffing Program Designed to Recruit
from Sources Inside Government– Vacancy announcement– Open to current/previous Federal employees
and special appointment authority candidates
– Subject to Career Transition Assistance Program (CTAP/ICTAP)
– Veteran’s preference does not apply– Select from best qualified applicants
Delegated Examining Staffing program designed to recruit from
sources outside government– Vacancy announcement
– Open to all qualified candidates
– Subject to Career Transition Assistance Program (CTAP/ICTAP)
– Veteran’s preference applies
– Paid advertising may be used
– Select from top 3 available applicants
Other Options to Fill Vacancies
Reassignment Transfer Reinstatement Details Temporary Appointment Term Appointment Temporary Promotion Realignment Special Hiring Programs
Special Hiring Programs
Outstanding Scholar (3.5 GPA) VRA (Veteran’s Recruitment Authority) Handicapped IPA (Inter-Governmental Personnel Act) 30% Disabled Veterans Student Employment Program
Probationary Period
Appointments of new Federal employees into research and development positions within the ZP career path are subject to a three-year probationary period
Appointment of new Federal employees into non-research ZP positions and all ZT, ZA, and ZS positions are subject to a one-year probation period.
REDUCTION IN FORCE
Reduction in Force System
Follows all current RIF laws & regulations Displacement limited to one band below
present level Preserve retained pay and retained band Augmented service credit based on score Competitive area is career path commuting
area Employs the use of RIF panels
RIF SYSTEM (continued)Current Displacement limited to three
grade levels
Competitive area; all positions within organization at geographic location
Retained Grade & Retained Pay
Augmented service credit based on performance rating
Demo Displacement limited to current
pay band and one pay band below
Competitive Area is all positions in a career path in organization within commuting area
Preserve Retained Pay; Retained Band
Augmented service credit based on score
Reduction in Force Credit
For Each pay pool:
- scores in top 30%
receive 10 years service credit
- scores below top 30% receive
5 years service credit
Applies to last 3 ratings during 4 -year period for possible total of 30 years credit
Reduction-in-Force Process
Human Resource Advisors Determine release from competitive level Conducts Qualifications Analysis Identifies positions for referral to RIF
subpanel(s) Convenes RIF subpanel(s)
RIF (continued)RIF Subpanel Reviews positions for possible bump Refers possible positions to RIF Assignment
Panel (RAP) Comprised of two subject matter specialists
appointed by Chair-RAP HRA Serves as Technical Advisor &
Executive Secretary
RIF Assignment Panel (RAP)
Reviews positions referred by RIF Subpanel for possible bump
Requests additional info from organization Makes final recommendations to servicing HR
Manager Chaired by OPMB Chair Top managers of organization participate as
members of RAP HRA Serves as Technical Advisor & Executive
Secretary
Reduction-in-Force
Servicing HR Manager Receives & reviews recommendations from
RAP Discusses recommendations with RAP Makes final decision on the action
PAY ADMINISTRATION
Pay Issues
Locality pay is included in the Base Rate
Special Rates expand the pay band but only for those occupations covered
Pay Setting New Appointments Conversion Actions Competitive Reassignments Promotions (at least 6%) Change to Lower Band Change to Lower Interval
Pay Ceilings
Basic Pay for non-supervisory position - maximum rate of Interval 3
Basic Pay for supervisory position - maximum rate of Interval 5
Setting pay for New Hires
Pay for new hires can be set anywhere within the pay band except for intervals 4 and 5
Salary offers can be negotiated Recruitment bonus can be offered to
scientific, engineering and other hard to fill positions
Special salary rates expand the pay band
Things to Consider when setting pay for
a new hire Qualifications of applicant and level of experience Competitive salaries offered for similar positions Comparison of salaries of existing staff Expected learning curve & training requirements Budget Issues in the organizations Negotiation of salaries Pay progression ACI – Annual comparability increase Eligibility for Performance increase – June 4th
Pay Setting Promotions &
Reassignments Pay may be set anywhere at any level in the
new band Promotions must receive a minimum of a
6% increase Competitive movement from one position
to another within the same career path and pay band
No in band promotions
Recruitment Bonus Criteria
Special Qualifications for hard to fill positions High turnover rate Relocation/Dislocation issues May not exceed 25% of base salary Paid in lump sum or incrementally Service Agreement required Salary comparability and salary offer issues
Retention Bonus Criteria
Highly qualified employee leaving federal service
OPMB approval required Emerging Technology May not exceed 25% of base salary Special qualifications Service Agreement required
Relocation Bonus Criteria
May be paid when, in the absence of the bonus, it will be difficult to fill a position.
Must be justified in writing. A relocation bonus is calculated as a percentage of
the employee's rate of basic pay (may not exceed 25% of basic pay) and paid as a lump sum.
Before being paid a relocation bonus, the employee must establish a residence in the new commuting area.
Service Agreement required.
Supervisory Pay Criteria
Must be classified as supervisor Up to 6% beyond top of pay band Salaries for new supervisors are not set in intervals
4 and 5 Movement through intervals 4 and 5 must be
earned through annual performance increases Supervisory pay is terminated if you leave a
supervisory position
PERFORMANCE MANAGEMENT
What is Performance
Management ? Planning work Monitoring work effort Developing employees Appraising employees Rewarding employees
System OverviewTwo-level Rating System - Eligible - Unsatisfactory
Pay for Performance System - Performance Pay Increase - Bonuses - Annual Comparability Increase
PAY FOR PERFORMANCE
Current
– General Increases (Annual Comparability Increase)
– WGI/Step Increase– QSI– Inband Promotion
– Special Act or Service Award
Performance Pay Increases & Bonuses:
Continue
Incentive Pay Pool - Salary Increases
Bonus Pool
Demo
Rating Official Defines critical elements Assigns weight to each critical element Establishes supplemental standards Conducts progress review Conducts performance review meeting Submits tentative rating Conducts final appraisal
Pay Pool Manager
Controls the pay pool
Renders final decisions on scores, ratings, and performance pay increases/bonuses
Reviewing Official Who:
– Person at an organizational level above Pay Pool Manager
Responsibilities:– Review of performance decisions when Pay
Pool Manager and Rating Official are the same person
Pay Pool Organizational level where one or
more employees within same career path are combined for performance decisions
– Rating
– Score
– Performance Pay Increase
– Bonus
Rating EligibilityAn Employee is Ratable
if:
Occupies a covered position as of Sept 30 AND
Has worked at least 120 days in one or more covered positions
An Employee is NOT Ratable if:
Does not meet conditions stated as Ratable
Employee has been placed on a Performance Improvement Plan (PIP)
Performance Pay Increase Ineligibility
Employee with other than an “Eligible” rating Employees on a Performance Improvement Plan ST 3104 appointees Faculty appointees Temporary Student appointees Employees who are salary capped Employees on retained pay NOTE: Employees on retained pay band are
eligible for a pay increase
Performance Improvement Plan (PIP)
Discussion of deficiencies Must be in writing Reasonable opportunity to improve Steps supervisor will take to assist Consequences of failure to improve Concurrence from Servicing HR Office
and OGC
Bonus Ineligibility Employees with other than an “Eligible”
Rating * Employees on a Performance
Improvement Plan Faculty Appointees Temporary Student Appointees* NOTE: Employees are eligible if they have a
Department of Commerce rating equivalent to Fully Successful or better in the last 13 months
Temporary Promotions
If an employee has been on a temporary promotion for at least 120 days, employee is rated on temporary position
Plan Development Remains the Same
– Determination of critical elements– Assignment of weights– Development of criteria for evaluation
Differences– Pay Pool manager signs plan
– Benchmark Performance Standards Element point ranges are used
Performance Elements
All elements are critical Minimum of two Maximum of six Assign weight based upon importance
and/or time required Total weight must equal 100
Performance Plan Checklist
Are elements directly related to duties? Are elements properly weighted to duties? Are major activities directly related to
elements? Are supplemental standards included as
appropriate? Are elements/activities/standards clearly
described?
Evaluation Criteria
Benchmark performance standards
Supplemental standards
Progress Review Require one review midway through cycle Discuss progress Identify strengths Identify needed improvements Provide guidance Determine if plan needs to be changed
Performance Plan Modifications
Modification Requires Pay Pool Manager/Reviewing Official Signature
Performance Meetings
Performance review– Employee must provide accomplishments to
supervisor in writing– Supervisor/Employee discuss accomplishments– No rating discussed at this meeting– Supervisor & Pay Pool Manager discuss ratings
Evaluation feedback– Present final rating– Provide payout information
Evaluation ProcessRating Official (RO)
RO scores employees by peer group according to performance using the Element Point Ranges and Performance Standards
Submits rating, score, payout and bonus recommendations to Pay Pool Manager (PM) through any intervening higher level supervisor(s)
Discusses ratings with Pay Pool Manager
Performance Ratingsand Indicators
Eligible “E”, covers total scores ranging from 40 to 100
Unsatisfactory “U”, failure to meet the minimum requirements of any element
Not Ratable “N”, employee not eligible to
receive an appraisal Pending “P”, final rating pending results
of PIP
PAYOUT RULES
Highest scored employee receives highest relative percentage payout
Tied scores may not receive same relative payout
Lower scored employee cannot receive greater relative percentage payout
INTERLEAVING SCORES
Pay Pool ManagerNAME
LYNNCOLETTEELLENCATHYHENRYBRUCEDENNISMICHAELSUSANJOHN
SCORE95929085857570706750
Rating Official #2NAME
LYNNHENRY
MICHAELSUSANJOHN
SCORE
9585706750
Rating Official #1NAME
COLETTEELLENCATHYBRUCEDENNIS
SCORE
9290857570
Sample Pay PoolSample Pay PoolTotal Pool: 21,000 CP: ZP Pool Amount
Used: 20,630
Percent NewName Score Salary Range% Recd % of% Inc Sal.
Excess
Lynn 95 46237 0 - 12 7.2 60.0 3329 49566
Colette 92 50278 0 - 07 4.2 60.0 2112 52210 180
Ellen 90 37625 0 - 15 9.0 60.0 3386 41011Cathy 85 43380 0 - 12 6.0 50.0 2602 45982Henry 85 37018 0 - 15 7.0 46.6 2591 39609Bruce 75 40301 0 - 15 6.0 40.0 2418 42719Dennis 70 53194 0 - 10 3.0 30.0 1596 54789Mike 70 81914 0 - 04 2.0 50.0* 1638 83552Susan 67 47906 0 - 10 5.0 50.0* 958 48864John 50 34423 0 - 15 0.0 00.0 0000 34423
*The % of % received is LARGER than a higher scored employee! Please fix it.
Actions Based On Poor Performance
Unsatisfactory performance– Removal– Reduction in pay band/interval– Reassignment– Loss of comparability increase– Loss of consideration for performance pay
increase/bonus
Grievance RightsGrievable
– Performance Score
– Rating
– Pay Increase
Not Grievable– Performance Plan
– Bonus Decisions
Grievance Procedures
15 calendar days for employees to file a request for reconsideration (informal grievance)
15 calendar days for management to formally respond to informal grievance
10 calendar days for employee to file formal grievance
90 calendar days for management to respond to formal grievance
ADDITIONAL INFORMATION
For further information or questions, please contact: • Your Servicing Human Resources Office • Line Office Systems Administrator
Additional resources are available at:www.ohrm.os.doc.gov/Demo www.wfm.noaa.gov