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Pay Reform is Coming

The Trump Administration is serious about pay reform. From the 2018 budget materials that place an emphasis on rewarding top performers, to nominating George Nesterczuk’s nomination to head the Office of Personnel Management is the latest signal that the administration is taking reform seriously.

Official data from the executive branch states that many feds, especially those in higher-level jobs, are underpaid compared to their private sector counterparts.

According to Federal News Radio, “critics say this is like having the inmates running the asylum. Their studies show feds living off the fat of the land. Their mission is to convince enough people that feds are too generously compensated and do something about it.”

If the current Administration plans to create a 21st century pay program, GovExec offered up the following steps:

  • Commission an independent market analysis to assess the competitiveness of federal salaries and then develop a plan complete a similar assessment annually;
  • Create a task force to configure a new federal salary system along with policies and practices to manage salaries;
  • Review the experience with managing salaries in the demonstration projects and the agencies that have replaced the GS system, including the failed systems, for lessons learned;
  • Create a task force to study the experience of states in moving to pay for performance;
  • Create task forces in each department and agency to evaluate the effectiveness of managers and supervisors in planning and managing performance;
  • Direct agencies to identify the job families and specialized skills critical to achieving the mission along with those where recruiting has proven to be the most difficult;
  • Direct OPM to study the way leading companies select new supervisors and prepare them to be effective managers, and then develop a strategy to improve manager effectiveness;
  • Develop new performance management processes based on best practices and test the new system for at least a year before linking ratings to salary increases.
  • Train a cadre of specialists in each agency to administer a new salary system.

Posted in General News

Tags: pay raise, federal pay

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