Federal Compensation Comparability: Need for Congressional Action : Report to the Congress

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U.S. General Accounting Office, 1978 - United States - 27 pages

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Page 4 - ... employee with his equals throughout the national economy — enable the Government to compete fairly with private firms for qualified personnel — and provide at last a logical and factual standard for setting Federal salaries. Reflected in this single standard are such legitimate private enterprise pay considerations as cost of living, standard of living, and productivity, to the same extent that those factors are resolved into the "going rate" over bargaining tables and other salary determining...
Page 4 - State and local government salaries were considered to be "administered" rates lacking the economic characteristics of private enterprise salaries. The executive branch reasoned that State and local government salaries would have little effect on national averages since their weight would be lost in the overwhelming weight of private enterprise data. State and local government employees, however, now make up a significant portion of the labor force — over l2 million employees representing about...
Page 4 - Adoption of the principle of comparability will assure equity for the Federal employee with his equals throughout the national economy — enable the Government to compete fairly with private firms for qualified personnel — and provide at last a logical and factual standard for setting Federal salaries.
Page 5 - Federal pay rates be based on comparability with private enterprise rates. This principle is to provide equity for the Federal employee with his private enterprise counterparts, enable the Government to be a fair competitor in the labor market, and provide a logical and factual standard for setting Federal pay. The comparability principle provides a fair wage standard that the US economy places as the proper value of services the Government obtains.
Page 7 - Federal salary rates shall be comparable with private enterprise salary rates for the same levels of work.
Page 10 - Agent (the Director of the Office of Management and Budget and the Chairman of the Civil Service Commission) but views of organizations representing Federal employees.
Page 14 - U'.SC) established the comparability principle for blue-collar employees. Current Government blue-collar wages are higher than comparable wages in local wage areas. Reform has been proposed, but no specific legislation is pending. b/The Navy has not computed a comparable figure for Philadelphia — without ship's force. If this were done it would further increase the advantage...
Page 4 - The Government should not pay less than other employers, but it cannot afford to be a more generous employer than the industries that support it with their taxes. The discipline of the market sets a limit on what industry can pay without going bankrupt.
Page 5 - ... and benefits in white-collar comparability determinations Major non-Federal employees view benefit programs generally as equally important as pay in determining compensation packages and have adopted definitive policies and procedures to govern their processes for determining benefits. The Federal Government, however, has no policy to guide the development of both pay and benefits in a coordinated and consistent movement towards a common goal. For contrast, the adoption of an objective standard...
Page 8 - ... 18 grade levels with uniform national pay rates for the 1.4 million employees it covers. The general schedule pay system does not provide the framework in which employees at many different skill levels and in a broad spectrum of occupations and geographic areas can be reasonably compensated. Further it fails to recognize that the labor market consists of distinctive major groupings, which have different pay treatments. In the private sector, economic and other considerations cause occupations...

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