Based on an in-depth study of Federal job evaluation and pay policies and practices in the Executive Branch of the Federal Government, and considering a wide variety and large quantity of additional inputs from other governments, organizations, state systems, private industry, unions and consultants, the Task Force recommends a new comprehensive job evaluation and pay plan.

In brief, this replaces the General Schedule and other systems and provides one basic plan tailored to the needs of six major groups of jobs within the Executive Branch. The plan is designed to achieve the following objectives throughout the Executive Branch: 1. An equitable alignment of positions.

2.

3.

Equitable pay relationships among employees.

Comparable rates of pay with positions in the non-Federal sector.

4. Modern, efficient administration of job evaluation and pay systems.

Major Findings

The Job Evaluation and Pay Review Task Force confirmed the findings of the Subcommittee on Position Classification, House Post Office and Civil Service Committee, chaired by Representative James M. Hanley. The Subcommittee and Task Force findings indicate the following conditions exist in the Executive Branch of the Federal Government:

1. A multiplicity of uncoordinated job evaluation and pay systems results in serious inconsistencies and inequities in pay and other personnel practices for Federal employees.

2.

3.

4.

5.

Efforts have not been made by Congress or the Executive Branch to bring all
Federal agencies under a single system.

The Federal Government's classification and ranking systems are obsolete.

Line management is not involved sufficiently in the job evaluation process.
Job evaluation is not utilized as a broad-gauged management tool.

Major Recommendations

Job Evaluation

Based on the findings of the Job Evaluation and Pay Review Task Force, the following recommendations are made:

1. That the Congress establish basic policy on the concepts of job evaluation and pay; delegate to the Executive Branch full authority to implement this basic policy; and require a stewardship report on Executive Branch action under this delegation.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

authority and responsibility for developing and administering a coordinated job evaluation and ranking plan for all civilian positions and employees in the Executive Branch, to the greatest extent practicable.

That the exclusion of agencies or groups of employees from coverage be restricted to those who meet one or more of the criteria set forth in CHAPTER 3 and to such other positions as may be determined by the U. S. Civil Service Commission.

That the heads of establishments in the legislative and judicial branches and the government of the District of Columbia adopt and apply the coordinated job evaluation and ranking system to their positions and employees, insofar as practicable.

That the factor ranking methodology, tailored to the needs of the Federal service, be adopted as the basic technique for evaluating and ranking positions, subject to the coordinated plan and, where deemed appropriate by the U. S. Civil Service Commission, be supplemented by personal competence ranking for pay purposes.

That the coordinated plan provide, where appropriate, for coordinated systems of evaluation and ranking of positions under a set of master evaluation factors, but with the factors within each system defined in terms specifically appropriate to the types of work to which each system applies.

That the U. S. Civil Service Commission prepare definitions of classes of positions in terms of duties, responsibilities, and qualification requirements; establish official class titles; set forth skill levels, qualification requirements, and make other preparation for the adoption of the coordinated job evaluation plan.

That the U. S. Civil Service Commission prepare, in collaboration with departments and agencies, benchmark position descriptions for use as standards and guides in the evaluation and ranking of positions common to all or several agencies, and/or such other positions as the Commission deems appropriate.

That the agencies prepare, subject to U. S. Civil Service Commission approval, benchmark position descriptions for positions unique to the agency for use in evaluating such positions.

That the agencies be given authority and responsibility for evaluating and ranking positions under their jurisdiction in conformance with the appropriate evaluation systems and guides provided by the Civil Service Commission; further, that this be delegated to the lowest managerial level practicable as discussed in CHAPTER 6. That the U. S. Civil Service Commission's existing system of periodic review of agency personnel management programs include review of agency programs for the post audit of job evaluation to assure that each agency has an adequate post-audit program and that positions are properly evaluated.

That the U. S. Civil Service Commission be given authority to take corrective action when it finds that an agency does not have an adequate program for the post audit of evaluation decisions or is not exercising its responsibilities properly under its delegated authority for job evaluation.

That the coordinated job evaluation and ranking plan be reviewed every five years by a three-member committee appointed by the President and a report of the committee's findings and recommendations be transmitted jointly to the President and Congress. This committee should represent the public, the Executive Branch, and the employees.

Pay

Since pay policy and pay fixing are functionally related to job evaluation and should assure the equitable application of compensation schedules to positions in the Federal service, the Task Force has concerned itself with the definition of Federal pay policy and establishment of pay equity and proper pay relationships for Federal employees.

Based on the findings and conclusions of the Task Force, the following recommendations are made:

1.

That the following principles undergird Federal pay policy:

2.

3.

4.

5.

6.

a.

b.

C.

d.

There shall be no discrimination on account of age, race, color, religion,
sex, or national origin in establishing rates of pay for work, the performance
of which requires substantially equal skill, effort, responsibility, and
qualifications under substantially similar employment conditions.

Government pay policy and practices shall seek a proper balance between
considerations of internal alignment of Federal pay relationships and of
pay relationships in the non-Federal sector to achieve and maintain equity
of pay treatment for Federal employees;

Comparability of pay for Federal employees with the pay of employees
in the non-Federal sector by geographical area or occupation, shall
be based on such factors or considerations as the labor market charac-
teristics of the occupations; the prevailing pay rates and practices
utilized in the non-Federal sectors for the recruitment and compensation of
employees in the several occupations and professions; equivalence of employ-
ment conditions and levels of work; and such other considerations as may be
practicable and in the public interest.

Federal pay plans and structures shall provide for salary advancement by means of assumption of increased responsibilities or more difficult duties, continuing competence and efficiency in the performance of assigned work, and/or in recognition of high quality performance of assigned work above that ordinarily required in the type of position concerned.

That the President's authority and responsibility be broadened to include not only
the fixing of pay rates but also the establishment of rate ranges and step rates
for each skill level under each evaluation or ranking system to which the pay rates
apply and definition of the boundaries of the geographic areas within which the pay
rates are applicable.

That the President's recommendations to Congress on the establishment of a Federal
Executive Service and related pay-fixing provisions be enacted.

That the highest pay level in the Federal Executive Service be tied to the
Assistant Secretary level of the Executive Schedule.

That the U. S. Civil Service Commission be given authority to establish regulations
governing the advancement to higher step rates within a skill level giving due
regard to length of service but placing greater emphasis on meritorious performance
as a basis for advancement in pay.

That the use of community prevailing rates be expanded to include clerical, office machine operator, technician, and any other types of positions similar to those covered by the Fair Labor Standards Act of 1938 and such other positions as determined by the U. S. Civil Service Commission.

8.

authority and responsibility, in accordance with policy set forth by Congress, to
fix and adjust the pay of all employees covered under a community prevailing rate
system and those whose rates of pay are set through personal competence ranking,
and that the U. S. Civil Service Commission and the Office of Management and Budget
continue to share responsibility in recommending to the President the fixing and
adjusting of national pay schedules.

That the heads of establishments in the legislative and judicial branches and
the government of the District of Columbia adopt and apply the pay structures
established by the President's agent, insofar as practicable.

9. That the Bureau of Labor Statistics, U. S. Department of Labor, be given sole responsibility for the collection and reporting of pay data.

10.

11.

12.

That a Community Prevailing Rate Advisory Council, consisting of five agency
representatives, five representatives of labor organizations, and a chairman
not otherwise employed by the Government be established to advise the U. S.
Civil Service Commission on existing and proposed policies applicable to employees
covered by the system. This Council would replace the existing National Wage
Policy Committee and would be appointed by the President.

That the U. S. Civil Service Commission, as the President's agent, be given full authority and responsibility for establishing amounts and kinds of premium pay and for prescribing regulations governing payment of premium pay of employees covered under the coordinated job evaluation and pay systems.

That the Office of Management and Budget supplement personnel ceiling control with
personnel budget control as a more effective managerial technique as discussed
in CHAPTER 6.

Job Evaluation Appeals

Throughout the subcommittee hearings and the Task Force discussions with employee representatives, a major area of concern was the need for an improved job evaluation appeals procedure. The Task Force recommends that the U. S. Civil Service Commission establish an appeals procedure which incorporates these principles:

1. An employee can appeal an evaluation action where he feels management has not appropriately applied the standards.

3.

4.

5.

6.

7.

The first level of appeal is to a body established at the organization level
to which the employee is assigned, i.e., a field installation, a regional
headquarters, or major suborganization of an agency.

The second level of appeal is to a body established at the agency headquarters level.

The third level of appeal is to a body established at the U. S. Civil Service
Commission headquarters level.

Time requirements for rendering a decision at each stage of the appeal
procedure should be such as to assure an employee a prompt hearing and
decision on his case.

Management personnel should have the opportunity to appeal adverse post-
audits of job evaluation actions where they have been delegated authority.

In order to assure coordinated action toward the transition to the coordinated plan within the time schedule provided, the Task Force recommends:

That the U. S. Civil Service Commission establish a small task force, reporting directly to the Commissioners, charged with providing leadership and direction

to the Commission staff and agencies in the further development and implementation of the above recommendations.

In the opinion of the Task Force, many job evaluation recommendations do not require specific congressional action, therefore, it is recommended:

That the President initiate action by Executive Memorandum to establish the following target dates for implementation of the proposed coordinated job evaluation and pay systems:

-

-

August 30, 1973 for completion of job evaluation system development
and rating of positions.

October 1, 1973 for conversion from present grade system to new skill
levels and national pay schedules within the legal framework existing
on that date.

October 1, 1973 through October 1, 1974 (subject to timely approval
by Congress of the proposed legislation) for conversion of clerical,
office machine operator, and technician and other similar community
prevailing rate categories to community pay schedules.

October 2, 1974 for initiation of combined area wage and salary surveys
by the Bureau of Labor Statistics, U. S. Department of Labor, and transfer
of authority for wage and salary schedule establishment to the U. S. Civil
Service Commission.

In order to assure equity in pay treatment for all employees, the Task Force recommends:

1.

2.

Training

That the U. S. Civil Service Commission establish adequate provisions for
retained rates so that no employee will suffer a reduction in pay upon
conversion to the new system.

That actions taken by the U. S. Civil Service Commission and agencies which
involve a total system conversion not be considered adverse actions.

The implementation of the coordinated plan will require intensive training at all levels from executives to supervisors, as well as others such as employee representatives and personnel staffs. Further, each employee is entitled to some communication explaining the coordinated plan and its effect on him. The Task Force recommends:

1. That a training program following the outline contained in this Volume be developed further and linked to the schedule for transition.

2.

That training be started as soon as practicable after issuance of the Executive Memorandum indicating action for transition to the coordinated plan and that funds now being used for training supervisors and technicians in job evaluation be diverted to this training program to the greatest extent practicable.

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