Policy changes affect civil service employees

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The 2004 National Defense Authorization Act put in to motion changes to civilian pay, overtime and leave.

The legislation also launched the National Security Personnel System, the biggest overhaul of the government's civilian personnel system in decades.

Defense Secretary Donald H. Rumsfeld called the changes "transformational." President George Bush agreed.

"This bill also advances the vital work of transforming the personnel system for civilian defense workers so we can put the right person in the right job to meet the challenges we face," Secretary Rumsfeld said.

Changes include:

-- National Security Personnel System: The secretary of defense and the director of the Office of Personnel Management now have the authority to establish a new human resources management system. This includes a new labor relations system for Department of Defense employees. The act also provides the secretary of defense with the authority to establish separation and retirement incentives and additional staffing flexibilities. For more information on NSPS, go to www.cpms.osd.mil/nsps/index.html.

-- Modification of the overtime hourly pay cap: The act modifies the hourly overtime pay cap for certain federal employees who are exempt from (not covered by) the overtime pay provisions of the Fair Labor Standards Act. For FLSA-exempt employees entitled to receive overtime pay, the hourly rate of overtime pay is either the greater of one and one-half times the minimum hourly rate of basic pay for GS-10 or the employee's own hourly rate of basic pay. These include any applicable special salary rate, locality rate of pay, or special pay adjustment for law enforcement officers. The OPM is amending its regulations to reflect this new provision in the near future. The changes became effective Nov. 24.

-- Military leave for mobilized federal civilian employees: Employees who perform full-time military service, as a result of a call or order to active duty supporting a contingency operation, are now entitled to 22 days of military leave each calendar year. An employee is entitled to the greater of his or her civilian or military pay, not both; however, an employee may choose to take annual leave instead of military leave to retain both civilian and military pay. The amendment applies to military service performed on or after Nov. 24.

-- Senior Executive Service Pay: The act establishes a new performance-based pay system for members of the Senior Executive Service, ends locality-based comparability payments for senior executives, and changes the threshold for imposing post-employment restrictions on certain senior executives. A memorandum on the new SES pay system is available online at www.opm.gov/oca/compmemo/2003/2003-19.

More information on entitlements is available at local base civilian personnel flights. (Courtesy of Air Force Personnel Center News Service)