# Presentation: 876725

## Department of CommerceDemonstration ProjectOverview

_***Department of Commerce***__***Demonstration Project***__***Overview***_

## Introduction

**Administration**
**Position Classification**
**Staffing**
**Pay Administration**
**Performance Management**

## Objectives

_***Objectives***_

**Increase efficiency of personnel system**
**Strengthen management accountability**
**Improve ability to hire, motivate and retain staff**
**Promote stronger partnerships**
**Emphasize pay for performance**
**Ensure fairness and equity**

## Administration

## Office of Personnel Management (OPM)

**Final Approval of Major Plan Changes**
**Final Approval of Implementation Regulations**
**Annual Evaluations**
**Reports to Congress**

## Department Personnel Management Board (DPMB)

**Members include Senior Management Officials**
**DOC Approval Authority for Project Plan and   Change/Implementing Regulations**
**Sets Project Policies**
**Delegates Authorities to Operating Units**
**Authorizes Exceptions to Policies**
**Facilitates Project Evaluation**

## 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**

## Operating Personnel Management Board (OPMB)

**Established for Each NOAA Participating Operating Unit **
**	****(e.g., OAR, NMFS, NESDIS, PPI)**
**Establishes Operating Unit guidelines **
**Delegates authorities to FMC Deputies**

## POSITION CLASSIFICATION

## Classification Principles

_***Classification Principles***_

**Provide  classification equity**
**Simplify the process**
**Support the mission**
**Consider the whole job**
**Reinforce management accountability**
**Support pay for performance**

## Purpose of Classification

_***Purpose of Classification***_

**To categorize**** ****positions by:**
**Career Path**
**Occupational Series**
**Pay Band**
**Title**

## Automated Classification System 

**User System - Supervisors**
**Validation System - HR**
**Storage System - Both**

## Position Description Components

_***Position Description Components***_

**Principle objective**
**Level designation**
**Specialty descriptors**
**Key phrases**
**Supervisory/Lead designation**
**Special qualifications**

## Transition

_**CURRENT**_
- One Pay Schedule (GS for all White Collar Occupations)
- 15 Grade Levels, each with 10 steps
- Many OPM Classification Standards & Individual 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

## Features of Career Paths

_***Features of Career Paths***_

**Similar treatment for similar occupations**
**Broader and simpler classification standards**

## Career Path Definitions

_***Career Path Definitions***_

- _One-grade_ interval non-professional 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 assistants and student positions for training in these skills.

***   ***

*** *****Scientific/**
**Engineering**
**     ****(ZP)**

**Scientific/**
**Engineering**
**Technician**
**     ****(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 (cont’d)

_***Career Path Definitions ***__***(cont’d)***_

**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; assistants, and student
-       positions for training in these skills.

_*** ***_

**CAREER PATHS & BROAD PAY BANDS**

**  **

*** ***

| Career Paths | Pay Bands |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Scientific &
Engineering ZP | I |  |  | II |  | III | IV |  | V |
| Scientific &
Engineering
Technician ZT  | I |  | II |  | III | IV | V |  |  |
| Administrative 
ZA | I |  |  | II |  | III | IV |  | V |
| Support
ZS | I | II | III | IV | V |  |  |  |  |
| Corresponding 
GS Grade | 1  2 | 3  4 |  5  6 | 7  8  | 9 10 | 11 12 | 13    | 14 | 15 |

## STAFFING

## Staffing Options

_***Staffing Options***_

**Merit Assignment Program (MAP)**
**Delegated Examining (DE)**

## Merit Assignment Program

_***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

_***Delegated Examining***_

**Staffing Program Designed to Recruit from Sources **_**Inside **__***and***__** Outside**_** Government**
**Same as MAP, except:**
**Open to *****all***** qualified candidates**
**Veteran’s preference applies**
**Paid advertising may be used**
**Select from top 3 available applicants**

## Probationary Period

_***Probationary Period***_

**Appointments of *****new***** Federal employees into R&D positions within the ZP career path are subject to a **_**three-year**_** probation period**
**Appointments of *****new***** Federal employees into to non-R&D ZP positions and all ZT, ZA, and ZS positions are subject to a **_**one-year**_** probation period.**

## REDUCTION IN FORCE

## Reduction in Force (RIF) System

_***Reduction in Force (RIF) System***_

**Follows all current RIF laws & regulations**
**Displacement limited to one band below present level**
**Preserve retained pay and retained band**
**Competitive area is career path commuting area **
**Current credit transferred on prorated basis**
**Augmented RIF service credit based on score**

## Augmented RIF Service Credit

_***Augmented RIF Service Credit***_

**For Each Pay Pool:**
**- Employees with scores in top 30% - 10 yrs**
**- Employees with scores below top 30% - 5 yrs**
**Accrual based on last three ratings during**
**   ****four-yr period up to 30 yrs credit**

## PAY ADMINISTRATION

## Features of Pay Banding

_***Features of Pay Banding***_

**Flexible pay-setting upon:**
**	****- Hiring**
**	****- Promotion (at least 6%)**
**	****- Competitive reassignment**
**	****- Appointment Conversion**
** ****More understandable pay progression**

## Pay Issues

_***Pay Issues***_

**Salary range includes locality pay**
**Special Rates expand the pay band but only for those occupational series covered**
**One-year period for special pay adjustment for employees eligible for career ladder promotion**
**One-time payment to *****conversion***** employees eligible for within-grade increase, pro-rated for value of waiting time for next increase**

## Annual Comparability Increase (ACI)

**All employees receive the ACI except:**
**Employees on a Performance Improvement Plan (PIP) at time of ACI**
**Employees on a PIP will receive ACI at the time they successfully complete the PIP**
**Payment of ACI not retroactive**
**Employees with an “Unsatisfactory” rating**

## Pay Ceilings

_***Pay Ceilings***_

**Each pay band has five Intervals**
**Performance Pay for non-supervisory positions is maximum rate of Interval 3**
**	****-****	**** Range of Step 1 of the lowest grade to Step 10 of the highest grade in each pay band**
**Performance Pay for supervisory positions is **
**	****maximum rate of Interval 5 **
**	**

## Intervals and Potential Annual Increase Examples

- ZA - ADMINISTRATIVE
- _Band_	Interval	Increase
- _	_        _V_
- (GS 15)	  4 – 5	0% – 4%
- 		  3	0% – 4%
- 		  2	0% – 5%
- 		  1	0% – 6%
- _	_       _IV_
- (GS 13–14)  4 – 5	0% – 6%
- 		  3	0% – 6%
- 		  2	0% – 8%
- 		   1	0% – 10%
- _	_       _III_
- (GS 11–12)  4 – 5	0% – 7%
- 		  3	0% – 7%
- 		   2	0% – 12%
- 		   1	0% – 15%

- ZA – ADMINISTRATIVE (CONT.)
- _Band_	Interval	Increase
- _	_     _I_I
- (GS 7–10)	4 – 5	0% – 8%
- 		3	0% – 8%
- 		 2	 0% – 16%
- 		 1	 0% – 20%
- _	_     _I_
- (GS 1–6)	4 – 5	0% – 7%
- 		3	0% – 7%
- 		 2	 0% – 12%
- 		 1	 0% – 14%

## Supervisory PerformancePay

_***Supervisory Performance***__***Pay***_

** **

**Full supervisory authority**
**25% of time**
**No immediate pay increase.  Advancement through Interval 5 based *****solely***** on annual performance score**
**Applies *****only *****while**** ****in supervisory position**

## PERFORMANCE MANAGEMENT

## Transition

_***Transition***_

_**Current**_

**Eligible, Unsatisfactory**
**General Increases**
**      ****(Annual Comparability Increase)**
**WIGI/Step Increase**
**QSI**
**In-band Promotion**
**Special Act or Service Award**

**Eligible, Score**
**Continue**
**Incentive Pay**
**       ****- Salary Increases**
**    **
**Bonuses**

_**Demo**_

## Rating Official (Supervisor)

_***Rating Official (Supervisor)***_

**Defines critical elements**
**Assigns weight to each critical element**
**Conducts***** progress review meeting***
**Conducts***** performance review meeting***
**Submits tentative rating and scores**
**Conducts***** evaluation feedback meeting***

## Pay Pool Manager

_***Pay Pool Manager***_

** ****Approves changes to Performance Plans**
**  ****Manages the pay pools (up to four)**
**  ****Renders final decisions on scores, ratings, and**
**     ****performance pay increases/bonuses**
**	****	****	**
**	**

## Rating Eligibility

**An 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:**
- Employee has an approved Performance Improvement Plan (PIP) in place as of September 30

## Performance Pay Increase Ineligibility

**Employee with other than an “Eligible” rating**
**Received a pay adjustment within the last 120 days of the rating cycle (includes promotion)**
**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 performance pay increase**

## 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

## Performance Elements

_***Performance Elements***_

**All Plan elements are critical**
**-  Minimum of two**
**-  Maximum of six**
**Element weights based upon importance, complexity and/or time required**
**Total of weights must equal 100**
**Evaluation based on use of Benchmark Performance Standards/Point Ranges**
**Performance Attributes Tool available for ratings determination**

## Progress Reviews

_***Progress Reviews***_

**One *****Progress Review***** required midway through cycle**
**Rating Official and Employee:**
**-  Discuss progress and any problems**
**-  Consider appropriate guidance**
**-  Determine if Plan needs to be changed**

## Performance Meetings

_***Performance Meetings***_

***Performance Review Meeting***
**Employee must provide written accomplishments**
**Rating Official and Employee discuss accomplishments**
**No rating discussed at this meeting**
**Rating Official and Pay Pool Manager discuss ratings and scores**
***Evaluation Feedback Meeting***
**Rating Official Presents final rating** and **Provides payout information**

## Performance Ratingsand Indicators

**Eligible****	****	****	****“E”, covers total scores ****	**** ****	****	****	****	****ranging from 40 to 100**
**Not Ratable****	****	****“N”, employee not eligible to **
**	****	****	****	****	****receive an appraisal**
**Pending****	****	****	****“P”, final rating pending ****	****	****	****	****results of in-place PIP**
**Unsatisfactory****	****	****“U”, failure to meet PIP ****	****	****	****	****requirements of**
**	****	****	****	****	**

## INTERLEAVING SCORES

| Pay Pool Manager (ZP) |  |
| --- | --- |
| NAME
LYNN
COLETTE
ELLEN
CATHY
HENRY
BRUCE
DENNIS
MICHAEL
SUSAN
JOHN | SCORE
95
92
90
85
85
75
70
70
67
50 |
|  |  |

| Rating Official #2 |  |
| --- | --- |
| NAME

LYNN
HENRY
MICHAEL
SUSAN
JOHN | SCORE

95
85
70
67
50 |

| Rating Official #1 |  |
| --- | --- |
| NAME

COLETTE
ELLEN
CATHY
BRUCE
DENNIS | SCORE

92
90
85
75
70 |

## PAYOUT RULES

_***PAYOUT RULES***_

**Highest *****scored***** employee receives highest relative percentage payout (0-100%)**
**Employees with tied *****scores***** may receive different relative percentage payouts**
**Lower *****scored***** employee **_**cannot**_** receive higher relative percentage payout than higher *****scored***** employee**

## Sample Pay Pool

**Total Pool:  21,000****	****             ****	****	****CP:  ZP****	****                Pool Amount Used:  20,630**
**	****	****	****	****	****                ****Percent****	****                New**
**Name****	****    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      41011**
**Cathy ****	****       85          43380          0 - 12        6.0    50.0     2602      45982**
**Henry****	****       85          37018          0 - 15        7.0    46.6     2591      39609**
**Bruce   ****	****       75          40301          0 - 15        6.0    40.0     2418      42719**
**Dennis  ****	****       70          53194          0 - 10        3.0    30.0     1596      54789**
**Mike    ****	****       70          81914          0 - 04        2.0    50.0*    1638      83552**
**Susan  ****	****       67          47906          0 - 10        5.0    50.0*      958      48864**
**John     ****	****       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

_***Actions Based On Poor Performance***_

**Unsatisfactory performance**
**-  Loss of consideration for performance pay increase/bonus**
**Loss of Annual Comparability Increase**
**AND**
**Reduction in pay band/interval, or**
**Reassignment, or**
**Removal**

## Employee Reconsideration Rights

_***Employee Reconsideration Rights***_

** ****Reviewable**
**Rating **
**Performance Score**
**Pay Increase**
** ****Not Reviewable**
**Performance Plan**
**Bonus Decisions**

##  Reconsideration Procedures	

**Request for Reconsideration**
**15 calendar days for employees to file Request for Reconsideration (an informal grievance) **
**15 calendar days for management to formally respond to informal grievance**
**Formal Grievance (DAO 202-771)**
**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.](file:///C:/Documents%20and%20Settings/rwilliams/Local%20Settings/Temp/Demo%20Project%20-%20Overview.ppt)__[ohrm](http://ohrm.os.doc.gov/Demo)__[.](http://ohrm.os.doc.gov/Demo)__[os](http://ohrm.os.doc.gov/Demo)__[.doc.](http://ohrm.os.doc.gov/Demo)__[gov/Demo](http://ohrm.os.doc.gov/Demo)_
- _[www.](file:///C:/Documents%20and%20Settings/rwilliams/Local%20Settings/Temp/Demo%20Project%20-%20Overview.ppt)__[wfm](file:///C:/Documents%20and%20Settings/rwilliams/Local%20Settings/Temp/Demo%20Project%20-%20Overview.ppt)__[.](file:///C:/Documents%20and%20Settings/rwilliams/Local%20Settings/Temp/Demo%20Project%20-%20Overview.ppt)__[noaa](file:///C:/Documents%20and%20Settings/rwilliams/Local%20Settings/Temp/Demo%20Project%20-%20Overview.ppt)__[.](file:///C:/Documents%20and%20Settings/rwilliams/Local%20Settings/Temp/Demo%20Project%20-%20Overview.ppt)__[gov](file:///C:/Documents%20and%20Settings/rwilliams/Local%20Settings/Temp/Demo%20Project%20-%20Overview.ppt)_