I 
110TH CONGRESS 
1ST SESSION H. R. 3203 
To reform the compensation system of the Foreign Service of the United 
States, and to amend the provision relating to the death gratuity payable 
to surviving dependents of Foreign Service employees who die as a 
result of injuries sustained in the performance of duty abroad. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 27, 2007 
Mr. SMITH of New Jersey (for himself, Mr. PAYNE, Mr. SCOTT of Georgia, 
Mr. TOM DAVIS of Virginia, and Mr. WOLF) introduced the following bill; 
which was referred to the Committee on Foreign Affairs, and in addition 
to the Committee on Oversight and Government Reform, for a period to 
be subsequently determined by the Speaker, in each case for consider-
ation of such provisions as fall within the jurisdiction of the committee 
concerned 
A BILL 
To reform the compensation system of the Foreign Service 
of the United States, and to amend the provision relating 
to the death gratuity payable to surviving dependents 
of Foreign Service employees who die as a result of 
injuries sustained in the performance of duty abroad. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Foreign Service Global Compensation Act of 2007’’. 
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(b) TABLE OF CONTENTS.—The table of contents of 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—PROVISIONS RELATING TO COMPENSATION SYSTEM 
Sec. 101. Foreign Service performance-based compensation system. 
Sec. 102. Transition to performance-based compensation system. 
Sec. 103. Uniform compensation for worldwide service. 
Sec. 104. Technical and conforming amendments. 
TITLE II—PROVISIONS RELATING TO DEATH GRATUITY 
Sec. 201. Death gratuity. 
TITLE I—PROVISIONS RELATING 
TO COMPENSATION SYSTEM 
SEC. 101. FOREIGN SERVICE PERFORMANCE-BASED COM-
PENSATION SYSTEM. 
(a) PURPOSES.—The purposes of this title are— 
(1) to improve the recruitment and retention of 
high-performing Foreign Service members; 
(2) to ensure performance management that ef-
fectively communicates performance expectations 
and makes meaningful distinctions based upon rel-
ative performance; and 
(3) to institute a worldwide pay system for the 
Foreign Service. 
(b) FOREIGN SERVICE SCHEDULE.—Section 403 of 
the Foreign Service Act of 1980 (22 U.S.C. 3963) is 
amended to read as follows: 
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‘‘SEC. 403. FOREIGN SERVICE SCHEDULE. 
‘‘(a) IN GENERAL.—The President shall establish, re-
view on an annual basis, and periodically adjust a Foreign 
Service Schedule, which shall consist of 9 salary classes 
that apply to members of the Service who are citizens of 
the United States and for whom salary rates are not oth-
erwise provided under this chapter. The annual review 
under this subsection shall include consideration of perti-
nent economic measures, including but not limited to 
changes in the Employment Cost Index (within the mean-
ing of section 5302(2) of title 5, United States Code). 
‘‘(b) LIMIT.—The maximum salary rate for the high-
est class established under this section, which shall be des-
ignated class 1, may not exceed the rate of basic pay for 
level IV of the Executive Schedule under section 5315 of 
title 5, United States Code.’’. 
(c) WITHIN-CLASS
SALARY
INCREASES.—Section 
406 of the Foreign Service Act of 1980 (22 U.S.C. 3966) 
is amended to read as follows: 
‘‘SEC. 406. WITHIN-CLASS SALARY INCREASES. 
‘‘(a) DETERMINATION.—The Secretary shall deter-
mine, on at least an annual basis, the size of any salary 
adjustment (expressed as a percentage or otherwise) which 
shall be made with respect to any members within a salary 
class in the Foreign Service Schedule, taking into account 
individual performance, contribution to the mission of the 
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Department, or both, under a performance management 
system that— 
‘‘(1) makes meaningful distinctions based upon 
relative performance; and 
‘‘(2) clearly links individual salary and perform-
ance under precepts prescribed by the Secretary. 
The Secretary shall determine the date as of which any 
salary adjustment under this subsection shall take effect. 
‘‘(b) LIMITATION.—A performance-based salary ad-
justment under subsection (a) may not be made with re-
spect to any member of the Service whose performance 
does not meet the standards of performance for the salary 
class of the member for the applicable evaluation period. 
‘‘(c) EQUAL BASIC SALARY ADJUSTMENTS.—Not-
withstanding subsection (a), the Secretary may provide 
equal basic salary adjustments, on a percentage basis, for 
career candidates or other members of the Service— 
‘‘(1) whose performance has not been reviewed 
by a selection board under section 602; and 
‘‘(2) who are found to meet the standards of 
performance for their class. 
The Secretary shall determine the date as of which any 
salary adjustment under this subsection shall take effect. 
‘‘(d) FUNDING FOR PERFORMANCE-BASED SALARY 
ADJUSTMENTS.— 
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