Civil Service Reform Act
PL 95-454 (S.2640), enacted 10/13/1978

PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1111 
Public Law 95-454 
95th Congress 
An Act 
To reform the civil service laws. 
Oct. 13, 1978 
Be it enacted hy the Senate and House of Representatives of the ^-.j^jj Service 
United States of America in Congress assenibled, 
Reform Act of 
1978. 
SHORT TITLE 
5 USC 1101 note. 
SECTION 1. This Act may be cited as the "Civil Service Keform Act 
of 1978". 
TABLE OF CONTENTS 
SEC. 2. The table of contents is as follows: 
TABLE OF CONTENTS 
Sec. 1. Short title. 
, 
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Sec. 2. Table of contents. 
Sec. 3. Findings and statement of purpose. 
TITLE I—MERIT SYSTEM PRINCIPLES 
Sec. 101. Merit system principles; prohibited personnel practices. 
TITLE II—CIVIL SERVICE FUNCTIONS; PERFORMANCE APPRAISAL; 
ADVERSE ACTIONS 
Sec. 201. Oflace of Personnel Management. 
Sec. 202. Merit Systems Protection Board and Special Counsel. 
Sec. 203. Performance appraisals. 
Sec. 204. Adverse actions. 
,. 
. 
Sec. 205. Appeals. 
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Sec. 206. Technical and conforming amendments. 
TITLE III—STAFFING 
Sec. 301. Volunteer service. 
Sec. 302. Interpreting assistants for deaf employees. 
Sec. 303. Probationary period. 
Sec. 304. Training. 
Sec. 305. Travel, transportation, and subsistence. 
Sec. 306. Retirement. 
Sec. 307. Veterans and preference eligibles. 
Sec. 308. Dual pay for retired members of the uniformed services. 
Sec. 309. Civil service employment information. 
Sec. 310. Minority recruitment program. 
Sec. 311. Temporary employment limitation. 
TITLE IV—SENIOR EXECUTIVE SERVICE 
Sec. 401. General provisions. 
Sec. 402. Authority for employment. 
Sec. 403. Examination, certification, and appointment. 
SPC. 404. Retention preference. 
See. 405. Performance rating. 
Sec. 406. Awarding of ranks. 
Sec. 407. Pay rates and systems. 
Sec. 408. Pay administration. 
See. 409. Travel, transportation, and subsistence. 
See. 410. Leave. 
Sec. 411. Disciplinary actions. 
Sec. 412. Retirement. 
Sec. 413. Conversion to the Senior Executive Service. 
Sec. 414. Limitations ^n executive positions. 
Sec. 415. Effective-date; congressional review. 
92 STAT. 1112 
PUBLIC LAW 95-454—OCT. 13, 1978 
TABLE OF CONTENTS—Continued 
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TITLE V—MERIT PAY 
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Sec. 501. Pay for performance. 
Sec. 502. Incentive awards amendments. 
Sec. 503. Tectinical and conforming amendments. 
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Sec. 504. Effective date. 
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TITLE VI—RESEARCH, DEMONSTRATION, AND OTHER PROGRAMS 
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Sec. 601. Researcli programs and demonstration projects. 
Sec. 602. Intergovernmental Personnel Act amendments. 
,jj.^,/|A; 
Sec. 603. Amendments to the mobility program. 
TITLE VII—FEDERAL SERVICE LABOR-MANAGEMENT RELATIONS 
Sec. 701. Federal service labor-management relations. 
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Sec. 702. Backpay in case of unfair labor practices and grievances. 
Sec. 703. Technical and conforming amendments. 
Sec. 704. Miscellaneous provisions. 
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TITLE VIII—GRADE AND PAY RETENTION 
Sec. 801. Grade and pay retention. 
TITLE IX—MISCELLANEOUS 
Sec. 901. Study on decentralization of governmental functions. 
Sec. 902. Savings provisions. 
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Sec. 903. Authorization of appropriations. 
Sec. 904, Povi^ers of President unaffected except by express provisions. 
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Sec. 905. Reorganizations plans. 
Sec. 906. Technical and conforming amendments. 
Sec. 907. Effective date. 
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FINDINGS AND STATEMENT OF PURPOSE 
5 use 1101 note. 
SEC. 3. I t is the policy of the United States that— 
(1) in order to provide the people of the United States with a 
competent, honest, and productive Federal work force reflective 
of the Nation's divei-sity, and to improve the quality of public 
service, Federal personnel management should be implemented 
consistent with merit system principles and free from prohibited 
personnel practices; 
(2) the merit system principles which shall govern in the com-
petitive service and in the executive branch of the Federal Gov-
ernment should be expressly stated to furnish guidance to Federal 
agencies in carrying out their responsibilities in administering the 
public business, and prohibited personnel practices should be 
statutorily defined to enable Federal employees to avoid conduct 
which undermines the merit system principles and the integrity 
of the merit system; 
(3) Federal employees should receive appropriate protection 
through increasing the authority and powers of the Merit Systems 
Protection Board in processing hearings and appeals affecting 
Federal employees; 
(4) the authority and power of the Special Counsel should be 
increased so that the Special Counsel may investigate allegations 
involving prohibited personnel practices and reprisals against 
Federal employees for the law ful disclosure of certain information 
and may file complaints against agency officials and employees who 
engage in such conduct; 
(5) the function of filling positions and other personnel func-
tions in the competitive service and in the executive branch should 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1113 
be delegated in appropriate cases to the agencies to expedite proc-
essing appointments and other personnel actions, with the control 
and oversight of this delegation being maintained by the Office 
of Personnel Management to protect against prohibited personnel 
practices and the use of unsound management practices by the 
agencies; 
(6) a Senior Executive Service should be established to provide 
the flexibility needed by agencies to recruit and retain the highly 
competent and qualified executives needed to provide more effec-
tive management of agencies and their functions, and the more 
expeditious administration of the public business; 
(7) in appropriate instances, pay increases should be based on 
quality of performance rather than length of service; 
(8) research programs and demonstration projects should be 
authorized to permit Federal agencies to experiment, subject to 
congressional oversight, with new and different personnel man-
agement concepts in controlled situations to achieve more efficient 
management of the Government's human resources and greater 
productivity in the delivery of service to the public; 
(9) the training program of the Government should include 
retraining of employees for positions in other agencies to avoid 
separations during reductions in force and the loss to the Govern-
ment of the knowledge and experience that these employees pos-
sess; and 
(10) the right of Federal employees to organize, bargain col-
lectively, and participate through labor organizations in decisions 
which affect them, with full regard for the public interest and the 
effective conduct of public business, should be specifically recog-
nized in statute. 
T I T L E I — M E E I T SYSTEM P R I N C I P L E S 
MERIT SYSTEM PRINCIPLES; PROHIBITED PERSONNEL PRACTICES 
SEC. 101. (a) Title 5, United States Code, is amended by inserting 
-^ 
after chapter 21 the following new chapter: 
"CHAPTER 23—MERIT SYSTEM PRINCIPLES 
"Sec. 
"2301. Merit system principles. 
"2302. Prohibited personnel practices. 
"2303. Prohibited personnel practices in the Federal Bureau of Investigation. 
"2304. Responsibility of the General Accounting Office. 
"2305. Coordination with certain other provisions of law. 
"§ 2301. Merit system principles 
5 USC 2301. 
" (a) This section shall apply to— 
"(1) an Executive agency; 
"(2) the Administrative Office of the United States Courts; 
and 
J 
"(3) the Government Printing Office. 
. ' . ' 
"(b) Federal personnel management should be implemented con-
sistent with the following merit system principles: 
"(1) Recruitment should be from qualified individuals from 
appropriate sources in an endeavor to achieve a work force from 
all segments of society, and selection and advancement should 
be determined solely on the basis of relative ability, knowledge, 
and skills, after fair and open competition which assures that all 
receive equal opportunity. 
92 STAT. 1114 
PUBLIC LAW 95-454—OCT. 13, 1978 
Infra. 
jASi ..^-C 
5 use 2302. 
Definitions. 
"(2) All employees and applicants for employment should 
receive fair and equitable treatment in all aspects of personnel 
management without regard to political affiliation, race, color, 
religion, national origin, sex, marital status, age, or handicapping 
condition, and with proper regard for their privacy and con-
stitutional rights. 
"(3) Equal pay should be provided for work of equal value, 
with appropriate consideration of both national and local rates 
paid by employers in the private sector, and appropriate incen-
tives and recognition should be provided for excellence in 
performance. 
"(4) All employees should maintain high standards of 
integrity, conduct, and concern for the public interest. 
"(5) The Federal work force should be used efficiently and 
effectively. 
" (6) Employees should be retained on the basis of the adequacy 
of their performance, inadequate performance should be cor-
rected, and employees should be separated who cannot or will 
not improve their performance to meet required standards. 
"(7) Employees should be provided effective education and 
training in cases in which such education and training would 
result in better organizational and individual performance. 
"(8) Employees should be— 
"(A) protected against arbitrary action, personal favor-
_l, ,, 
itism, or coercion for partisan political purposes, and 
"(B) prohibited from using their official authority or influ-
ence for the purpose of interfering with or affecting the result 
of an election or a nomination for election. 
"(9) Employees should be protected against reprisal for the 
lawful disclosure of information which the employees reasonably 
believe evidences— 
"(A) a violation of any law, rule, or regulation, or 
"(B) mismanagement, a gross waste of funds, an abuse 
of authority, or a substantial and specific danger to public 
health or safety. 
"(c) In administering the provisions of this cliapter— 
"(1) with respect to any agency (as defined in section 2302(a) 
(2) (C) of this title), the President shall, pursuant to the authority 
otherwise available under this title, take any action, including 
the issuance of rules, regulations, or directives; and 
"(2) with respect to any entity in the executive branch which 
is not such an agency or part of such an agency, the head of such 
entity shall, pursuant to authority otherwise available, take any 
action, including the issuance of rules, regulations, or directives; 
which is consistent with the provisions of this title and which the 
President or the head, as the case may be, determines is necessary to 
ensure that personnel management is based on and embodies the merit 
system principles. 
"§2302. Prohibited personnel practices 
" (a) (1) For the purpose of this title, 'prohibited personnel practice' 
means any action described in subsection (b) of this section. 
"(2) For the purpose of this section— 
" (A) 'personnel action' means— 
.. 
"(i) an appointment; 
'" 
" (ii) a promotion; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1115 
" (iii) an action under chapter 75 of this title or other disci-
plinary or corrective action; 
"(iv) a detail, transfer, or reassignment; 
"(v) a reinstatement; 
"(vi) a restoration; 
"(vii) a reemployment; 
"(viii) a performance evaluation under chapter 43 of this 
title; 
"(ix) a decision concerning pay, benefits, or awards, or 
..,:. 
concerning education or training if the education or training 
may reasonably be expected to lead to an appointment, pro-
motion, performance evaluation, or other action described 
in this subparagraph; and 
"(x) any other significant change in duties or res|X)nsibil-
4 
ities which is inconsistent with the employee's salary or grade 
level; 
with respect to an employee in, or applicant for, a covered position 
in an agency; 
"(B) 'covered position' means any position in the competitive 
service, a career appointee position in the Senior Executive Serv-
ice, or a position in the excepted service, but does not include— 
"(i) a position which is excepted from the competitive 
service because of its confidential, policy-determining, policy-
making, or policy-advocating character; or 
"(ii) any position excluded from the coverage of this sec-
tion by the President based on a determination by the Presi-
dent that it is necessary and warranted by conditions of good 
administration. 
o;; : c: = ? 
"(C) 'agency'means an Executive agency, the Administrative 
Office of the United States (^ourts, and tlie Government Printing 
Office, but does not include— 
"(i) a Government corporation; 
"(ii) the Federal Bureau of Investigation, the Central 
''-"' 
Intelligence Agency, the Defense Intelligence Agency, the 
National Security Agency, and, as determined by the Presi-
dent, any Executive agency or unit thereof the principal 
function of which is the conduct of foreign intelligence or 
counterintelligence activities; or 
"(iii) the General Accounting Office. 
"(b) Any employee who has authority to take, direct others to take, 
recommend, or approve any personnel action, shall not, with respect to 
such authority— 
"(1) discriminate for or against any employee or applicant for 
employment— 
"(A) on the basis of race, color, religion, sex, or national 
origin, as prohibited under section 717 of the Civil Eights Act 
of 1964 (42 U.S.C. 2000e-16); 
"(B) on the basis of age, as prohibited under sections 12 
and 15 of the Age Discrimination in Employment Act of 
1967 (29 U.S.C. 631,633a); 
"(C) on the basis of sex, as prohibited under section 6(d) of 
the Fair Labor Standards Act of 1938 (29 U.S.C. 206(d)); 
" (D) on the basis of handicapping condition, as prohibited 
under section 501 of the Rehabilitation Act of 1973 (29 U.S.C. 
791); or 
'" 
"(E) on the basis of marital status or political affiliation, 
as prohibited under any law, rule, or regulation; 
39-194 O—80—pt. 1 
74 : Q U 
92 STAT. 1116 
PUBLIC LAW 95-454—OCT. 13, 1978 
"(2) solicit or consider any recommendation or statement, oral 
or written, with respect to any individual who requests or is under 
consideration for any personnel action unless such recommenda-
tion or statement is based on the personal knowledge or records 
of the person furnishing it and consists of— 
"(A) an evaluation of the work performance, ability, 
ft^ •' 
aptitude, or general qualifications of such individual; or 
"(B) an evaluation of the character, loyalty, or suitability 
of such individual; 
"(3) coerce the political activity of any person (including the 
providing of any political contribution or service), or take any 
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^ 
action against any employee or applicant for employment as a 
reprisal for the refusal of any person to engage in such political 
activity; 
"(4) deceive or willfully obstruct any person with respect to 
such person's right to compete for employment; 
"(6) influence any person to withdraw from competition for 
any position for the purpose of improving or injuring the pros-
pects of any other person for employment; 
"(6) grant any preference or advantage not authorized by law, 
rule, or regulation to any employee or applicant for employment 
(including defining the scope or manner of competition or the 
requirements for any position) for the purpose of improving or 
injuring the prospects of any particular person for emplojnnent; 
"(7) appoint, employ, promote, advance, or advocate for 
appointment, employment, promotion, or advancement, in or to a 
civilian position any individual who is a relative (as defined in 
5 use 3110. 
section 3110(a) (3) of this title) of such employee if such position 
is in the agency in which such employee is serving as a public 
official (as defined in section 3110(a)(2) of this title) or over 
which such employee exercises jurisdiction or control as such an 
official; 
"(8) take or fail to take a personnel action with respect to any 
employee or applicant for employment as a reprisal for— 
"(A) a disclosure of information by an employee or appli-
cant which the employee or applicant reasonably believes 
' 
' 
evidences— 
"(i) a violation of any law, rule, or regulation, or 
^ j 
"(ii) mismanagement, a gross waste of funds, an abuse 
"': ' 
of authority, or a substantial and specific danger to public 
health or safety, 
if such disclosure is not specifically prohibited by law and if 
such information is not specifically required by Executive 
order to be kept secret in the interest of national defense or 
the conduct of foreign affairs; or 
"(B) a disclosure to the Special Counsel of the ]Merit Sys-
tems Protection Board, or to the Inspector General of an 
agency or another employee designated by the head of the 
agency to receive such disclosures, of information which the 
employee or applicant reasonably believes evidences— 
" (i) a violation of any law, rule, or regulation, or 
"(ii) mismanagement, a gross waste of funds, an abuse 
of authority, or a substantial and specific danger to public 
health or safety; 
"(9) take or fail to take any personnel action against any 
*^' employee or applicant for employment as a reprisal for the exercise 
of any appeal right granted by any law, rule, or regulation; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1117 
" (10) discriminate for or against any employee or applicant for 
employment on the basis of conduct which does not adversely affect 
the performance of the employee or applicant or the perform-
ance of others; except that nothing in this paragraph shall 
•,.,;...•>;,, 
prohibit an agency from taking into account in determining 
suitability or fitness any conviction of the employee or applicant 
for any crime under the laws of any State, of the District of 
Columbia, or of the United States; or 
. 
" (11) take or fail to take any other personnel action if the tak-
ing of or failure to take such action violates any law, rule, or regu- 
• 
lation implementing, or directly concerning, the merit system 
principles contained in section 2301 of this title. 
This subsection shall not be construed to authorize the withholding of 
information from the Congress or the taking of any personnel action 
against an employee who discloses information to the Congress. 
"(c) The head of each agency shall be responsible for the preven- 
, 
tion of prohibited personnel practices, for the compliance with and 
enforcement of applicable civil service laws, rules, and regulations, 
and other aspects of personnel management. Any individual to whom 
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" 
the head of an agency delegates authority for personnel management, 
r - ' • 
or for any aspect thereof, shall be similarly responsible within the 
limits of the delegation. 
"(d) This section shall not be construed to extinguish or lessen any 
effort to achieve equal employment opportunity through affirmative 
action or any right or remedy available to any employee or applicant 
for employment in the civil service under— 
"(1) section 7l7 of the Civil Eights Act of 1964 (42 TJ.S.C. 
2000e-16), prohibiting discrimination on the basis of race, color, 
religion, sex, or national origin; 
,; ,,£ ,.. , 
"(2) sections 12 and 15 of the Age Discrimination in Employ-
ment Act of 1967 (29 U.S.C. 631, 633a), prohibiting discrim-
ination on the basis of age; 
"(3) under section 6(d) of the Fair Labor Standards Act of 
1938 (29 U.S.C. 206 (d)), prohibiting discrimination on the basis 
of sex * 
"(4) section 501 of the Rehabilitation Act of 1973 (29 U.S.C. 
791), prohibiting discrimination on the basis of handicapping 
condition; or 
"(5) the provisions of any law, rule, or regulation prohibiting 
discrimination on the basis of marital status or political 
affiliation. 
"2303. Prohibited personnel practices in the Federal Bureau of 5 USC 2303. 
Investigation 
"(a) Any employee of the Federal Bureau of Investigation who has 
authority to take, direct others to take, recommend, or approve any 
personnel action, shall not, with respect to such authority, take or fail 
to take a personnel action with respect to any employee of the Bureau 
as a reprisal for a disclosure of information by the employee to the 
Attorney General (or an employee designated by the Attorney General 
for such purpose) which the employee or applicant reasonably believes 
evidences— 
" (1) a violation of any law, rule, or regulation, or 
" (2) mismanagement, a gross waste of funds, an abuse of author-
ity, or a substantial and specific danger to public health or safety. 
For the purpose of this subsection, 'personnel action' means any action "Personnel 
described in clauses (i) through (x) of section 2302(a) (2) (A) of this action." 
92 STAT. 1118 
PUBLIC LAW 95-454~0CT. 13, 1978 
Regulations. 
Presidential 
enforcement. 
Post, p. 1125. 
5 u s e 2304. 
Report to 
President and 
Congress. 
5 u s e 2305. 
'MS 'mi 
title with respect to an employee in, or applicant for, a position in the 
Bureau (other than a position of a confidential, policy-determining, 
policymaking, or policy-advocating character). 
" (b) The Attorney General shall prescribe regulations to ensure that 
such a personnel action shall not be taken against an employee of the 
Bureau as a reprisal for any disclosure of information described in 
subsection (a) of this section. 
"(c) The President shall provide for the enforcement of this section 
in a manner consistent with the provisions of section 1206 of this title. 
"§2304. Responsibility of the General Accounting Office 
"(a) If requested by either House of the Congress (or any commit-
tee thereof), or if considered necessary by the Comptroller General, 
the General Accounting Office shall conduct audits and reviews to 
assure compliance with the laws, rules, and regulations governing 
employment in the executive branch and in the competitive service and 
to assess the effectiveness and soundness of Federal personnel 
management. 
"(b) the General Accounting Office shall prepare and submit an 
annual report to the President and the Congress on the activities of 
the Merit Systems Protection Board and the Office of Personnel 
Management. The report shall include a description of— 
" (1) significant actions taken by the Board to carry out its func-
tions under this title; and 
"(2) significant actions of the Office of Personnel Management, 
including an analysis of whether or not the actions of the Office 
are in accord with merit system principles and free from pro-
hibited personnel practices. 
*'§2305. Coordination with certain other provisions of law 
"No provision of this chapter, or action taken under this chapter, 
shall be construed to impair the authorities and responsibilities set 
forth in section 102 of the National Security Act of 1947 (61 Stat, 495; 
50 XJ.S.C. 403), the Central Intelligence Agency Act of 1949 (63 Stat. 
208; 50 U.S.C. 403a and following), the Act entitled 'An Act to pro-
vide certain administrative authorities for the National Security 
Agency, and for other purposes', aj)proved May 29,1959 (73 Stat. 63; 
50 U.S.C. 402 note), and the Act entitled 'An Act to amend the Internal 
Security Act of 1950', approved March 26, 1964 (78 Stat. 168; 50 
U.S.C. 831-835).". 
(b) (1) The table of chapters for part III of title 5, United States 
Code, is amended by adding after the item relating to chapter 21 the 
following new item: 
"23. Merit system principles 
_ 
2301". 
(2) Section 7153 of title 5, United States Code, is amended— 
(A) by striking out "Physical handicap" in the catchline and 
inserting in lieu thereof "Handicapping condition"; and 
(B) by striking out "physical handicap" each place it appears 
in the text and inserting m lieu thereof "handicapping condition". 
TITLE II—CIVIL SERVICE FUNCTIONS; PERFORMANCE 
APPRAISAL; ADVERSE ACTIONS 
OFFICE OF PERSONNEL MANAGEMENT 
SEC. 201. (a) Chapter 11 of title 5, United States Code, is amended 
to read as follows: 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1119 
"CHAPTER 11—OFFICE OF PERSONNEL MANAGEMENT 
. 
"Sec. 
^ " 
"1101. Office of Personnel Management. 
"1102. Director; Deputy Director; Associate Directors. 
"1103. Functions of tlie Director. 
"1104. Delegation of authority for personnel management. 
"1105. Administrative procedure. 
"§ 1101. Office of Personnel Management 
5 use lioi. 
"The Office of Personnel Management is an independent establish-
ment in the executive branch. The Office shall have an official seal, 
xMU 
q as.'s 
which shall be judicially noticed, and shall have its principal office in 
the District of Columbia, and may have field offices in other appropri-
ate locations. 
"§ 1102. Director; Deputy Director; Associate Directors 
5 USC 1102. 
"(a) There is at the head of the Office of Personnel Management a 
Director of the Office of Personnel Management appointed by the 
President, by and with the advice and consent of the Senate. The term 
of office of any individual appointed as Director shall be 4 years. 
"(b) There is in the Office a Deputy Director of the Office of Person-
nel Management appointed by the President, by and with the advice 
and consent of the Senate. The Deputy Director shall perform such 
functions as the Director may from time to time prescribe and shall act 
as Director during the absence or disability of the Director or when 
the office of Director is vacant. 
" (c) No individual shall, while serving as Director or Deputy Direc-
tor, serve in any other office or position in the Government of the 
United States except as otherwise provided by law or at the direction 
of the President. The Director and Deputy Director shall not recom-
mend any individual for appointment to any position (other than 
;:)li ; ? ' •' 
Deputy Directoi- of the Office) which requires the advice and consent 
of the Senate. 
"(d) There may be within the Office of Personnel Management not 
more than 5 Associate Directors, as determined from time to time by 
the Director. Each Associate Director shall be appointed by the 
Director. 
"§ llOa Functions of the Director 
5 USC 1103. 
" (a) The following functions are vested in the Director of the Office 
of Personnel Management, and shall be performed by the Director, or 
subject to section 1104 of this title, by such employees of the Office as 
the Director designates: 
" (1) securing accuracy, uniformity, and justice in the functions 
of the Office; 
" (2) appointing individuals to be employed by the Office; 
"(3) directing and supervising employees of the Office, dis-
tributing business among employees and organizational units of 
the Office, and directing the internal management of the Office; 
"(4) directing the preparation of requests for appropriations 
for the Office and the use and expenditure of funds by the Office; 
"(5) executing, administering, and enforcing— 
" (A) the civil service rules and regulations of the President 
and the Office and the laws governing the civil service; and 
"(B) the other activities of the Office including retirement 
and classification activities; 
except with respect to functions for which the Merit Systems Pro-
tection Board or the Special Counsel is primarily responsible; 
92 STAT. 1120 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 8701 
et seq. 
Post, p. 1185. 
Notice of 
proposed 
rules or 
regulations. 
Publication in 
Federal Register. 
5 u s e 553. 
5 u s e 1104. 
.ni,n.1, ^r.[ 
Standards. 
Oversight 
program. 
" (6) reviewing the operations under chapter 87 of this title; 
"(7) aiding the President, as the President may request, in 
preparing such civil service rules as the President prescribes, and 
otherwise advising the President on actions which may be taken 
to promote an efficient civil service and a systematic application 
of the merit system principles, including recommending policies 
relating to the selection, promotion, transfer, performance, pay, 
conditions of service, tenure, and separation of employees; and 
"(8) conducting, or otherwise providing for the conduct of, 
studies and research under chapter 47 of this title into methods of 
assuring improvements in personnel management. 
"(b) (1) The Director shall publish in the Federal Register general 
notice of any rule or regulation which is proposed by the Office and 
the application of which does not apply solely to the Office or its 
employees. Any such notice shall include the matter required under 
section 553(b) (1), (2), and (3) of this title. 
" (2) The Director shall take steps to ensure that— 
"(A) any proposed rule or regulation to which paragraph (1) 
of this subsection applies is posted in offices of Federal agencies 
maintaining copies of the Federal personnel regulations; and 
"(B) to the extent the Director determines appropriate and 
practical, exclusive representatives of employees affected by such 
proposed rule or regulation and interested members of the public 
are notified of such proposed rule or regulation. 
"(3) Paragraphs (1) and (2) of this subsection shall not apply to 
any proposed rule or regulation which is temporary in nature and 
which is necessary to be implemented expeditiously as a result of an 
emergency. 
*'§ 1104. Delegation of authority for personnel management 
"(a) Subject to subsection (b)(3) of this section— 
"(1) the President may delegate, in whole or in part, authority 
for personnel management functions, including authority for 
competitive examinations, to the Director of the Office of Person-
nel Management; and 
"(2) the Director may delegate, in whole or in part, any func-
tion 
vested 
in or 
delegated to the Director, 
including 
authority for competitive examinations (except competitive 
examinations for administrative law judges appointed under 
section 3105 of this title), to the heads of agencies in the execu-
tive branch and other agencies employing persons in the com-
petitive service; 
except that the Director may not delegate authority for competitive 
examinations with respect to positions that have requirements which 
are common to agencies in the Federal Government, other than in 
exceptional cases in which the interests of economy and efficiency 
require such delegation and in which such delegation will not weaken 
the application of the merit system principles. 
"(b) (1) The Office shall establisih standards which shall apply to 
the activities of the Office or any other agency under authority dele-
gated under subsection (a) of this section. 
"(2) The Office shall establish and maintain an oversight program 
to ensure that activities under any authority delegated under subsec-
tion (a) of this section are in accordance with the merit system 
principles and the standards established under paragraph (1) of 
this subsection. 
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PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1121 
"(3) Nothing in subsection (a) of this section shall be construed 
as affecting the responsibility of the Director to prescribe regulations 
and to ensure compliance with the civil service laws, rules, and regu-
lations. 
"(c) If the Office makes a written finding, on the basis of informa-
tion obtained under the program established under subsection (b) (2) 
of this section or otherwise, that anj^ action taken by an agency 
pursuant to authority delegated under subsection (a) (2) of this 
section is contrary to any law, rule, or regulation, or is contrary to 
any standard established under subsection (b) (1) of this section, the 
^^^, 
agency involved shall take any corrective action the Office may 
require. 
"§ 1105. Administrative procedure 
5 use 1105. 
"Subject to section 1103(b) of this title, in the exercise of the func-
tions assigned under this chapter, the Director shall be subject to 
subsections (b), (c), and (d) of section 553 of this title, notwith- 5 USC 553. 
standing subsection (a) of such section 553.". 
(b) (1) Section 5313 of title 5, United States Code, is amended by 
inserting at the end thereof the following new paragraph: 
"(24) Director of the Office of Personnel Management.". 
(2) Section 5314 of such title is amended by inserting at the end 5 U
S
C 5314. 
thereof the following new paragraph: 
"(68) Deputy Director of the Office of Personnel Manage-
ment.". 
(3) Section 5316 of such title is amended by inserting after para- 5 USC 5316. 
graph (121) the following: 
"(122) Associate Directors of the Office of Personnel Manage-
ment (5).". 
(c) (1) The heading of part II of title 5, United States Code is 
amended by striking out "THE UNITED STATES CIVIL SERV-
ICE COMMISSION" and inserting in lieu thereof "CIVIL SERV-
ICE FUNCTIONS AND RESPONSIBILITIES". 
(2) The item relating to chapter 11 in the table of chapters for part 
I I of such title is amended by striking out "Organization" and insert-
ing in lieu thereof "Office of Personnel Management". 
MERIT SYSTEMS PROTECTIOlSr BOARD AND SPECIAL COUNSEL 
) 
SEC. 202. (a) Title 5, United States Code, is amended by inserting 
after chapter 11 the following new chapter: 
M>t ,r i '. 
"CHAPTER 12—MERIT SYSTEMS PROTECTION BOARD 
AND 
SPECIAL 
COUNSEL 
"Sec. 
"1201. Appointment of members of the Merit Systems Protection Board. 
"1202. Term of office; filling vacancies; removal. 
"1203. Chairman; Vice Chairman. 
"1204. Special Counsel; appointment and removal. 
"1205. Powers and functions of the Merit Systems Protection Board and Special 
^
- : 
. 
Counsel. 
"1206. Authority and responsibilities of the Special Counsel. 
"1207. Hearings and decisions on complaints filed by the Special Counsel. 
"1208. Stays of certain personnel actions. 
"1209. Information. 
"§ 1201. Appointment of members of the Merit Systems Protection 5 USC 1201. 
Board 
"The Merit Systems Protection Board is composed of 3 members 
appointed by the President, by and with the advice and consent of 
the Senate, not more than 2 of vvliom may be adherents of the same 
92 STAT. 1122 
PUBLIC LAW 95-454—OCT. 13, 1978 
political party. The Chairman and members of the Board shall be 
individuals who, by demonstrated ability, background, training, or 
experience are especially qualified to carry out the functions of the 
Board. No member of the Board may hold another office or position 
in the Government of the United States, except as otherwise provided 
by law or at the direction of the President. The Board shall have an 
official seal which shall be judicially noticed. The Board shall have 
its principal office in the District of Columbia and may have field 
offices in other appropriate locations. 
5 use 1202. 
"§ 1202. Term of office, filling vacancies; removal 
"(a) The term of office of each member of the Merit Systems Pro-
tection Board is 7 years. 
' 
* 
" (b) A member appointed to fill a vacancy occurring before the end 
of a term of office of his predecessor serves for the remainder of that 
term. Any appointment to fill a vacancy is subject to the requirements 
• i;'; ii 
of section 1201 of this title. 
"(c) Any member appointed for a 7-year term may not be reap-
pointed to any following term but may continue to serve beyond the 
expiration of the term until a successor is appointed and has qualified, 
except that such member may not continue to serve for more than one 
A--ltl J * 
year after the date on which the term of the member would otherwise 
expire under this section. 
"(d) Any member may be removed by the President only for 
inefficiency, neglect of duty, or malfeasance in office. 
5 use 1203. 
«§ 1203. Chairman; Vice Chairman 
"(a) The President shall from time to time, appoint, by and with 
the advice and consent of the Senate, one of the members of the Merit 
Systems Protection Board as the Chairman of the Board. The Chair-
man is the chief executive and administrative officer of the Board. 
"(b) The President shall from time to time designate one of the 
members of the Board as Vice Chairman of the Board. During the 
absence or disability of the Chairman, or when the office of Chairman 
is vacant, the Vice Chairman shall perform the functions vested in the 
Chairman. 
"(c) During the absence or disability of both the Chairman and 
Vice Chairman, or when the offices of Chairman and Vice Chairman 
are vacant, the remaining Board member shall perform the functions 
vested in the Chairman. 
5 use 1204. 
«§ 1204. Special Counsel; appointment and removal 
"The Special Counsel of the Merit Systems Protection Board shall 
be appointed by the President from attorneys, by and with the advice 
and consent of the Senate, for a term of 5 years. A Special Counsel 
appointed to fill a vacancy occurring before the end of a term of office 
of his predecessor serves for the remainder of the term. The Special 
Counsel may be removed by the President only for inefficiency, neglect 
of duty, or malfeasance in office. 
5 use 1205. 
«§ 1205. Powers and functions of the Merit Systems Protection 
Board and Special Counsel 
" (a) The Merit Systems Protection Board shall— 
"(1) hear, adjudicate, or provide for the hearing or adjudica-
^ ^ ^ , 
tion, of all matters within the jurisdiction of the Board under this 
Ami ..!'•••. i, 
^^^|g^ section 2023 of title 38, or any other law, rule, or regulation, 
and, subject to otherwise applicable provisions of law, take final 
action on any such matter; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1123 
"(2) order any Federal agency or employee to comply with 
any order or decision issued by the Board under the authority 
granted under paragraph (1) of this subsection and enforce com- 
; ^ 
pliance with any such order; 
"(3) conduct, from time to time, special studies relating to the 
civil service and to other merit systems in the executive branch, 
and report to the President and to the Congress as to whether 
the public interest in a civil service free of prohibited personnel 
practices is being adequately protected; and 
"(4) review, as provided in subsection (e) of this section, rules 
and regulations of the Office of Personnel Management. 
"(b) (1) Any member of the Merit Systems Protection Board, the 
Special Counsel, any administrative law judge appointed by the Board 
under section 3105 of this title, and any employee of the Board desig- 5 USC 3105. 
nated by the Board may administer oaths, examine witnesses, take dep-
ositions, and receive evidence. 
"(2) Any member of the Board the Special Counsel, and any 
administrative law judge appointed by the Board under section 3105 
of this title may—• 
"(A) issue subpenas requiring the attendance and testimony Subpenas. 
of witnesses and the production of documentary or other evidence 
from any place in the United States or any territory or possession 
thereof, the Commonwealth of Puerto Rico, or the District of 
Columbia; and 
"(B) order the taking of depositions and order responses to 
written interrogatories. 
"(3) Witnesses (whether appearing voluntarily or under subpena) Witnesses, 
shall be paid the same fee and mileage allowances which are paid 
subpenaed witnesses in the courts of the United States. 
"(c) In the case of contumacy or failure to obey a subpena issued 
under subsection (b) (2) of this section, the United States district 
court for the judicial district in which the person to whom the subpena 
is addressed resides or is served may issue an order requiring such 
person to appear at any designated place to testify or to produce 
documentary or other evidence. Any failure to obey the order of the 
court may be punished by the court as a contempt thereof. 
"(d) (1) In any proceeding under subsection (a) (1) of this section, 
any member of the Board may request from the Director of the Office 
of Personnel Management an advisory opinion concerning the inter-
pretation of any rule, regulation, or other policy directive promul-
gated by the Office of Personnel Management. 
u.^,,- v ' 
"(2) In enforcing compliance with any order under subsection (a) 
(2) of this section, the Board may order that any employee charged 
with complying with such order, other than an employee appointed 
by the President by and with the advice and consent of the Senate, 
shall not be entitled to receive payment for service as an employee 
during any period that the order has not been complied with. The 
Board shall certify to the Comptroller General of the United States 
that such an order has been issued and no payment shall be made out 
of the Treasury of the United States for any service specified in such 
order. 
"(3) In carrying out any study under subsection (a)(3) of this 
section, the Board shall make such inquiries as may be necessary and, 
unless otherwise prohibited by law, shall have access to personnel 
records or information collected by the Office and may require addi-
tional reports from other agencies as needed. 
92 STAT. 1124 
PUBLIC LAW 95-454—OCT. 13, 1978 
Ante, p. 1119. 
Ante, p. 1114. 
.mwsQik-
Regulations. 
Publication in 
Federal Register. 
5 u s e 3324. 
Post, p. 1161. 
"(e) (1) At any time after the effective date of any rule or regula-
tion issued by the Director in carrying out functions under section 
1103 of this title, the Board shall review any provision of such rule 
or regulation— 
" (A) on its own motion; 
"(B) on the granting by the Board, in its sole discretion, of 
any petition for such review filed with the Board by any interested 
person, after consideration of the petition by the Board; or 
"(C) on the filing of a written complaint by the Special Coun-
sel requesting such review. 
"(2) In reviewmg any provision of any rule or regulation pursuant 
to this subsection the Board shall declare such provision— 
"(A) invalid on its face, if the Board determines that such 
provision would, if implemented by any agency, on its face, 
require any employee to violate section 2302(b) of this title; or 
"(B) invalidly implemented by any agency, if the Board deter-
mines that such provision, as it has been implemented by the 
agency through any personnel action taken by the agency or 
through any policy adopted by the agency in conformity with 
such provision, has required any employee to violate section 2302 
(b) of this title. 
"(3) (A) The Director of the Office of Personnel Management, and 
the head of any agency implementing any provision of any rule or reg-
ulation under review pursuant to this subsection, shall have the right 
to participate in such review. 
"(B) Any review conducted by the Board pursuant to this sub-
section shall be limited to determining— 
"(i) the validity on its face of the provision under review; and 
"(ii) w'hether the provision under review has been validly 
implemented. 
"(C) The Board shall require any agency.— 
"(i) to cease compliance with any provisions of any rule or 
regulation which the Board declares under this subsection to be 
invalid on its face; and 
"(ii) to correct any invalid implementation by the agency of 
any provision of any rule or regulation which the Board declares 
under this subsection to have been invalidly implemented by the 
agency. 
"(f) The Board may delegate the performance of any of its admin-
istrative fimctions under this title to any employee of the Board. 
"(g) The Board shall have the authority to prescribe such regula-
tions as may be necessary for the performance of its functions. The 
Board shall not issue advisory opinions. All regulations of the Board 
shall be published in the Federal Register. 
" (h) Except as provided in section 518 of title 28, relating to litiga-
tion before the Supreme Court, attorneys designated by the Chairman 
of the Board mav appear for the Board, and represent the Board, in 
any civil action brought in connection with any function carried out 
by the Board pursuant to this title or as otherwise authorized by law. 
"(i) The Chairman of the Board may appoint such personnel as 
may be necessary to perform the functions of the Board. Any appoint-
ment made under this subsection shall comply with the provisions of 
this title, except that such appointment shall not be subject to the 
approval or supervision of the Office of Personnel Management or the 
Executive Office of the President (other than approval required under 
section 3324 or subchapter VIII of chapter 33 of this title). 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1125 
"(j) The Board shall prepare and submit to the President, and, at 
the same time, to the appropriate committees of Congress, an annual 
budget of the expenses and other items relating to the Board which 
shall, as revised, be included as a separate item in the budget required 
to be transmitted to the Congress under section 201 of the Budget and 
Accounting Act, 1921 (31 U.S.C. 11). 
" (k) The Board shall submit to the President, and, at the same time, 
to each House of the Congress, any legislative recommendations of 
the Board relating to any of its functions under this title. 
*
*
§ 1206. Authority and responsibilities of the Special Counsel 
"(a) (1) The Special Counsel shall receive any allegation of a pro-
hibited personnel practice and shall investigate the allegation to the 
extent necessary to determine whether there are reasonable grounds to 
believe that a prohibited personnel practice has occurred, exists, or is 
to be taken. 
"(2) If the Special Counsel terminates any investigation under 
paragraph (1) of this subsection, the Special Counsel shall prepare 
and transmit to any person on whose allegation the investigation was 
initiated a written statement notifying the person of the termination 
of the investigation and the reasons therefor. 
"(3) In addition to authority granted under paragraph (1) of this 
subsection, the Special Counsel may, in the absence of an allegation, 
conduct an investigation for the purpose of determining Avhether 
there are reasonable grounds to believe that a prohibited personnel 
practice has occurred, exists, or is to be taken. 
"(b)(1) In any case involving— 
"(A) any disclosure of information by an employee or appli-
cant for employment which the employee or applicant reasonably 
believes evidences— 
" (i) a violation of any law, rule, or regulation; or 
"(ii) mismanagement, a gross waste of funds, an abuse 
of authority, or a substantial and specific danger to public 
health or safety; 
if the disclosure is not specifically prohibited by law and if the 
information is not specifically required by Executive order to be 
kept secret in the interest of national defense or the conduct of 
foreign affairs; or 
"(B) a disclosure by an employee or applicant for employ-
ment to the Special Counsel of the Merit Systems Protection 
Board, or to the Inspector General of an agency or another 
employee designated by the head of the agency to receive such 
disclosures of information which the employee or applicant rea-
sonably believes evidences— 
" (i) a violation of any law, rule, or regulation; or 
"(ii) mismanagement, a gross waste of funds, an abuse of 
authority, or a substantial and specific danger to public health 
or safety; 
the identity of tlie employee or applicant may not be disclosed without 
the consent of the employee or applicant during any investigation 
under subsection (a) of this section or under paragraph (3) of this 
subsection, unless the Special Counsel determines that the disclosure 
of the identity of the employee or applicant is necessary in order to 
carry out the functions of the Special Counsel. 
"(2) Whenever the Special Counsel receives information of the 
type described in paragraph (1) of this subsection, the Special Coun-
sel shall promptly transmit such information to the appropriate 
agency head. 
Recommenda-
tions, submittal 
to President and 
Congress. 
92 STAT. 1126 
PUBLIC LAW 95-454--0CT. 13, 1978 
"(3) (A) In the case of information received by the Special Counsel 
under paragraph (1) of this section, if, after such review as the Spe-
cial Counsel determines practicable (but not later than 15 days after 
the receipt of the information), the Special Counsel determines that 
there is a substantial likelihood that the information discloses a viola-
tion of any law, rule, or regulation, or mismanagement, gross waste 
of funds, abuse of authority, or substantial and specific danger to the 
;
^
^ 
public health or safety, the Special Counsel may, to the extent pro-
vided in subparagraph (B) of this paragraph, require the head of 
the agency to— 
Investigation. 
"(i) conduct an investigation of the information and any 
related matters transmitted by the Special Counsel to the head 
of the agency; and 
Written report. 
"(ii) submit a written report setting forth the findings of the 
head of the agency within 60 days after the date on which the 
information is transmitted to the head of the agency or within 
any longer period of time agreed to in writing by the Special 
Counsel. 
"(B) The Special Counsel may require an agency head to conduct 
an investigation and submit a written report under subparagraph (A) 
of this paragraph only if the information was transmitted to the Spe-
cial Counsel by— 
"(i) any employee or former employee or applicant for employ-
ment in the agency which the information concerns; or 
" (ii) any employee who obtained the information in connection 
" ^ 
with the performance of the employee's duties and responsibilities. 
"(4) Any report required under paragraph (3) (A) of this sub-
section shall be reviewed and signed by the head of the agency and 
shall include—• 
"(A) a summary of the information with respect to which the 
investigation was initiated; 
" (B) a description of the conduct of the investigation; 
"(C) a summary of any evidence obtained from the investiga-
tion; 
"(D) a listing of any violation or apparent violation of any 
law, rule, or regulation; and 
"(E) a description of any corrective action taken or planned as 
a result of the investigation, such as— 
"(i) changes m agency rules, regulations, or practices; 
" (ii) the restoration of any aggrieved employee; 
"(iii) disciplinary action against any employee; and 
"(iv) referral to the Attorney General of any evidence of 
a criminal violation. 
" (5) (A) Any such report shall be submitted to the Congress, to the 
President, and to the Special Counsel for transmittal to the complain-
ant. Whenever the Special Counsel does not receive the report of the 
agency head within the time prescribed in paragraph (3)(A)(ii) 
of this subsection, the Special Counsel may transmit a copy of the 
information which was transmitted to the agency head to the Presi-
dent and to the Congress together with a statement noting the failure 
of the head of the agency to file the required report. 
"(B) In any case in which evidence of a criminal violation obtained 
by an agency in an investigation under paragraph (3) of this sub-
section is referred to the Attorney General— 
"(i) the report shall not be transmitted to the complainant; 
and 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1127 
! 
"(ii) the agency shall notify the Office of Personnel Manage-
ment and the Office of Management and Budget of the referral. 
"(6) Upon receipt of any report of the head of any agency required 
under paragraph (3) (A) (ii) of this subsection, the Special Counsel 
shall review the report and determine whether— 
"(A) the findings of the head of the agency appear reasonable; 
and 
"(B) the agency's report under paragraph (3) (A) (ii) of this 
subsection contains the information required under paragraph 
(4) of this subsection. 
"(7) Whenever the Special Counsel transmits any information to 
the head of the agency under paragraph (2) of this subsection but 
does not require an investigation under paragraph (3) of this sub-
section, the head of the agency shall, within a reasonable time after 
the information was transmitted, inform the Special Counsel, in writ-
ing, of what action has been or is to be taken and when such action 
will be completed. The Special Counsel shall inform the complainant 
of the report of the agency head., 
"(8) Except as specifically authorized under this subsection, the 
provisions of this subsection shall not be considered to authorize dis-
closure of any information by any agency or any person which is— 
"(A) specifically prohibited from disclosure by any other pro-
vision of law; or 
"(B) specifically required by Executive order to be kept secret 
in the interest of national defense or the conduct of foreign affairs. 
"(9) In any case under subsection (b) (1) (B) of this section involv-
ing foreign intelligence or counterintelligence information the dis-
closure of which is specifically prohibited by law or by Executive 
order, the Special Counsel shall transmit such information to the 
Permanent Select Committee on Intelligence of the House of Repre-
sentatives and the Select Committee on Intelligence of the Senate. 
"(c)(1)(A) If, in connection with any investigation under this 
section, the Special Counsel determines that there are reasonable 
grounds to believe that a prohibited personnel practice has occurred, 
exists, or is to be taken which requires corrective action, the Special 
Counsel shall report the determination together with any findings or 
recommendations to the Board, the agency involved, and to the Office, 
and may report the determination, findings, and recommendations to 
the President. The Special Counsel may include in the report recom-
mendations as to what corrective action should be taken. 
"(B) If, after a reasonable period, the agency has not taken the 
corrective action recommended, the Special Counsel may request the 
Board to consider the matter. The Board may order such corrective 
action as the Board considers appropriate, after opportunity for 
comment by the agency concerned and the Office of Personnel 
Management. 
"(2) (A) If, in connection with any investigation under this sec-
tion, the Special Counsel determines that there is reasonable cause to 
believe that a criminal violation by an employee has occurred, the 
Special Counsel shall report the determination to the Attorney Gen-
eral and to the head of the agency involved, and shall submit a copy 
of the report to the Director of the Office of Personnel Management 
and the Director of the Office of Management and Budget. 
"(B) In any case in which the Special Counsel determines that 
there are reasonable grounds to believe that a prohibited personnel 
practice has occurred, exists, or is to be taken, the Special Counsel 
may proceed with any investigation or proceeding instituted under 
Infonnation, 
transmittal to 
congressional 
committees. 
92 STAT. 1128 
PUBLIC LAW 95-454—OCT. 13, 1978 
Public list. 
Reports. 
Certifications. 
5 use 7321. 
5 use 1501 
et seq. 
5 use 552. 
this section notwithstanding that the alleged violation has been 
reported to the Attorney General. 
"(3) If, in connection with any investigation under this section, the 
Special Counsel determines that there is reasonable cause to believe 
that any violation of any law, rule, or regulation has occurred which 
is not referred to in paragraph (1) or (2) of this subsection, the 
violation shall be reported to the head of the agency involved. The 
Special Counsel shall require, within 30 days of the receipt of the 
report by the agency, a certification by the head of the agency which 
states— 
" (A) that the head of the agency has personally reviewed the 
report; and 
"(B) what action has been, or is to be, taken, and when the 
action will be completed. 
"(d) The Special Counsel shall maintain and make available to the 
public a list of noncriminal matters referred to heads of agencies 
under subsections (b) (3) (A) and (c) (3) of this section, together 
with— 
"(1) reports by the heads of agencies under subsection (b) (3) 
(A) of this section, in the case of matters referred under subsec-
tion (b); and 
"(2) certifications by heads of agencies under subsection (c) 
(3), in the case of matters referred under subsection (c). 
The Special Counsel shall take steps to ensure that any such public 
list does not contain any information the disclosure of which is pro-
hibited by law or by Executive order requiring that information be 
kept secret in the interest of national defense or the conduct of foreign 
affairs. 
"(e)(1) In addition to the authority otherwise provided in this 
section, the Special Counsel shall, except as provided in paragraph 
(2) of this subsection, conduct an investigation of any allegation 
concerning— 
"(A) political activity prohibited under subchapter III of 
chapter 73 of this title, relating to political activities by Federal 
employees; 
"(B) political activity prohibited under chapter 15 of this title, 
relating to political activities by certain State and local officers 
and employees; 
"(C) arbitrary or capricious withholding of information pro-
hibited under section 552 of this title, except that the Special 
Counsel shall make no investigation under this subsection of any 
withholding of foreign intelligence or counterintelligence infor-
mation the disclosure of which is specifically prohibited by law 
or by Executive order; 
" (D) activities prohibited by any civil service law, rule, or regu-
lation, including any activity relating to political intrusion in 
personnel decisionmaking; and 
"(E) involvement by any employee in any prohibited discrimi-
nation found by any court or appropriate administrative authority 
to have occurred in the course of any personnel action. 
"(2) The Special Counsel shall make no investigation of any 
allegation of any prohibited activity referred to in paragraph (1) (D) 
or (1) (E) of this subsection if the Special Counsel determines that the 
allegation may be resolved more appropriately under an administra-
tive appeals procedure. 
"(f) During any investigation initiated under this section, no dis-
ciplinary action shall be taken against any employee for any alleged 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1129 
prohibited activity under investigation or for any related activity 
without the approval of the Special Counsel. 
"(g) (1) Except as provided in paragraph (2) of this subsection, if 
the Special Counsel determines that disciplinary action should be 
taken against any employee— 
" (A) after any investigation under this section, or 
"(B) on the basis of any knowing and willful refusal or failure 
by an employee to comply with an order of the Merit Systems 
Protection Board, 
the Special Counsel shall prepare a written complaint against the 
employee containing his determination, together with a statement of 
supporting facts, and present the complaint and statement to the 
employee and the Merit Systems Protection Board in accordance with 
section 1207 of this title. 
"(2) In the case of an employee in a confidential, policy-making, 
•' ' • 
policy-determining, or policy-advocating position appointed by the 
President, by and with the advice and consent of the Senate (other 
than an individual in the Foreign Service of the United States), the 
complaint and statement referred to in paragraph (1) of this sub-
section, together with any response by the employee, shall be presented 
to the President for appropriate action in lieu of being presented 
under section 1207 of this title. 
,.., , 
"(h) If the Special Counsel believes there is a pattern of prohibited 
personnel practices and such practices involve matters which are not 
otherwise appealable to the Board under section 7701 of this title, the Post, p. 1138. 
Special Counsel may seek corrective action by filing a written com-
plaint with the Board against the agency or employee involved and the 
Board shall order such corrective action as the Board determines 
necessary. 
" (i) The Special Counsel may as a matter of right interv^ene or other-
wise participate in any proceeding before the Merit Systems Protec-
tion Board, except that the Special Counsel shall comply with the 
rules of the Board and the Special Counsel shall not have any right of 
judicial review in connection with such intervention. 
^,^ 
, 
" (J) (1) The Special Counsel may appoint the legal, administrative, 
and support personnel necessary to perform the functions of the Spe-
cial Counsel. 
" (2) Any appointment made under this subsection shall comply with 
the provisions of this title, except that such appointment shall not be 
subject to the approval or supervision of the Office of Personnel Man-
agement or the Executive Office of the President (other than approval 
required under section 3324 or subchapter VIII of- chapter 33 of this 
title). 
"(k) The Special Counsel may prescribe regulations relating to the 
receipt and investigation of matters under the jurisdiction of the Spe-
cial Counsel. Such regulations shall be published in the Federal 
Eegister. 
"(1) The Special Counsel shall not issue any advisory opinion con-
cerning any law, rule, or regulation (other than an advisory opinion 
concerning chapter 15 or subchapter III of chapter 73 of this title). 
"(m) The Special Counsel shall submit an annual report to the Con-
gress on the activities of the Special Counsel, including the number, 
types, and disposition of allegations of prohibited personnel practices 
filed with it, investigations conducted by it, and actions initiated by 
it before the Board, as well as a description of the recommendations 
and reports made by it to other agencies pursuant to this section, and 
the actions taken by the agencies as a result of the reports or recom-
5 use 3324. 
Post, p. 1161. 
Regulations. 
Publication in 
Federal Register. 
5 u s e 1501 et 
seq., 7321. 
Report to 
eongress. 
92 STAT. 1130 
PUBLIC LAW 95-454—OCT. 13, 1978 
mendations. The report required by this subsection shall include what-
ever recommendations for legislation or other action by Congress the 
Special Counsel may deem appropriate. 
5 use 1207. 
"§ 1207. Hearings and decisions on complaints filed by the Special 
Counsel 
"(a) Any employee against whom a complaint has been presented 
to the Merit Systems Protection Board under section 1206(g) of this 
title is entitled to— 
"(1) a reasonable time to answer orally and in writing and to 
furnish affidavits and other documentary evidence in support of 
the answer; 
" (2) be represented by an attorney or other representative; 
" (3) a hearing before the Board or an administrative law judge 
5 use 3105. 
appointed under section 3105 of this title and designated by the 
Board; 
"(4) have a transcript kept of any hearing under paragraph 
(3) of this subsection; and 
" (5) a written decision and reasons therefor at the earliest prac-
ticable date, including a copy of any final order imposing discipli-
nary action. 
Final order. 
«(b) A final order of the Board may impose disciplinary action 
consisting of removal, reduction in grade, debarment from Federal 
employment for a period not to exceed 5 3^ears, suspension, reprimand, 
or an assessment of a civil penalty not to exceed $1,000. 
" (c) There may be no administrative appeal from an order of the 
Board. An employee subject to a final order imposing disciplinary 
action under this section may obtain judicial review of the order in 
^ 
the United States court of appeals for the judicial circuit in which the 
emplovee resides or is employed at the time of the action. 
"(d) In the case of any State or local officer or employee under 
5 use 1501 et 
chapter 15 of this title, tlie Board shall consider the case in accord-
seq. 
ance with the provisions of such chapter. 
5 use 1208. 
«§ 1208. Stays of certain personnel actions 
"(a) (1) The Special Counsel may request any member of the Merit 
Systems Protection Board to order a stay of any personnel action for 
15 calendar days if the Special Counsel determines that there are rea-
sonable grounds to believe that the personnel action was taken, or is to 
be taken, as a result of a prohibited personnel practice. 
"(2) Any member of the Board requested by the Special Counsel to 
order a stay under paragraph (1) of this subsection shall order such 
stay unless the member determines that, under the facts and circum-
stances involved, such a stay would not be appropriate. 
" (3) Unless denied under paragraph (2) of this subsection, any stay 
under this subsection shall be granted within 3 calendar days (exclud-
'^' 
ing Saturdays, Sundays, and legal holidays) after the date of the 
request for the stay by the Special Counsel. 
"(b) Any member of the Board may, on the request of the Special 
Counsel, extend the period of any stay ordered under subsection (a) of 
this section for a period of not more than 30 calendar days. 
"(c) The Board may extend the period of any stay granted under 
subsection (a) of this section for any period which the Board considers 
appropriate, but only if the Board concurs in the determination of the 
Si>ecial Counsel under such subsection, after an opportunity is pro-
vided for oral or written comment by the Special Counsel and the 
agency involved. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1131 
"§ 1209. Information 
5 USC 1209. 
"(a) Notwithstanding any other provision of law or any rule, regu-
lation or policy directive, any member of the Board, or any employee 
of the Board designated by the Board, may transmit to the Congress 
on the request of any committee or subcommittee thereof, by report, 
testimony, or otherwise, information and views on functions, respon-
sibilities, or other matters relating to the Board, without review, clear-
ance, or approval by any other administrative authority. 
"(b) The Board shall submit an annual report to the President and Report to 
the Congress on its activities, which shall include a description of President and 
significant actions taken by the Board to carry out its functions under Congress, 
this title. The report shall also review the significant actions of the 
Office of Personnel Management, including an analysis of whether the 
actions of the Office of Personnel Management are in accord with merit 
system principles and free from prohibited personnel practices.". 
(b) Any term of office of any member of the Merit Systems Protec- 5 USC 1201 note, 
tion Board serving on the effective date of this Act shall continue in 
effect until the term would expire under section 1102 of title 5, United 
States Code, as in effect immediately before the effective date of this 
Act, and upon expiration of the term, appointments to such office shall 
be made under sections 1201 and 1202 of title 5, United States Code 
(as added by this section). 
(c) (1) Section 5314(17) of title 5, United States Code, is amended 
b j striking out "Chairman of the United States Civil Service Commis-
sion" and inserting in lieu thereof "Chairman of the Merit Systems 
Protection Board". 
(2) Section 5315 (66) 9f such title is amended by striking out "Mem- 5 USC 5315. 
bers, United States Civil Service Commission" and inserting in lieu 
thereof "Members, Merit Systems Protection Board". 
(3) Section 5315 of such title is further amended by adding at the 
end thereof the following new paragraph: 
"(123) Special Counsel of the Merit Systems Protection 
Board.". 
(4) Paragraph (99) of section 5316 of such title is hereby repealed. 5 USC 5316. 
(d) The table of chapters for part II of title 5, United States Code, 
is amended by inserting after the item relating to chapter 11 the follow-
ing new item: 
"12. Merit Systems Protection Board and Special Counsel 
1201". 
PERFORMANCE APPRAISAL 
SEC. 203. (a) Chapter 43 of title 5, United States Code, is amended 
to read as follows: 
"CHAPTER 43—PERFORMANCE APPRAISAL 
" S U B C H A P T E R I 
GENERAL PROVISIONS 
"Sec. 
"4301. Definitions. 
"4302. Establishment of performance appraisal systems. 
"4303. Actions based on unacceptable performance. 
"4304. Responsibilities of Office of Personnel Management. 
"4305. Regulations. 
"§4301. Definitions 
5 USC 4501. 
"For the purpose of this subchapter— 
"(1) 'agency'means— 
"(A) an Executive agency; 
39-194 O—80—pt. 1 
75 : QL3 
92 STAT. 1132 
PUBLIC LAW 95-454—OCT. 13, 1978 
-M^l >g:y 5 
" (B) the Administrative Office of the United States Courts; 
and 
"(C) the Government Printing Office; 
but does not include— 
"(i) a Government corporation; 
"(ii) the Central Intelligence Agency, the Defense Intelli-
gence Agency, the National Security Agency, or any Execu-
tive agency or unit thereof which is designated by the 
President and the principal function of which is the conduct 
of foreign intelligence or counterintelligence activities; or 
"(iii) the General Accounting Office; 
"(2) 'employee' means an individual employed in or under an 
agency, but does not include— 
" ( A ) an employee outside the United States who is paid 
in accordance with local native prevailing wage rates for the 
.sK«« 
• 
area in which employed; 
"(B) an individual in the Foreign Service of the United 
States; 
"(C) a physician, dentist, nurse, or other employee in the 
Department of Medicine and Surgery, Veterans' Administra-
38 use 4101 et 
tion whose pay is fixed under chapter 73 of title 38; 
*«?• 
"(D) an administrative law judge appointed under sec-
tion 3105 of this title; 
"(E) an individual in the Senior Executive Service; 
"(F) an individual appointed by the President; or 
"(G) an individual occupying a position not in the competi-
tive service excluded from coverage of this subchapter by 
regulations of the Office of Personnel Management; and 
"(3) Hmacceptable performance' means performance of an 
employee which fails to meet established performance standards 
in one or more critical elements of such employee's position. 
5 use 4302. 
*'§ 4302. Establishment of performance appraisal systems 
"(a) Each agency shall develop one or more performance appraisal 
systems which— 
"(1) provide for periodic appraisals of job performance of 
employees; 
"(2) encourage employee participation in establishing per-
formance standards; and 
"(3) use the results of performance appraisals as a basis for 
training, rewarding, reassigning, promoting, reducing in grade, 
retaining, and removing employees; 
"(b) Under regulations which the Office of Personnel Management 
shall prescribe, each performance appraisal system shall provide for— 
"(1) establishing performance standards which will, to the 
maximum extent feasible, permit the accurate evaluation of job 
performance on the basis of objective criteria (which may include 
the extent of courtesy demonstrated to the public) related to the 
job in question for each employee or position under the system; 
"(2) as soon as practicable, but not later than October 1, 1981, 
with respect to initial appraisal periods, and thereafter at the 
. 
beginning of each following appraisal period, communicating to 
each employee the performance standards and the critical elements 
,^,.. . 
of the employee's position; 
•^ ' 
'"'^ 
"(3) evaluating each employee during the appraisal period on 
such standards; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1133 
"(4) recognizing and rewarding employees whose performance 
so warrants; 
"(5) assisting employees in improving unacceptable perform-
ance; and 
" (6) reassigning, reducing in grade, or removing employees who 
continue to have unacceptable performance but only after an 
opportunity to demonstrate acceptable performance. 
"§ 4303. Actions based on unacceptable performance 
"(a) Subject to the provisions of this section, an agency may reduce 
in grade or remove an employee for unacceptable performance. 
"(b) (1) An employee whose reduction m grade or removal is pro-
posed under this section is entitled to— 
"(A) 30 days' advance written notice of the proposed action 
which identifies— 
"(i) specific instances of unacceptable performance by the 
employee on which the proposed action is based; and 
"(ii) the critical elements of the employee's position 
involved in each instance of unacceptable performance; 
"(B) be represented by an attorney or other representative; 
"(C) a reasonable time to answer orally and in writing; and 
"(D) a written decision which— 
"(i) in the case of a reduction in grade or removal under 
this section, specifies the instances of unacceptable perform-
ance by the employee on which the reduction in grade or 
removal is based, and 
"(ii) unless proposed by the head of the agency, has been 
concurred in by an employee who is in a higher position than 
the employee who proposed the action. 
"(2) An agency may, under regulations prescribed by the head of 
such agency, extend the notice period under subsection (b) (1) (A) of 
this section for not more than 30 days. An agency may extend the 
notice period for more than 30 days only in accordance with regula-
tions issued by the Office of Personnel Management. 
"(c) The decision to retain, reduce in grade, or remove an employee— 
"(1) shall be made within 30 days after the date of expiration 
of the notice period, and 
"(2) in the case of a reduction in grade or removal, may be 
based only on those instances of unacceptable performance by the 
employee— 
"(A) which occurred during the 1-year period ending on 
the date of the notice under subsection (b)(1)(A) of this 
section in connection with the decision; and 
"(B) for which the notice and other requirements of this 
section are complied with. 
"(d) If, because of performance improvement by the employee dur-
ing the notice period, the employee is not reduced in grade or removed, 
and the employee's performance continues to be acceptable for 1 year 
from the date of the advance written notice provided under subsection 
(b) (1) (A) of this section, any entry or other notation of the unac-
ceptable performance for which the action was proposed under this 
section shall be removed from any agency record relating to the 
employee. 
"(e) Any employee who is a preference eligible or is in the com-
petitive service and who has been reduced in grade or removed under 
this section is entitled to appeal the action to the Merit Systems Protec-
tion Board under section 7701 of this title. 
5 use 4303. 
Removal or 
reduction in 
grade. 
Notice. 
Representation. 
Written decision. 
Extension of 
notice. 
Post, p. 1138. 
92 STAT. 1134 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 4304. 
Technical 
assistance. 
Review of 
performance 
appraisal system. 
"(f) This section does not apply to— ' 
"(1) the reduction to the grade previously held of a supervisor 
or manager who has not completed the probationary period under 
5 use 3321. 
section 3321 (a) (2) of this title, 
"(2) the reduction in grade or removal of an employee in the 
competitive service who is serving a probationary or trial period 
under an initial appointment or who has not completed 1 year of 
V
, 
,
.
> , 
current continuous employment under other than a temporary 
appointment limited to 1 year or less, or 
"(3) the reduction in grade or removal of an employee in the 
excepted service who has not completed 1 year of current con-
tinuous employment in the same or similar positions. 
"§4304. Responsibilities of the Office of Personnel Management 
"(a) The Office of Personnel Management shall make technical 
assistance available to agencies in the development of performance 
appraisal systems. 
(b) (1) The Office shall review each performance appraisal system 
developed by any agency under this section and determine whether 
the performance appraisal system meets the requirements of this 
subchapter. 
J,.,,,.., ,, .. 
"(2) The Comptroller General shall from time to time review on 
a selected basis performance appraisal systems established under this 
subchapter to determine the extent to which any such system meets the 
requirements of this subchapter and shall periodically report its find-
ings to the Office and to the Congress. 
" (3) If the Office determines that a system does not meet the require-
ments of this subchapter (including regulations prescribed under 
section 4305), the Office shall direct the agency to implement an appro-
priate system or to correct operations under the system, and any such 
agency shall take any action so required. 
5 use 4305. 
«§ 4305. Regulations 
"The Office of Personnel Management may prescribe regulations to 
carry out the purpose of this subchapter.". 
(b) The item relating to chapter 43 in the chapter analysis for part 
Til of title 5, United States Code, is amended by striking out "Per-
formance Rating" and inserting in lieu thereof 
"Performance 
Appraisal". 
/ 
ADVERSE ACTIONS 
SEC. 204. (a) Chapter 75 of title 5, United States Code, is amended 
by striking out subchapters I, II, and III and inserting in lieu thereof 
the following: 
"SUBCHAPTER I—SUSPENSION FOR 14 DAYS OR LESS 
5 use 7501. 
«§ 7501. Definitions 
"For the purpose of this subchapter— 
"(1) 'employee' means an individual in the competitive service 
who is not serving a probationary or trial period under an initial 
appointment or who has completed 1 year of current continuous 
employment in the same or similar positions under other than a 
temporary appointment limited to 1 year or less; and 
"(2) 'suspension' means the placing of an employee, for dis-
ciplinary reasons, in a temporary status without duties and pay. 
Mii 
>'} s»'-,.;ti .i.i« n i 
PUBLIC LAW 95-454-OCT. 13, 1978 
92 STAT. 1135 
Availability of 
information. 
«§ 7502. Actions covered 
5 USC 7502. 
"This subchapter applies to a suspension for 14 days or less, but 
does not apply to a suspension under section 7521 or 7532 of this title Post, p. 1137. 
or any action initiated under section 1206 of this title. 
5 USC 7532. 
^ 
_ 
Ante, p. 1125. 
"§ 7503. Cause and procedure 
"(a) Under regulations prescribed by the Office of Personnel Man-
agement, an employee may be suspended for 14 days or less for such 
cause as will promote the efficiency of the service (including discourte-
ous conduct to the public confirmed by an immediate supervisor's 
report of four such instances within any one-year period or any other 
pattern of discourteous conduct). 
"(b) An employee against whom a suspension for 14 days or less 
is proposed is entitled to— 
"(1) an advance written notice stating the specific reasons for Notice, 
the proposed action; 
"(2) a reasonable time to answer orally and in writing and to 
furnish affidavits and other documentary evidence in support of 
the answer: 
"(3) be represented by an attorney or other representative; and Representation. 
"(4) a written decision and the specific reasons therefor at the 
earliest practicable date. 
"(c) Copies of the notice of proposed action, the answer of the 
employee if written, a summary thereof if made orally, the notice of 
decision and reasons therefor, and any order effecting the suspension, 
together with any supporting material, shall be maintained by the 
agency and shall be furnished to the Merit Systems Protection Board 
upon its request and to the employee affected upon the employee's 
request. 
"§7504. Regulations 
"The Office of Personnel Management may prescribe regulations to 
carry out the purpose of this subchapter. 
"SUBCHAPTER II—REMOVAL, SUSPENSION FOR MORE 
THAN 14 DAYS, REDUCTION IN GRADE OR PAY, OR 
FURLOUGH FOR 30 DAYS OR LESS 
"§7511. Definitions; application 
" (a) For the purpose of this subchapter— 
"(1) 'employee'means— 
"(A) an individual in the competitive service who is not 
serving a probationary or trial period under an initial 
appointment or who has completed 1 year of current contin-
uous employment under other than a temporary appointment 
limited to 1 year or less; and 
"(B) a preference eligible in an Executive agency in the 
excepted service, and a preference eligible in the United 
States Postal Service or the Postal Rate Commission, who has 
completed 1 year of current continuous service in the same or 
similar positions; 
" (2) 'suspension' has the meaning as set forth in section 7501 (2) 
of this title; 
"(3) 'grade' means a level of classification under a position 
classification system; 
5 USC 7504. 
5 USC 7511. 
AnU, p. 1134. 
92 STAT. 1136 
PUBLIC LAW 95-454—OCT. 13, 1978 
tioe'. l>c 3 -c ; 
" (4) 'pay' means the rate of basic pay fixed by law or adminis-
trative action for the position held by an employee; and 
"(5) 'furlough' means the placing of an employee in a tempo-
rary status without duties and pay because of lack of work or 
tii.;J 
..;... 
funds or other nondisciplinary reasons. 
"(b) This subchapter does not apply to an employee— 
"(1) whose appointment is made by and with the advice and 
consent of the Senate; 
" (2) whose position has been determined to be of a confidential, 
policy-determining, policy-making or policy-advocating cliar-
. 
* 
acter by— 
"(A) the Office of Personnel Management for a position 
^g.) 
that it has excepted from the competitive service; or 
"(B) the President or the head of an agency for a position 
. - ' T - k 
j"* 
which is excepted from the competitive service by statute. 
"(c) The Office may provide for the application of this subchapter 
to any position or group of positions excepted from the competitive 
service by regulation of the Office. 
5 use 7512. 
"§ 7512. Actions covered 
"This subchapter applies to— 
"(1) a removal; 
" (2) a suspension for more than 14 days; 
•'y* 
"(3) a reduction in grade; 
'•'"'•-'•'• 
" (4) a reduction in pay; and 
" (5) a furlough of 30 days or less; 
but does not apply to— 
"(A) a suspension or removal under section 7532 of this title, 
"(B) a reduction-in-force action under section 3502 of this title, 
"(C) the reduction in grade of a supervisor or manager who 
has not completed the probationary period under section 3321(a) 
(2) of this title if such reduction is to the grade held immediately 
before becoming such a supervisor or manager, 
"(D) a reduction in grade or removal under section 4303 of this 
title, or 
"(E) an action initiated under section 1206 or 7521 of this title. 
"§7513w Cause and procedure 
"(a) Under regulations prescribed by the Office of Personnel Man-
agement, an agency may take an action covered by this subchapter 
against an employee only for such cause as will promote the efficiency 
of the service. 
"(b) An employee against whom an action is proposed is entitled 
to— 
"(1) at least 30 days' advance written notice, unless there is 
reasonable cause to believe the employee has committed a crime 
for which a sentence of imprisonment may be imposed, stating the 
specific reasons for the proposed action; 
" (2) a reasonable time, but not less than 7 days, to answer orally 
and in writing and to furnish affidavits and other documentary 
evidence in support of the answer; 
Representation. 
" (3) be represented by an attorney or other representative; and 
"(4) a written decision and the specific reasons therefor at the 
;: 
earliest practicable date. 
Hearing. 
"(c) An agency may provide, by regulation, for a hearing which 
may be in lieu of or in addition to the opportunity to answer provided 
under subsection (b) (2) of this section. 
5 use 7532. 
5 use 3502. 
Post, p. 1146. 
Ante, p. 1133. 
Ante, p. 1125, 
Post, p. 1137. 
5 use 7513. 
Notice. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1137 
"(d) An employee against whom an action is taken under this sec-
tion IS entitled to appeal to the Merit Systems Protection Board under 
section 7701 of this title. 
^ 
Post, p. 1138. 
"(e) Copies of the notice of proposed action, the answer of the Availability of 
employee when written, a summary thereof when made orally, the information, 
notice of decision and reasons therefor, and any order effecting an 
action covered by this subchapter, together with any supporting mate-
rial, shall be maintained by the agency and shall be furnished to the 
Board upon its request and to the employee affected upon the 
employee's request. 
"§ 7514. Regulations 
5 USC 7514. 
"The Office of Personnel Management may prescribe regulations to 
carry out the purpose of this subchapter, except as it concerns any 
' i.--
matter with respect to which the Merit Systems Protection Board may 
prescribe regulations.". 
"SUBCHAPTER III—ADMINISTRATIVE LAW JUDGES 
"§ 7521. Actions against administrative law judges 
5 USC 7521. 
"(a) An action may be taken against an administrative law judge 
appointed under section 3105 of this title by the agency in which the 5 U
S
C 3105. 
administrative law judge is employed only for good cause established 
and determined by the Merit Systems Protection Board on the record 
after opportunity for hearing before the Board. 
.^Xi ' 
"(b) The actions covered by this section are— 
"(1) a removal; 
"(2) a suspension; 
"(3) a reduction in grade; 
"^4) a reduction in pay; and 
" (5) a furlough of 30 days or less; 
but do not include— 
i 
"(A) a suspension or removal under section 7532 of this title; 5 USC 7532. 
s 
"(B) a reduction-in-force action under section 3502 of this title; 5 USC 3502. 
or 
"(C) any action initiated under section 1206 of this title.". 
Ante, p. 1125. 
(b) So much of the analysis for chapter 75 of title 5, United States 
Code, as precedes the items relating to subchapter IV is amended to 
.iMl. q -arK 
read as follows: 
, 
"CHAPTER 
75—ADVERSE 
ACTIONS 
"SUBCHAPTER I—SUSPENSION OF 14 DAYS OB LESS 
"Sec. 
"7501. Definitions. 
"7502. Actions covered. 
"7503. Cause and procedure. 
• 
"7504. Regulations. 
M'l' 
"SUBCHAPTER II—REMOVAL, SUSPENSION FOR MORE THAN 14 DAYS, 
REDUCTION IN GRADE OR PAY, OR FURLOUGH FOR 30 DAYS OR LESS 
"7511. Definitions; application. 
"7512. Actions covered. 
"7513. Cause and procedure. 
"7514. Regulations. 
92 STAT. 1138 
PUBLIC LAW 95-454—OCT. 13, 1978 
"SUBCHAPTER III—ADMINISTRATIVE LAW JUDGES 
-
"7521. Actions against administrative law judges.". 
APPEALS 
SEC. 205. Chapter 77 of title 5, United States Code, is amended to 
read as follows: 
5 use 7701. 
Hearing. 
Representation. 
5 use 3105. 
Copies of 
decisions. 
Ante, p. 1133. 
Ante, p. 1114. 
"CHAPTER 77--APPEALS 
"Sec. 
"7701. Appellate procedures. 
"7702. Actions involving discrimination. 
"7703. Judicial review of decisions of the Merit Systems Protection Board. 
"§7701. Appellate procedures 
"(a) An employee, or applicant for employment, may submit an 
appeal to the Merit Systems Protection Board from any action which 
is appealable to the Board under any law, rule, or regulation. An 
appellant shall have the right— 
" (1) to a hearing for which a transcript will be kept; and 
"(2) to be represented by an attorney^ or other representative. 
Appeals shall be processed in accordance with regulations prescribed 
by the Board. 
"(b) The Board may hear any case appealed to it or may refer the 
case to an administrative law judge appointed under section 3105 of 
this title or other employee of the Board desi^ated by the Board to 
hear such cases, except that in any case involvmg a removal from the 
service, the case shall be heard by the Board, an employee experienced 
in hearing appeals, or an administrative law judge. The Board, admin-
istrative law ]udge, or other employee (as the case may be) shall make 
a decision after receipt of the written representations of the parties to 
the appeal and after opportunity for a hearing under subsection (a) 
(1) of this section. A copy of the decision shall be furnished to each 
party to the appeal and to the Office of Personnel Management. 
"(c) (1) Subject to paragraph (2) of this subsection, the decision of 
the agency shall be sustained under subsection (b) only if the agency's 
decision— 
"(A) in the case of an action based on unacceptable perform-
ance described in section 4303 of this title, is supported by sub-
stantial evidence, or 
" ( B ) in any other case, is supported by a preponderance of the 
evidence. 
" (2) Notwithstanding paragraph (1), the agency's decision may not 
be sustained under subsection (b) of this section if the employee or 
applicant for employment— 
"(A) shows harmful error in the application of the agency's 
procedures in arriving at such decision; 
"(B) shows that the decision was based on any prohibited per-
sonnel practice described in section 2302(b) of this title; or 
"(C) shows that the decision was not in accordance with law. 
"(d) (1) In any case in which— 
"(A) the interpretation or application of any civil service law, 
rule, or regulation, under the jurisdiction of the Office of Person-
nel ^lanagement is at issue in any proceeding under this section; 
and 
" ( B ) the Director of the Office of Personnel Management is of 
the opinion that an erroneous decision would have a substantial 
impact on any civil service law, rule, or regulation under the juris-
diction of the Office; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1139 
Notification. 
Decisions. 
m-'Cfiih.^ss^h 
the Director may as a matter of right intervene or otherwise partici-
pate in that proceeding before the Board. If the Director exercises his 
right to participate in a proceeding before the Board, he shall do so 
as early in the proceeding as practicable. Nothing in this title shall be 
construed to permit the Office to interfere with the independent deci-
sionmaking of the Merit Systems Protection Board. 
"(2) The Board shall promptly notify the Director whenever the 
interpretation of any civil service law, rule, or regulation under the 
jurisdiction of the Office is at issue in any proceeding under this section. 
" (e) (1) Except as provided in section 7702 of this title, any decision 
under subsection (b) of this section shall be final unless— 
"(A) a party to the appeal or the Director petitions the Board 
for review within 30 days after the receipt of the decision; or 
"(B) the Board reopens and reconsiders a case on its own 
motion. 
The Board, for good cause shown, may extend the 30-day period 
referred to in subparagraph (A) of this paragraph. One member of 
the Board may grant a petition or otherwise direct that a decision be 
reviewed by the full Board. The preceding sentence shall not apply 
if, by law, a decision of an administration law judge is required to be 
acted upon by the Board. 
"(2) The Director may petition the Board for a review under para- Petition for 
graph (1) of this subsection onlj^ if the Director is of the ©pinion that review, 
the decision is erroneous and will have a substantial impact on any 
civil service law, rule, or regulation under the jurisdiction of the 
Office. 
"(f) The Board, or an administrative law judge or other employee 
of the Board designated to hear a case, may— 
;,,- ,:. 
"(1) consolidate appeals filed by two or more appellants, or 
"(2) join two or more appeals filed by the same appellant and 
hear and decide them concurrently, 
if the deciding official or officials hearing the cases are of the opinion 
that the action could result in the appeals' being processed more 
expeditiously and would not adversely aifect any party, 
"(g)(1) Except as provided in paragraph (2) of this subsection, 
the Board, or an administrative law judge or other employee of the 
Board designated to hear a case, may require payment by the agency 
involved of reasonable attorney fees incurred by an employee or appli- 
^/ \ 
cant for employment if the employee or applicant is the prevailing 
/'.-— 
party and the Board, administrative law judge, or other employee, 
as the case may be, determines that payment by the agency is warranted 
in the interest of justice, including any case in which a prohibited per-
sonnel practice was engaged in by the agency or any case in which the 
agency's action was clearly without merit. 
"(2") If an employee or applicant for employment is the prevailing 
party and the decision is based on a finding of discrimination pro-
hibited under section 2302(b) (1) of this title, the payment of attorney ^nte, p. 1114 
fees shall be in accordance with the standards prescribed under section 
706(k) of the Civil Rights Act of 1964 (42 U.S.C. 2000e^5(k)). 
"(h) The Board may, by regulation, provide for one or more alter-
native methods for settling matters subject to the appellate jurisdic-
tion of the Board which shall be applicable at the election of an 
applicant for employment or of an employee who is not in a unit for 
Avhich a labor organization is accorded exclusive recognition, and shall 
be in lieu of other procedures provided for under this section. A 
decision under such a method shall be final, unless the Board reopens 
iKi' 
92 STAT. 1140 
PUBLIC LAW 95-454—OCT. 13, 1978 
and reconsiders a case at the request of the Office of Personnel Man-
agement under subsection (d) of this section. 
"(i)(l) Upon the submission of any appeal to the Board under 
this section, the Board, through reference to such categories of cases, 
or other means, as it determines appropriate, shall establish and 
announce publicly the date by which it intends to complete action on 
.i(IIS;!! 
the matter. Such date shall assure expeditious consideration of the 
appeal, consistent with the interests of fairness and other priorities 
of the Board. If the Board fails to complete action on the appeal by 
.iu 
the announced date, and the expected delay will exceed 30 days, the 
Board shall publicly announce the new date by which it intends to 
complete action on the appeal. 
Report to 
"(2) Not later than March 1 of each year, the Board shall submit 
Congress. 
to the Congress a report describing the number of appeals submitted 
to it during the preceding calendar year, the number of appeals on 
which it completed action durina: that year, and the number of 
instances during that year in which it failed to conclude a proceeding 
by the date originally announced, together with an explanation of the 
reasons therefor. 
"(3) The Board shall by rule indicate any other category of sig-
nificant Board action which the Board determines should be subject 
to the provisions of this subsection. 
"(4) It shall be the duty of the Board, an administrative law judge, 
or employee designated by the Board to hear any proceeding under 
this section to expedite to the extent practicable that proceeding. 
"(j) The Board may prescribe regulations to carry out the purpose 
of this section. 
"§ 7702. Actions involving discrimination 
"(a) (1) Notwithstanding any other provision of law, and except as 
provided in paragraph (2) of this subsection, in the case of any 
employee or applicant for employment who— 
"(A) has been effected by an action which the employee or 
applicant may appeal to the Merit Systems Protection Board, and 
"(B) alleges that a basis for the action was discrimination pro-
hibited by— 
"(i) section 717 of the Civil Eights Act of 1964 (42 U.S.C. 
42 use 
2000e-16c), 
2000e-16. 
" (ii) section 6 (d) of the Fair Labor Standards Act of 1938 
(29 U.S.C. 206(d)), 
"(iii) section 501 of the Rehabilitation Act of 1973 (29 
., 
U.S.C. 791), 
"(iv) sections 12 and 15 of the Age Discrimination in 
Employment Act of 1967 (29 U.S.C. 631,633a), or 
"(v) any rule, regulation, or policy directive prescribed 
under any provision of law described in clauses (i) through 
fijrj , ,, 
(iv) of this subparagraph, 
the Board shall, within 120 days of the filing of the appeal, decide 
both the issue of discrimination and the appealable action in accord-
ance with the Board's appellate procedures under section 7701 of this 
V 
title and this section. 
"(2) In any matter before an agencj- which involves— 
"(A) any action described in paragraph (1) (A) of this subsec-
tion; and 
"(B) any issue of discrimination prohibited under any provi-
sion of law described in paragraph (1) (B) of this subsection; 
Regulations. 
5 use 7702. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1141 
the agency shall resolve such matter within 120 days. The decision 
of the agency in any such matter shall be a judicially reviewable action 
unless the employee appeals the matter to the Board under paragraph 
(1^ of this subsection. 
"(3) Any decision of the Board under paragi-aph (1) of this sub-
section shall be a judicially reviewable action as of— 
"(A) the date of issuance of the decision if the employee or 
applicant does not file a petition with the Equal Employment 
Opportunity Commission under subsection (b) (1) of this sec-
tion, or 
"(B) the date the Commission determines not to consider the 
decision under subsection (b) (2) of this section. 
"(b) (1) An employee or applicant may, within 30 days after notice 
of the decision of the Board under subsection (a) (1) of this section, 
petition the Commission to consider the decision. 
" (2) The Commission shall, within 30 days after the date of the peti-
tion, determine whether to consider the decision. A determination of 
the Commission not to consider the decision may not be used as evidence 
with respect to any issue of discrimination in any judicial proceeding 
concerning that issue. 
"(3) If the Commission makes a determination to consider the deci-
sion, the Commission shall, within 60 days after the date of the deter-
mination, consider the entire record of the proceedings of the Board 
and, on the basis of the evidentiary record before the Board, as sup-
plemented under paragraph (4) of this subsection, either— 
"(A) concur in the decision of the Board; or 
"(B) issue in writing another decision which differs from the 
decision of the Board to the extent that the Commission finds that, 
as a matter of law— 
" (i) the decision of the Board constitutes an incorrect inter-
pretation of any provision of any law, rule, regulation, or 
policy directive referred to in subsection (a)(1)(B) of this 
section, or 
"(ii) the decision involving such provision is not supported 
by the evidence in the record as a whole. 
" (4) In considering any decision of the Board under this subsection, 
the Commission may refer the case to the Board, or provide on its own, 
for the taking (within such period as permits the Commission to make 
^^ ^ , 
a decision within the 60-day period j)rescribed under this subsection) 
*^- ; "^ 
of additional evidence to tne extent it considers.necessary to supple-
ment the record. 
" (5) (A) If the Commission concurs pursuant to paragraph (3) (A) 
of this subsection in the decision of the Board, the decision of the 
Board shall be a judicially reviewable action. 
" (B) If the Commission issues any decision under paragraph (3) (B) 
of this subsection, the Commission shall immediately refer the matter 
to the Board. 
"(c) Within 30 days after receipt by the Board of the decision of 
the Commission under subsection (b) (5) (B) of this section, the Board 
shall consider the decision and— 
"(1) concur and adopt in whole the decision of the Commission; 
^. 
or 
"(2) to the extent that the Board finds that, as a matter of law. 
(A) the Commission decision constitutes an incorrect interpre-
tation of any provision of any civil service law, rule, regulation 
or policy directive, or (B) the Commission decision involving 
92 STAT. 1142 
PUBLIC LAW 95-454—OCT. 13, 1978 
such provision is not supported by the evidence in the record as a 
whole— 
i 
" (i) reaffirm the initial decision of the Board; or 
"(ii) reaffirm the initial decision of the Board with such 
revisions as it determines appropriate. 
If the Board takes the action provided under paragraph (1), the 
decision of the Board shall be a judicially reviewable action. 
"(d)(1) If the Board takes any action under subsection (c)(2) 
of this section, the matter shall be immediately certified to a special 
panel described in paragraph (6) of this subsection. Upon certification, 
the Board shall, within 5 days (excluding Saturdays, Sundays, and 
holidays), transmit to the special panel the administrative record in 
the proceeding, including— 
" (A) the factual record compiled under this section, 
"(B) the decisions issued by the Board and the Commission 
under this section, and 
;
. 
"(C) any transcript of oral arguments made, or legal briefs 
' 
filed, 
before the Board or the Commission. 
"(2) (A) The special panel shall, within 45 days after a matter has 
been certified to it, review the administrative record transmitted to it 
and, on the basis of the record, decide the issues in dispute and issue 
a final decision which shall be a judicially reviewable action. 
"(B) The special panel shall give due deference to the respective 
expertise of the Board and Commission in making its decision. 
"(3) The special panel shall refer its decision under paragraph (2) 
of this subsection to the Board and the Board shall order any agency to 
take any action appropriate to carry out the decision. 
"(4) The special panel shall permit the employee or applicant who 
brought the complaint and the employing agency to appear before the 
panel to present oral arguments and to present written arguments with 
respect to the matter. 
"(5) Upon application by the employee or applicant, the Commis-
sion may issue such interim relief as it determines aj)propriate to miti-
gate any exceptional hardship the employee or applicant might other-
wise incur as a result of the certification of any matter under this 
subsection, except that the Commission may not stay, or order any 
agency to leview on an interim basis, the action referred to in subsec-
tion (a) (1) of this section. 
Special panel. 
"(6) (A) Each time the Board takes any action under subsection 
(c) (2) of this section, a special panel shall be convened which shall 
consist of— 
"(i) an individual appointed by the President, by and with the 
advice and consent of the Senate, to serve for a term of 6 years as 
chairman of the special panel each time it is convened; 
"(ii) one member of the Board designated by the Chairman of 
the Board each time a panel is convenecf; and 
"(iii) one member of the Commission designated by the Chair-
man of the Commission each time a panel is convened. 
The chairman of the special panel may be removed by the President 
only for inefficiency, neglect of diity, or malfeasance in office. 
"(B) The chairman is entitled to pay at a rate equal to the maxi-
5 use 5332 note, mum annual rate of basic pay payable under the General Schedule 
for each day he is engaged in the performance of official business on 
the work of the special panel. 
Administrative 
"{C) The Board and the Commission shall provide such adminis-
assistance. 
trative assistance to the special panel as may be necessary and, to the 
extent practicable, shall equally divide the costs of providing the 
administrative assistance. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1143 
''(e)(1) Notwithstanding any other provision of laAv, if at any time 
after— 
" (A) the 120th day following the filing of any matter described 
in subsection (a) (2) of this section with an agency, there is no 
judicially reviewable action under this section or an appeal mider 
paragraph (2) of this subsection; 
"(B) the 120th day following the filing of an appeal with the 
Board under subsection (a) (1) of this section, there is no judi-
cially reviewable action (unless such action is not as the result 
of the filing of a petition by the employee under subsection (b) 
(1) of this section); or 
•'*' 
"(C) the 180th day following the filing of a petition with the 
Equal Employment Opportunity Commission under subsection 
(b)(1) of this title, there is no final agency action under subsection 
(b), (c), or (d) of this section; 
an employee shall be entitled to file a civil action to the same extent 
and in the same manner as provided in section 717(c) of the Civil 
Rights Act of 1964 (42 U.S.C. 2000e-16(c)), section 15(c) of the Age 
. , 
Discrimination in Employment Act of 1967 (29 U.S.C. 633a (c)), or 
'"''^''' 
section 16(b) of the Fair Labor Standards Act of 1938 (29 U.S.C. 
216(d)). 
"(2) If, at any time after the 120th day following the filing of any ' 
matter described in subsection (a) (2) of this section with an agency, 
there is no judicially reviewable action, the employee may appeal the 
matter to the Board under subsection (a) (1) of this section. 
" (3) Mothing in this section shall be construed to affect the right to 
trial de novo under any provision of law described in subsection (a) 
(1) of this section after a judicially reviewable action, including the 
decision of an agency under subsection (a) (2) of this section. 
"(f) In any case m which an employee is required to file any action, 
appeal, or petition under this section and the employee timely files the 
action, appeal, or petition with an agency other than the agency with 
which the action, appeal, or petition is to be filed, the employee shall 
be treated as having timely filed the action, appeal, or petition as of 
the date it is filed with the proper agency. 
"§ 7703. Judicial review of decisions of the Merit Systems Protec- 5 U
S
C 7703. 
tion Board 
"(a)(1) Any employee or applicant for employment adversely 
affected or aggrieved by a final order or decision of the Merit Systems 
Protection Board may obtain judicial review of the order or decision. 
"(2) The Board shall be the named respondent in any proceeding 
brought pursuant to this subsection, unless the employee or applicant 
-li', • . "••-
for employment seeks review of a final order or decision issued by the 
Board under section 7701. In review^ of a final order or decision issued 
under section 7701, the agency responsible for taking the action 
appealed to the Board shall be the named respondent. 
' (b) (1) Except as provided in paragraph (2) of this subsection, a 
petition to review a final order or final decision of the Board shall 
be filed in the Court of Claims or a United States court of appeals as 
provided in chapters 91 and 158, respectively, of title 28. Notwith- 28 USC 1491 et 
standing any other provision of law, any petition for review must be *^f 
> 2341 et scq. 
filed within 30 days after the date the petitioner received notice of 
the final order or decision of the Board. 
"(2) Cases of discrimination subject to the provisions of section 
7702 of this title shall be filed under section 717(c) of the Civil Rights 
Act of 1964 (42 U.S.C. 2000e-16(c)), section 15(c) of the Age Dis-
crimination in Employment Act of 1967 (29 U.S.C. 633a (c)), and 
92 STAT. 1144 
PUBLIC LAW 95-454—OCT. 13, 1978 
Petition, 
Ante, p. 1143. 
section 16(b) of the Fair Labor Standards Act of 1938, as amended 
(29 U.S.C. 216(b)), as applicable. Notwithstanding' any other pro-
vision of law, any such case filed under any such section must be filed 
within 30 days after the date the individual filing the case received 
notice of the judicially reviewable action under such section 7702. 
"(c) In any case filed in the United States Court of Claims or a 
United States court of appeals, the court shall review the record and 
hold unlawful and set aside any agency action, findings, or conclusions 
found to be— 
"(1) arbitrary, capricious, an abuse of discretion, or otherwise 
not in accordance with law; 
"(2) obtained without procedures required by law, rule, or 
regulation having been followed; or 
"(3) unsupported by substantial evidence; 
except that in the ca,se of discrimination brought under any section 
referred to in subsection (b) (2) of this section, the employee or appli-
cant shall have the right to have the facts subject to trial de novo by 
the reviewing court. 
"(d) The Director of the Office of Personnel Management may 
obtain review of any final order or decision of the Board by filing a 
petition for judicial revieyr in the United States Court of Appeals 
for tJie District of Columbia if the Director determines, in his discre-
tion, that the Board erred in interpreting a civil service law, rule, or 
regulation affecting personnel management and that the Board's deci-
sion will have a substantial impact on a civil service law, rule, regula-
tion, or policy directive. If the Director did not intervene in a matter 
before the Board, the Director may not petition for review of a Board 
decision under this section unless the Director first petitions the Board 
for a reconsideration of its decision, and such petition is denied. In 
addition to the named respondent, the Board and all other parties to 
the proceedings before the Board shall have the right to appear in the 
proceeding before the Court of Appeals. The granting of the petition 
for judicial review shall be at the discretion of the Court of Appeals.". 
TECHNICAL AND CONFORMING 
AMENDMENTS 
SEC. 206. Section 2342 of title 28, United States Code, is amended— 
(1) by striking out "and" at the end of paragraph (4), 
(2) by striking out the period at the end of paragraph (5) and 
inserting in lieu thereof "; and", and 
(3) by adding at the end thereof the following new paragraph: 
"(6) all final orders of the Merit Systems Protection Board 
except as provided for in section 7703 (b) of title 5.". 
TITLE III—STAFFING 
5 use 3111. 
"Student." 
VOLUNTEER SERVICE 
SEC. 301. (a) Chapter 31 of title 5, United States Code, is amended 
by adding at the end thereof the following new section: 
"§ 3111. Acceptance of volunteer service 
"(a) For the purpose of this section, 'student' means an individual 
who is enrolled, not less than half-time, in a high school, trade school, 
technical or vocational institute, junior college, college, university, or 
comparable recognized educational institution. An individual who is 
a student is deemed not to have ceased to be a student during an interim 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1145 
between school years if the interim is not more than 5 months and if 
such individual shows to the satisfaction of the Office of Personnel 
Management that the individual has a bona fide intention of contin-
uing to pursue a course of study or training in the same or different 
educational institution during the school semester (or other period into 
which the school vear is divided) immediatelv after the interim. 
"(b) Notwithstanding section 3679(b) of fhe Revised Statutes (31 
U.S.C. 665(b)), the head of an agency may accept, subject to regula-
tions issued by the Office, voluntary service for the United States if 
the service— 
"(1) is performed by a student, with the permission of the 
institution at which the student is enrolled, as part of an agency 
program established for the purpose of providing educational 
experiences for the student; 
"(2) is to be uncompensated; and 
" (3) will not be used to displace any employee. 
"(c) Any student who provides voluntary service under subsection 
(b) of this section shall not be considered a Federal employee for any 
purpose other than for purposes of chapter 81 of this title (relating to 5 USC 8101 
compensation for injury) and sections 2671 through 2680 of title 28 et seq. 
(relating to tort claims).". 
(b) The analysis of chapter 31 of title 5, United States Code, is 
amended by adding at the end thereof the following new item: 
"3111. Acceptance of volunteer service.". 
INTERPRETING ASSISTANTS FOR DEAF EMPLOYEES 
SEC. 302. (a) Section 3102 of title 5, United States Code, is 
amended— 
(1) by redesignating paragraph (4) of subsection (a) as para-
graph (5), by striking out "and" at the end of paragraph (3), 
and inserting after paragraph f3) the following new paragraph 
"(4) 'deaf employee' means an individual employed by an 
"Deaf 
agency who, in accordance with regulations prescribed by the head 
employee." 
of the agency, establishes to the satisfaction of the appropriate 
authority of the agency concerned that the employee has a hear-
ing impairment, either permanent or temporary, so severe or dis-
abling that the employment of an interpreting assistant or assist-
ants for the employee is necessary or desirable to enable such 
employee to perform the work of the employee; and "; 
(2) in subsection (b), by inserting "and interpreting assistant 
or assistants for a deaf employee" after "or assistants for a blind 
' 
employee", and amending the last sentence to read as follows: "A 
reading assistant or an interpreting assistant, other than the one 
employed or assigned under subsection (d) of this section, may 
receive pay for services performed by the assistant by and from 
the blind or deaf employee or a nonprofit organization, without 
I'egard to section 209 of title 18."; 
(3) in subsection (c), by inserting "or deaf" after "blind"; and 
(4) 
by inserting at the end thereof 
the following 
new 
subsection: 
" (d) The head of each agency may also employ or assign, subject to 
section 209 of title 18 and to the provisions of this title governing 
appointment and chapter 51 and subchapter I I I of chapter 53 of this 5 USC 5101 et 
title governing classification and pay, such reading assistants for blind *«?•' ^331. 
employees and such interpreting assistants for deaf employees as may 
be necessary to enable such employees to perform their work.". 
92 STAT. 1146 
PUBLIC LAW 95-454—OCT. 13, 1978 
(b) (1) The analysis of chapter 31 of title 5, United States Code, is 
amended by striking out the item relating to section 3102 and inserting 
in lieu thereof the following: 
"3102. Employment of reading assistants for blind employees and interpreting 
assistants for deaf employees.". 
(2) The heading for section 3102 of title 5, United States Code, is 
amended to read as follows: 
"§3102. Employment of reading assistants for blind employees 
and interpreting assistants for deaf employees". 
(c) Section 410(b) (1) of title 39, United States Code, is amended 
by inserting after "open meetings)" a comma and "3102 (employment 
of reading assistants for blind employees and interpreting assistants 
for deaf employees),". 
PROBATIONARY PERIOD 
SFX. 303. (a) Section 3321 of title 5, United States Code, is amended 
to read as follows: 
"§3321. Competitive service; probationary period 
"(a) The President may take such action, including the issuance of 
I'ules, regulations, and directives, as shall provide as nearly as condi-
tions of good administration warrant for a period of probation— 
"(1) before an appointment in the competitive service becomes 
final; and 
"(2) before initial appointment as a supervisor or manager 
becomes final. 
"(b) An individual— 
"(1) who has been transferred, assigned, or promoted from a 
position to a supervisory or managerial position, and 
"(2) who does not satisfactorily complete the probationary 
period under subsection (a) (2) of this section, 
shall be returned to a position of no lower grade and pay than the posi-
tion from which the individual was transferred, assigned, or promoted. 
Nothing in this section prohibits an agency from taking an action 
against an individual serving a probationary period under subsection 
(a)(2) of this section for cause unrelated to supervisory or managerial 
performance. 
' 
"(c) Subsections (a) and (b) of this section shall not apply with 
respect to appointments in the Senior Executive Service.". 
(b) The item in the analysis for chapter 33 of title 5, United States 
Code, is amended to read as follows: 
"3321. Competitive service; probationary period.". 
TRAINING 
SEC. 304. Section 4103 of title 5, United States Code, is amended by 
inserting " (a)" before "In order to increase" and by adding at the end 
thereof the following new subsection: 
"(b)(1) Notwithstanding any other provision of this chapter, an 
agency may train any employee of the agency to prepare the employee 
for placement in another agency if the head of the agency determines 
that the employee will otherwise be separated under conditions which 
5 use 5595. 
would entitle the employee to severance pay under section 5595 of this 
title. 
' 
"(2) Before undertaking any training under this subsection, the 
head of the agency shall obtain verification from the Office of Person-
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1147 
nel Management that there exists a reasonable expectation of place-
ment in another agency. 
" (3) in selecting an employee for training under this subsection, the 
head of the agency shall consider— 
"(A) the extent to which the current skills, knowledge, and 
abilities of the employee may be utilized in the new position; 
"(B) the employee's capability to learn skills and acquire 
knowledge and abilities needed in the new position; and 
"(C) the benefits to the Government which would result from 
retaining the employee in the Federal service.", 
TRAVEL, TRANSPORTATION, AND SUBSISTENCE 
SEC. 305. Section 5723(d) of title 5, United States Code, is amended 
by striking out "not". 
RETIREMENT 
SEC. 306. Section 8336(d)(2) of title 5, United States Code, is 
amended to read as follows: 
"(2) voluntarily, during a period when the agency in which 
the employee is serving is undergoing a major reorganization, a 
major reduction in force, or a major transfer of function, as deter-
mined by the Office of Personnel Management, and the employee 
is serving in a geographic area designated by the Office;". 
VETERANS AND PREFERENCE ELIGIBLES 
SEC. 307. (a) Effective beginning October 1, 1980, section 2108 of 
title 5, United States Code, is amended— 
(1) by striking out "and" at the end of paragraph (2); 
(2) by inserting in paragraph (3) after "means" the following: 
", except as provided in paragraph (4) of this section"; 
(3) by striking out the period at the end of paragraph (3) 
and inserting in lieu thereof a semicolon; and 
(4) by adding at the end thereof the following new paragraphs: 
"(4) except for the purposes of chapters 43 and 75 of this title, 
'preference eligible' does not include a retired member of the 
armed forces unless.— 
"(A) the individual is a disabled veteran; or 
"(B) the individual retired below the rank of major or its 
equivalent; and 
"(5) 'retired member of the armed forces' means a member or 
former member of the armed forces who is entitled, under statute, 
to retired, retirement, or retainer pay on account of service as a 
member.". 
(b)(1) Chapter 31 of title 5, United States Code, is amended by 
adding at the end thereof the following new section: 
*
*
§ 3112. Disabled veterans; noncompetitive appointment 
"Under such regulations as the Office of Personnel Management 
shall prescribe, an agency may make a noncompetitive appointment 
leading to conversion to career or career-conditional employment of a 
disabled veteran who has a compensable service-connected disability 
of 30 percent or more." 
(2) The Director of the Office of Personnel Management shall 
include in the reports required by section 2014(d) of title 38, United 
States Code, the same type of information regarding the use of the 
Ante, p. 1131. 
Post, p. 1167. 
Ante, p. 1134. 
"Retired member 
of the Armed 
Forces." 
5 use 3112. 
38 use 2014 
note. 
39-194 O—80—pt. 1 
76 : QL3 
92 STAT. 1148 
PUBLIC LAW 95-454—OCT. 13, 1978 
authority provided in section 3112 of title 5, United States Code (as 
added by paragraph (1) of this subsection), as is required by such 
section 2014 with i-espect to the use of the authority to make veterans 
readjustment appointments. 
(3) The analysis of chapter 31 of title 5, United States Code, is 
amended by adding at the end thereof the following new item: 
"3112. Disabled veterans; noncompetitive appointment.". 
(c) Section 3312 of title 5, United States Code, is amended— 
(1) by inserting " ( a ) " before "In"; and 
(2) by adding at the end thereof the following new subsection: 
"(b) If an examining agency determines that, on the basis of evi-
dence before it, a preference eligible under section 2108(3) (C) of this 
5 use 2108. 
title who has a compensable service-connected disability of 30 percent 
or more is not able to fulfill the physical requirements of the position, 
the examining agency shall notify the Office of the determination and, 
at the same time, the examining agency shall notify the preference eli-
gible of the reasons for the determination and of the right to respond, 
within 15 days of the date of the notification, to the Office. The Office 
shall require a demonstration by the appointing authority that the 
notification was timely sent to the preference eligible's last known 
address and shall, before the selection of any other person for the posi-
tion, make a final determination on the physical ability of Ihe prefer-
ence eligible to perform the duties of the position, taking into account 
any additional information provided in any such response. When the 
Office has completed its review of the proposed disqualification on the 
basis of physical disability, it shall send its findings to the appointing 
authority and the preference eligible. The appointing authority shall 
comply with the findings of the Office. The functions of the Office 
under this subsection mav not be delegated.". 
(d) Section 3318(b) of title 5, United States Code, is amended to 
read as follows: 
"(b) (1) If an appointing authority proposes to pass over a prefer-
ence eligible on a certificate in order to select an individual who is not 
a preference eligible, such authority shall file written reasons with the 
Office for passing over the preference eligible. The Office shall make 
j^ 
the reasons presented by the appointing authority part of the record of 
- ' 
the preference eligible and may require the submission of more detailed 
information from the appointing authority in support of the passing 
over of the preference eligible. The Office shall determine the sufficiency 
or insufficiency of the reasons submitted by the appointing authority, 
'^^^ 
taking into account any response received irom the preference eligible 
under paragraph (2) of this subsection. When the Office has completed 
its review of the proposed passover, it shall send its findings to the 
appointing authority and to the preference eligible. The appointing 
authority shall comply with the findings of the Office. 
" (2) In the case of a preference eligible described in section 2108 (3) 
L! ;
< •
• ! ' 
(C) of this title who has a compensable service-connected disability of 
30 percent or more, the appointing authority shall at the same time it 
notifies the Office under paragraph (1) of this STibsection, notify the 
preference eligible of the proposed passoA^er, of the reasons therefor, 
and of his right to respond to such reasons to the Office within 15 days 
of the date of such notification. The Office shall, before completing its 
|.|<i^S:>:i 
review under paragraph (1) of this subsection, require a demonstra-
tion by the appointing authoritv that the passover notification was 
timely sent t« the preference eligible's last known address. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1149 
"(3) A preference eligible not described in paragraph (2) of this 
subsection, or his representative, shall be entitled, on request, to a copy 
of— 
" (A) the reasons submitted by the appointing authority in sup-
port of the proposed passover, and 
"(B) the findings of the Office. 
.>"•.-: 
"(4) In the case of a preference eligible described in paragraph (2) 
of this subsection, the functions of the Office under this subsection may 
not be delegated.". 
(e) Section 3502 of title 5, United States Code, is amended by strik-
ing out subsection (b) and inserting in lieu thereof the followmg new 
subsections: 
"(b) A preference eligible described in section 2108(3) (C) of this 
title who has a compensable service-connected disability of 30 percent 5 USC 2108. 
or more and whose performance has not been rated unacceptable under 
a performance appraisal system implemented under chapter 43 of this 
title is entitled to be retained in preference to other preference eligibles. 5 USC 4301 et 
"(c) An employee who is entitled to retention preference and whose *^9-
performance has not been rated unacceptable under a performance 
appraisal system implemented under chapter 43 of this title is entitled ^'^'^' P- 1131. 
to be retained in preference to other competing employees.". 
^°^^' P- H^^-
(f) Section 3503 of title 5, United States Code, is amended by strik-
ing, out in subsection (a) and (b) "each preference eligible employee" 
and inserting in lieu thereof "each competing employee" both places 
it appears. 
(g) Section 3504 of title 5, United States Code, is amended— 
(1) by inserting " (a)" before "In"; and 
(2) by adding at the end thereof the following new subsection: 
"(b") If an examining agency determines that, on the basis of evi-
dence before it, a preference eligible described in section 2108(3) (C) 
of this title who has a compensable service-connected disability of 30 
percent or more is not able to fulfill the physical requirements of the 
position, the examining agency shall notify the Office of the determina-
tion and, at the same time, the examining agency shall notify the 
preference eligible of the reasons for the determination and of the 
right to respond, within 15 days of the date of the notification, to the 
Office. The Office shall require a demonstration by the appointing 
authority that the notification was timely sent to the preference eli-
gible's last known address and shall, before the selection of any other 
person for the position, make a final determination on the physical 
ability of the preference eligible to perform the duties of the position, 
taking into account any additional information provided in the 
response. When the Office has completed its review of the proposed 
disqualification on the basis of physical disability, it shall send its 
findings to the appointing authority and the preference eligible. The 
appointing authority shall comply with the findings of the Office. The 
functions of the Office under this subsection may not be delegated.". 
(h) (1) Section 3319 of chapter 33 of title 5, United States Code, is Repeal, 
repealed. 
(2) The analysis for chapter 33 of title 5, United States Code, is 
amended by striking out the item relating to section 3319. 
DUAL PAY FOR RETIRED MEMBERS OF THE UNIFORMED SERVICES 
SEO. 308. (a) Section 5532 of title 5, United States Code, relating to 
retired officers of the uniformed services, is amended by redesignating 
subsections (c) and (d) as subsections (d) and (e) and by inserting 
after subsection (b) the following: 
92 STAT. 1150 
PUBLIC LAW 95-454—OCT. 13, 1978 
"(c) (1) If any member or former member of a uniformed service 
is receiving retired or retainer pay and is employed in a position the 
annual rate of basic pay for which, when combined with the member's 
annual rate of retired or retainer pay (reduced as provided under sub-
section (b) of this section), exceeds the rate of tjasic pay then cur-
5 use 5316 note, rently paid for level V of the Executive Schedule, such member's 
retired or retainer pay shall be reduced by an amount computed under 
paragraph (2) of this subsection. The amounts of the reductions shall 
be deposited to the general fund of the Treasury of the United States. 
"(2) The amount of each reduction under paragraph (1) of this 
subsection allocable for any pay period in connection with employment 
in a position shall be equal to the retired or retainer pay allocable to 
the pay period (reduced as provided under subsection (b) of this 
section), except that the amount of the reduction may not result in— 
"(A) the amount of retired or retainer pay allocable to the pay 
period after being reduced, when combined with the basic pay 
tor the employment during the pay period, being at a rate less 
than the rate of basic pay then currently paid for level V of the 
Executive Schedule; or 
"(B) the amount of retired pay or retainer pay being reduced 
to an amount less than the amount deducted from the retired or 
i-etainer pay as a result of participation in any survivor's benefits 
in connection with the retired or retainer pay or veterans insur-
ance programs.", 
(b) Section 5531 of title 5, United States Code is amended— 
(1) by striking out paragraph (1) and inserting in lieu thereof 
the following: 
"(1) 'meniber' has the meaning given such term by section 101 
(23) of title 37;"; 
(2) by striking out the period at the end of paragraph (2) and 
inserting in lieu thereof "; and"; and 
"Retired or ^ 
(3) by adding at the end thereof the following new paragraph: 
retainer pay." 
"^g^ 'retired or retainer pay' means retired pay, as defined in 
5 use 8311. 
section 8311(3) of this title, determined without regard to sub-
paragraphs (B) through (D) of such section 8311(3); except 
that such term does not include an annuity payable to an eligible 
beneficiary of a member or former member of a uniformed service 
10 use 1431 et 
under chapter 73 of title 10.". 
*«9- 
(c) Section 5532(d) of title 5, United States Code, as amended by 
subsection (a), is amended— 
(1) by striking out "subsection (b) of"; 
(2) by striking out "or retirement" each place it appears and 
inserting in lieu thereof "or retainer"; 
(3) by striking out "a retired officer of a regular component of 
a uniformed service" and inserting in lieu thereof "a member or 
former member of a uniformed service who is receiving retired or 
retainer pay"; and 
,• •. 
(4) in paragraph (1), by striking out "whose retirement was" 
and inserting in lieu thereof "whose retired or retainer pay is com-
puted, in whole or in part,", 
(d) Section 5532(e) of title 5, United States Code, as amended by 
subsection (a), is amended to read as follows: 
"(e) The Office of Personnel Management may, during the 5-year 
Ante, p. 1111. 
period after the effective date of the Civil Service Eeform Act of 1978 
authorize exceptions to the restrictions in subsections (a), (b), and 
(c) of this section ovA^ when necessary to meet special or emergency 
employment needs which result from a severe shortage of well quali-
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1151 
fied candidates in positions of medical officers which otherwise cannot 
be readily met. An exception granted by the office with respect to any 
individual shall terminate upon a break in service of 3 days or more.". 
(e) Section 5532(b) of title 5, United States Code, is amended by 
striking out "or i-etirement" each place it appears and inserting in lieu 
thcrGof 01" rct&'iiiGr' 
(f) (1) The heading for section 5532 of title 5, United States Code, is 
amended to read as follows: 
"§ 5532. Employment of retired members of the uniformed serv-
ices; reduction in retired or retainer pay'*. 
(2) The item relating to section 5532 in the table of sections for 
chapter 55 of title 5, United States Code, is amended to read as follows: 
"5532. Employment of retired members of the uniformed services; reduction in 
retired or retainer pay.". 
(g)(1) Except as provided in paragraph (2) of this subsection, 5 USC 5532 note, 
the amendments made by this section shall apply only with respect 
to pay periods beginning after the effective date of this Act and only 
with respect to members of the uniformed services who first receive 
retired or retainer pay (as defined in section 5531(3) of title 5, United 
States Code (as amended by this section)), after the effective date of 
this Act. 
(2) Such amendments shall not apply to any individual employed 
in a position on the date of the enactment of this Act so long as the 
individual continues to hold any such position (disregarding any 
break in service of 3 days or less) if the individual, on that date, would 
have been entitled to retired or retainer pay but for the fact the indi-
vidual does not satisfy any applicable age requirement. 
(3) The provisions of section 5532 of title 5, United States Code, as 
in effect immediately before the effective date of this Act, shall apply 
with respect to any retired officer of a regular component of the uni-
formed services who is receiving retired pay on or before such date, or 
any individual to whom paragraph (2) applies, in the same manner 
and to the same extent as if the preceding subsections of this section 
had not been enacted. 
CIVIL SERVICE EMPLOYMENT INFORMATION 
SEC. 309. (a) Chapter 33 of title 5, United States Code, is amended 
by adding at the end thereof the following new section: 
*
*
§ 3327. Civil service employment information 
5 USC 3327. 
"(a) The Office of Personnel Management shall provide that 
information concerning opportunities to participate in competitive 
examinations conducted by, or under authority delegated by, the Office 
of Personnel Management shall be made available to the employment 
offices of the United States Employment Service. 
"(b) Subject to such regulations as the Office may issue, each agency 
shall promptly notify the Office and the employment offices of the 
United States "Employment Service of— 
"(1) each vacant position in the agency which is in the com-
petitive service or the Senior Executive Service and for which 
the agency seeks applications from persons outside the Federal 
service, and 
"(2) the period during which applications will be accepted. 
As used in this subsection, 'agency' means an agency as defined in sec- "Agency." 
tion 6102(a) (1) of this title other than an agency all the positions in 5 USC 5102. 
which are excepted by statute from the competitive service.". 
92 STAT. 1152 
PUBLIC LAW 95-454—OCT. 13, 1978 
(b) The table of sections for chapter 33 of title 5, United States 
Code, is amended by inserting after the item relating to section 3326 
tlie following new item: 
"3327. Civil service employment information." 
MINORITY RECRUITMENT PROGRAM 
SEC. 310. Section 7151 of title 5, United States Code, is amended— 
(1) by striking out.the section heading and inserting in lieu 
thereof the following: 
"§7151. Antidiscrimination policy; minority recruitment pro-
gram" ; 
(2) by inserting after such section heading the following new 
subsection: 
"(a) For the purpose of this section— 
"Underrepres- 
" (1) 'underrepresentation' means a situation in which the num-
entation." 
jjgj. of members of a minority group designation (determined by 
the Equal Employment Opportunity Commission in consultation 
with the Office of Personnel Management, on the basis of the policy 
set forth in subsection (b) of this section) within a category of 
civil service employment constitutes a lowei' percentage of the total 
number of employees within the employment category than the 
percentage that the minority constituted within the labor force 
of the United States, as determined under the most recent decen-
nial or mid-decade census, or current population survey, under 
title 13, and 
"Category of civil 
" (2) 'category of civil service employment' means— 
service 
"(A) each grade of the General Schedule described in 
^"jPWment," 
section 5104 of this title; 
5 use 5341 
"(I^) 6^ch position subject to subchapter IV of chapter 53 
of this title; 
"(C) such occupational, professional, or other groupings 
•
* ' 
(including occupational series) within the categories estab-
lished under subparagraphs (A) and (B) of this paragraph 
as the Office determines appropriate."; 
(3) by inserting " (b)" before "It is the policy"; and 
(4) by adding at the end thereof the following new subsection: 
"(c) Not later than 180 days after the date of the enactment of the 
Ante, p. 1111. 
Civil Service Reform Act of 1978, the Office of Personnel Management 
shall, by regulation, implement a minority recruitment program which 
shall provide, to the maximum extent practicable— 
"(1) that each Executive agency conduct a continuing program 
for the recruitment of members of minorities for positions in the 
agency to carry out the policy set forth in subsection (b) in a 
manner designed to eliminate underrepresentation of minorities in 
the various categories of civil service employment within the Fed-
eral service, with special efforts directed at recruiting in minority 
communities, in educational institutions, and from other sources 
from which minorities can be recruited; and 
" (2) that the Office conduct a continuing program of— 
" (A) assistance to agencies in carrying, out programs under 
paragraph (1) of this subsection, and 
"(B) evaluation and oversight and such recruitment pro-
' 
;;/ 
grams to determine their effectiveness in eliminating such 
.£Olt..fcH.ic j 
• minority underrepresentation. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1153 
"(d) Not later than 60 days after the date of the enactment of the 
Civil Service Reform Act of 1978, the Equal Employment Opportu- Ante, p. 1111. 
nity Commission shall— 
"(1) establish the guidelines proposed to be used in carrying 
out the program required under subsection (c) of this section; and 
"(2) make determinations of underrepresentation which are 
proposed to be used initially under such program; and 
"(3) transmit to the Executive agencies involved, to the Office 
of Personnel Management, and to the Congress the determinations 
made under paragraph (2) of this subsection. 
" (e) Not later than January 31 of each year, the Office shall prepare 
and transmit to each House of the Congress a report on the activities 
of the Office and of Executive agencies under subsection (c) of this 
section, including the affirmative action plans submitted under sec-
tion 717 of the Civil Rig;hts Act of 1964 (42 U.S.C. 2000e-16), the 
personnel data file maintained by the Office of Personnel Management, 
and any other data necessary to evaluate the effectiveness of the pro-
gram for each category of civil service employment and for each 
minority group designation, for the preceding fiscal year, together 
with recommendations for administrative or legislative action the 
Office considers appropriate.". 
Proposed 
guidelines. 
Determinations. 
Transmittal to 
Executive 
agencies. 
Report to 
Congress. 
TEMPORARY EMPLOYMENT 
LIMITATION 
SEC. 311. (a) The total number of civilian employees in the execu-
tive branch, on September 30, 1979, on September 30, 1980, and on 
September 30,1981, shall not exceed the number of such employees on 
September 30, 1977. 
(b) (1) For the purpose of this section, "civilian employees in the 
executive branch" means all civilian employees within the executive 
branch of the Government (other than in the United States Postal 
Service or the Postal Rate Commission), whether employed on a full-
time, part-time, or intermittent basis and whether employed on a direct 
hire or indirect hire basis. 
(2) (A) Such term does not include individuals participating in 
special employment programs established for students and disadvan-
taged youth. 
(B) The total number of individuals participating in such programs 
shall not at any time exceed 60,000. 
(c) In applying the limitation of subsection (a) — 
(1) part-time civilian employees in excess of the number of 
part-time civilian employees in the executive branch employed on 
September 30, 1977, may be counted as a fraction which is deter-
mined by dividing 40 hours into the average number of hours of 
such employees' regularly scheduled workweek; and 
(2) the number of civilian employees in the executive branch on 
September 30, 1977, shall be determined on the basis of the num-
ber of such employees as set forth in the Monthly Report of Civil-
ian Employment published by the Civil Service Commission. 
(d) (1) The provisions of this section shall not apply during a time 
of war or during a period of national emergency declared by the Con-
gress or the President, 
(2) (A) Subject to the limitation of subparagraph (B) of this 
paragraph, the President may authorize employment of civilian 
employees in excess of the limitation of subsection (a) if he deems 
that such action is necessary in the public interest. 
5 u s e 3101 note. 
"Civilian 
employees in the 
executive 
branch." 
.aVsK 
92 STAT. 1154 
PUBLIC LAW 95-454—OCT. 13, 1978 
Regulations. 
Termination. 
5 u s e 2101a. 
Post, p. 1155. 
Ante, p. 1147. 
(B) The President may not, under this paragraph, increase the 
maximum number of civilian employees in the executive branch by 
more than the percentage increase of the population of the United 
States since September 30, 1978, as estimated by the Bureau of the 
Census. 
(e) The President shall provide that no increase occurs in the pro-
curement of personal services by contract by reason of the enactment 
of this section except in cases in which it is to the financial advantage 
of the Government to do so. 
(f) The President shall prescribe regulations to carry out the 
purposes of this section. 
(g) The provisions of this section shall terminate on January 31, 
1981. 
TITLE IV—SENIOE EXECUTIVE 
SERVICE 
GENERAL PROVISIONS 
SEC. 401. (a) Chapter 21 of title 5, United States Code, is amended 
by inserting after section 2101 the following new section: 
"§ 2101a. The Senior Executive Service 
"The 'Senior Executive Service' consists of Senior Executive Serv-
ice positions (as defined in section 3132(a) (2) of this title).". 
(b) Section 2102(a) (1) of title 5, United States Code, is amended— 
(1) by striking out "and" at the end of subparagraph (A); 
(2) by adding "and" at the end of subparagraph (B); and 
(3) by adding at the end thereof the following new subpara-
graph : 
"(C) positions in the Senior Executive Service;". 
(c) Section 2103(a) of title 5, United States Code, is amended by 
inserting before the period at the end thereof the following: "or the 
Senior Executive Service". 
(d) Section 2108(5) of title 5, United States Code (as amended in 
section 307 of this Act), is further amended— 
(1) by striking out the period at the end thereof and inserting 
in lieu thereof a semicolon; and 
(2) by adding at the end thereof the following: 
"but does not include applicants for, or members of, the Senior Execu-
tive Service.". 
(e) The analysis for chapter 21 of title 5, United States Code, is 
amended by inserting after the item relating to section 2101 the follow-
ing new item: 
"2101a. The Senior Executive Service.". 
AUTHORITY FOR EMPLOYMENT 
SEC. 402. (a) Chapter 31 of title 5, United States Code, is amended 
by inserting after section 3112 (as added by section 307(b) of this 
Ante, p. 1147. 
Act), the following new subchapter: 
"SUBCHAPTER II—THE SENIOR EXECUTIVE SERVICE 
5 use 3131. 
«§ 3131. The Senior Executive Service 
"It is the purpose of this subchapter to establish a Senior Exec-
utive Service to ensure that the executive management of the Govern-
ment of the United States is responsive to the needs, policies, and goals 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1155 
of the Nation and otherwise is of the highest quality. The Senior Exec-
utive Service shall be administered so as to— 
" (1) provide for a compensation system, including salaries, ben-
efits, and incentives, and for other conditions of employment, 
designed 
to attract 
and 
retain 
highly 
competent 
senior 
executives; 
"(2) ensure that compensation, retention, and tenure are con-
tingent on executive success which is measured on the basis of 
individual and organizational performance (including such fac-
tors as improvements in efficiency, productivity, quality of work 
or service, cost efficiency, and timeliness of performance and suc-
cess in meeting equal employment opportunity goals); 
"(3) assure that senior executives are accountable and respon-
sible for the effectiveness and productivity of employees under 
them; 
"(4) recognize exceptional accomplishment; 
"(5) enable the head of an agency to reassign senior executives 
to best accomplish the agency's mission; 
" (6) provide for severance pay, early retirement, and placement 
assistance for senior executives who are removed from the Senior 
Executive Service for nondisciplinary reasons; 
"(7) protexit senior executives from arbitrary or capricious 
actions; 
"(8) provide for program continuity and policy advocacy in 
the management of public programs; 
n, . / p/^ 
"(9) maintain a merit personnel system free of prohibited per-
sonnel practices: 
"(10) ensure accountability for honest, economical, and effi-
cent Government; 
"(11) ensure compliance with all applicable civil service laws, 
rules, and regulations, including those related to equal employ-
ment opportunity, political activity, and conflicts of interest; 
"(12) provide for the initial and continuing systematic develop-
ment of highly competent senior executives; 
"(13) provide for an executive system which is guided by the 
public interes*^ and free from improper political interference; and 
"(14) appoint career executives to fill Senior Executive Service 
positions to the extent practicable, consistent with the effective and 
efficient implementation of agency policies and responsibilities. 
«§ 3132. Definitions and exclusions 
5 U
S
C 3132. 
"(a) For the purpose of this subchapter— 
"(1) 'agency' means an Executive agency, except a Government 
corporation and the General Accounting Office, but does not 
include— 
"(A) any agency or unit thereof excluded from coverage 
by the President under subsection (c) of this section; or 
"(B) the Federal Bureau of TnvevStigation, the Central 
Intelligence Agency, the Defense Intelligence Agency, the 
National Security Agency, as determined by the President, an 
Executive agency, or unit thereof, whose principal function 
; » 
is the conduct of foreign intelligence or counterintelligence 
activities; 
92 STAT. 1156 
PUBLIC LAW 95-454—OCT. 13, 1978 
"(2) 'Senior Executive Service position' means any position 
in an agency which is in GS-16, IT, or 18 of the General 
5 use 5332 note. 
Schedule or in level IV or V of the Executive Schedule, or an 
5 use 5315, 
equivalent position, which is not required to be filled by an 
^^^^- 
appointment by the President by and with the advice and consent 
of the Senate, and in which an employee— 
" (A) directs the work of an organizational unit; 
"(B) is held accountable for the success of one or more 
specific programs or projects; 
' 
"(^) monitors progress toward organizational goals and 
periodically evaluates and makes appropriate adjustments to 
such goals; 
" (D) supervises the work of employees other than personal 
* 
assistants; or 
"(E) otherwise exercises important policy-making, policy-
determining, or other executive functions; 
but does not include— 
"(i) any position in the Foreign Service of the United 
• ' 
States; 
"(ii) an administrative law judge position under section 
3105 of this title; or 
" (iii) any position in the Drug Enforcement Administra-
tion which is excluded from the competitive service under 
section 201 of the Crime Control Act of 1976 (5 U.S.C. 5108 
28use509note. 
note; 90 Stat. 2425); 
"(3) 'senior executive' means a member of the Senior Executive 
Service; 
" (4) 'career appointee' means an individual in a Senior Execu-
tive Service position whose appointment to the position or previous 
appointment to another Senior Executive Service position was 
based on approval by the Office of Personnel Management of the 
executive qualifications of such individual; 
"(5) 'limited term appointee' means an individual appointed 
under a nonrenewable appointment for a term of 3 years or less 
to a Senior Executive Service position the duties of which will 
expire at the end of such term; 
"(6) 
'limited emergency appointee' means an individual 
appointed under a nonrenewable appointment, not to exceed 18 
months, to a Senior Executive Service position established to meet 
.2t.l.-' :>>'.•' / 
a bona fide, unanticipated, urgent need; 
"(7) 'noncareer appointee' means an individual in a Senior 
> 
Executive Service position who is not a career appointee, a limited 
term appointee, or a limited emergency appointee; 
"(8) 'career reserved position' means a position which is 
required to be filled by a career appointee and which is designated 
under subsection (b) of this section; and 
"(9) 'general position' means any position, other than a career 
reserved position, which may be filled by either a career appointee, 
noncareer appointee, limited emergency appointee, or limited term 
appointee. 
Criteria and 
"(b)(1) For the purpose of paragraph (8) of subsection (a) of 
regulations. 
this Section, the Office shall prescribe the criteria and regulations gov-
erning the desismation of career reserved positions. The criteria and 
regulations shall provide that a position shall be designated as a career 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1157 
reserved position only if the filling of the position by a career appointee 
is necessary to ensure impartiality, or tne public's confidence in the 
impartiality, of the Government. The head of each agency shall be 
responsible for designating career reserved positions in such agency in 
accordance with such criteria and regulations. 
"(2) The Office shall periodically review general positions to deter-
mine whether the positions should be designated as career reserved. 
If the Office determines that any such position should be so designated, 
it shall order the agency to make the designation. 
"(3) Notwithstanding the provisions of any other law, any position 
to be designated as a Senior Executive Service position (except a 
position in the Executive Office of the President) which— 
"(A) is under the Executive Schedule, or for which the rate 
of basic pay is determined by reference to the Executive Schedule, 
and 
"(B) on the day before the date of the enactment of the Civil 
Service Reform Act of 1978 was specifically required under sec-
tion 2102 of this title or otherwise required by law to be in the 
competitive service, 
shall be designated as a career reserved position if the position entails 
direct responsibility to the public for the management or operation of 
particular government programs or functions. 
"(4) Not later than March 1 of each year, the head of each agency 
shall publish in the Federal Register a list of positions in the agency 
which were career reserved positions during the preceding calendar 
year. 
"(c) An agency may file an application with the Office setting forth 
reasons why it, or a unit thereof, should be excluded from the coverage 
of this subchapter. The Office shall— 
"(1) review the application and stated reasons, 
"(2) undertake a review to determine whether the agency or 
unit should be excluded from the coverage of this subchapter, and 
"(3) upon completion of its review, recommend to the Presi-
dent whether the agency or unit should be excluded from the 
coverage of this subchapter. 
If the Office recommends that an agency or unit thereof be excluded 
from the coverage of this subchapter, the President may, on written 
determination, make the exclusion for the period determined by the 
President to be appropriate. 
"(d) Any agency or unit which is excluded from coverage under 
subsection (c) of this section shall make a sustained effort to oring its 
personnel system into conformity with the Senior Executive Service 
to the extent practicable. 
"(e) The Office may at any time recommend to the President that 
any exclusion previously granted to an agency or unit thereof under 
subsection (c) of this section be revoked. Upon recommendation of the 
Office, the President ma^ revoke, by written determination, any exclu-
sion made under subsection (c) of this section. 
"(f) I f -
"(1) any agency is excluded under subsection (c) of this sec-
tion, or 
"(2) any exclusion is revoked under subsection (e) of this 
section, 
the Office shall, within 30 days after the action, transmit to the Con-
gress written notice of the exclusion or revocation. 
Review. 
5 u s e 5311. 
Ante, p. 1111. 
Publication in 
Federal Register. 
Application for 
exclusion 
coverage. 
I:} .q -.itin 
Exclusion or 
revocation. 
Written notice, 
transmittal to 
Congress. 
92 STAT. 1158 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 3133. 
*
*
§ 3133. Authorization of positions; authority for appointment 
" (a) During each even-numbered calendar year, each agency shall— 
"(1) examine its needs for Senior Executive Service positions 
for each of the 2 j&scal years beginning after such calendar year; 
and 
Written request 
"(2) submit to the Office of Personnel Management a written 
to 0PM. 
request for a specific number of Senior Executive Service posi-
tions for each of such fiscal years. 
"(b) Each agency request submitted under subsection (a) of this 
section shall— 
'
^ 
"(1) be based on the anticipated type and extent of program 
activities and budget requests of the agency for each of the 2 fiscal 
years involved, and such other factors as may be prescribed from 
time to time by the Office; and 
"(2) identify, by position title, positions which are proposed to 
, 
be designated as or removed from designation as career reserved 
positions, and set forth justifications for such proposed actions. 
"(c) The Office of Personnel Management, in consultation with the 
Office of Management and Budget, shall review the request of each 
agency and shall authorize, for each of the 2 fiscal years covered by 
requests required under subsection (a) of this section, a specific num-
ber of Senior Executive Service positions for each agency. 
"(d)(1) The Office of Personnel Management may, on a written 
request of an agency or on its own initiative, make an adjustment in 
the number of positions authorized for any agency. Each agency 
request under this paragraph shall be submitted in such form, and shall 
be based on such factors, as the Office shall prescribe. 
"(2) The total number of positions in the Senior Executive Service 
may not at any time during any fiscal year exceed 105 percent of the 
total number of positions authorized under subsection (c) of this 
section for such fiscal year, 
"(e) (1) Not later than July 1, 1979, and from time to time there-
after as the Director of the Office of Personnel Management finds 
appropriate, the Director shall establish, by rule issued in accordance 
Ante, p. 1119. 
with section 1103(b) of this title, the number of positions out of the 
total number of positions in the Senior Executive Service, as author-
ized by this section or section 413 of the Civil Service Reform Act of 
Post, p. 1175. 
1978, which are to be career reserved positions. Except as provided in 
paragraph (2) of this subsection, the number of positions required by 
this subsection to be career reserved positions shall not be less than the 
number of the positions then in the Senior Executive Service which, 
before the date of such Act, were authorized to be filled only through 
competitive civil service examination. 
"(2) The Director may, by rule, designate a number of career 
reserved positions which is less than the number required by paragraph 
(1) of this subsection only if the Director determines such lesser num-
ber necessary in order to designate as general positions one or more 
positions (other than positions described in section 3132(b) (3) of this 
title) which— 
"(A) involve policymaking responsibilities which require the 
advocacy or management of programs of the President and sup-
port of controversial aspects of such programs; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1159 
"(B) involve significant participation in the major political 
policies of the President; or 
"(C) require the senior executives in the positions to serve as 
personal assistants of, or advisers to, Presidential appointees. 
The Director shall provide a full explanation for his determination in 
each case. 
*^§3134. Limitations on noncareer and limited appointments 
" (a) During each calendar year, each agency shall— 
" (1) examine its needs for employment of noncareer appointees 
for the fiscal year beginning in the following year; and 
"(2) submit to the Office of Personnel Management, in accord-
ance with regulations prescribed by the Office, a written request 
for authority to employ a specific number of noncareer appointees 
for such fiscal year. 
"(b) The number of noncareer appointees in each agency shall be 
determined annually by the Office on the basis of demonstrated need 
of the agency. The total number of noncareer appointees in all agen-
cies may not exceed 10 percent of the total number of Senior Executive 
Service positions in all agencies. 
"(c) Subject to the 10 percent limitation of subsection (b) of this 
section, the Office may adjust the number of noncareer positions author-
ized for any agency under subsection (b) of this section if emergency 
needs arise that were not anticipated when the original authorizations 
were made. 
"(d) The number of Senior Executive Service positions in any 
agency which are filled by noncareer appointees may not at any time 
exceed the greater of— 
"(1) 25 percent of the total number of Senior Executive Serv-
ice positions in the agency; or 
"(2) the number of positions in the agency which were filled 
on the date of the enactment of the Civil Service Reform Act 
of 1978 by— 
"(A) noncareer executive assignments under subpart F 
of part 305 of title 5, Code of Federal Regulations, as in 
effect on such date, or 
"(B) appointments to level IV or V of the Executive 
Schedule which were not required on such date to be made by 
and with the advice and consent of the Senate. 
This subsection shall not apply in the case of any agency having 
fewer than 4 Senior Executive Service positions. 
" (e) The total number of limited emergency appointees and limited 
term appointees in all agencies may not exceed 5 percent of the total 
number of Senior Executive Service positions in all agencies. 
"§3135. Biennial report 
" (a) The Office of Persomiel Management shall submit to each House 
of the Congress, at the time the budget is submitted by the President 
to the Congress during each odd-numbered calendar year, a report on 
the Senior Executive Service. The report shall include— 
"(1) the number of Senior Executive Service positions author-
ized for the then current fiscal year, in the aggregate and by 
agency, and the projected number of Senior Executive Service 
positions to be authorized for the next two fiscal years, in the 
aggregate and by agency; 
5 use 3134. 
5 CFR 305.101 et 
seq. 
5 use 5315, 
5316 
5 use 3135. 
Report to 
Congress. 
92 STAT. 1160 
PUBLIC LAW 95-454—OCT. 13, 1978 
"(2) the authorized number of career appointees and noncareer 
appointees, in the agg^regate and by agency, for the then current 
fiscal year; 
"(3) the position titles and descriptions of Senior Executive 
Service positions desigjiated for the then current fiscal year; 
"(4) a description of each exclusion in effect under section 
• ^ 
: 
3132(c) of this title during the preceding fiscal year; 
"(5) the number of career appointees, limited term appointees, 
limited emergency appointees, and noncareer appointees, in the 
aggregate and by agency, employed during the preceding fiscal 
year; 
" (6) the percentage of senior executives at each pay rate, in the 
aggregate and by agency, employed at the end of the preceding 
fiscal year; 
"(7) the distribution and amount of performance awards, in 
the aggregate and by agency, paid during the preceding fiscal 
(8) the estimated number of career reserved positions which, 
during the two fiscal years following the then current fiscal year, 
will become general positions and the estimated number of general 
positions which durmg such two fiscal years, will become career 
reserved positions; and 
"(9) such other information regarding the Senior Executive 
Service as the Office considers appropriate. 
Report to 
" (b) The Office of Personnel Management shall submit to each 
Congress. 
House of the Congress, at the time the budget is submitted to the Con-
gress during each even-numbered calendar year, an interim report 
showing changes in matters required to be reported under subsection 
(a) of this section. 
5 use 3136. 
«§ 3136. Regulations 
"The Office of Personnel Management shall prescribe regulations to 
carry out the purpose of this subchapter.", 
(b) Section 3109 of title 5, United States Code, is amended by insert-
^- i ^ ' '•• 
ing at the end thereof the following new subsection: 
"(c) Positions in the Senior Executive Service may not be filled 
under the authority of subsection (b) of this section.". 
' 
(c) The analysis for chapter 31 of title 5, United States Code, is 
amended— 
(1) by striking out the heading for chapter 31 and inserting in 
lieu thereof the following: 
"CHAPTER 31—AUTHORITY FOR EMPLOYMENT 
ft 
"SUBCHAPTER I—EMPLOYMENT AUTHORITIES"; 
and 
(2) by inserting at the end thereof the following: 
"SUBCHAPTER II—THE SENIOR EXECUTIVE SERVICE 
"Sec. 
"3131. The Senior Executive Service. 
"3132. Definitions and exclusions. 
"3133. Authorization of positions; authority for appointment. 
"3134. Limitations on noncareer and limited appointments. 
"3135. Biennial report. 
"3136. 
Regulations.". 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1161 
EXAMINATION, CERTIFICATION, AND APPOINTMENT 
SEC. 403. (a) Chapter 33 of title 5, United States Code, is amended 
by adding at the end thereof the following new subchapter: 
"SUBCHAPTER 
VIII—APPOINTMENT, 
REASSIGNMENT, 
TRANSFER, AND DEVELOPMENT 
IN THE 
SENIOR 
EXECUTIVE SERVICE 
"§3391. Definitions 
"For the purpose of this subchapter, 'agency', 'Senior Executive 
Service position', 'senior executive', 'career appointee', 'limited term 
appointee', 'limited emergency appointee', 'noncareer appointee', and 
'general position' have the meanings set forth in section 3132(a) of 
this title. 
5 use 3391. 
Ante, p. 1155. 
5 use 3392. 
Qualification 
standards, 
establishment. 
"§3392. General appointment provisions 
"(a) Qualification standards shall be established by the head of 
each agency for each Senior Executive Service position in the agency— 
"(1) in accordance with requirements established by the Office 
of Personnel Management, with respect to standards for career 
reserved positions, and 
"(2) after consultation with the Office, with respect to stand-
ards for general positions. 
"(b) Not more than 30 percent of the Senior Executive Service posi-
tions authorized under section 3133 of this title may at any time be ^«^e, p. 1158 
filled by individuals who did not have 5 years of current continuous 
service in the civil service immediately preceding their initial appoint-
ment to the Senior Executive Service, unless the President certifies to 
the Congress that the limitation would hinder the efficiency of the 
Government. In applying the preceding sentence, any break in service 
of 3 days or less shall be disregarded. 
"(c) If a career appointee is appointed by the President, by and 
with the advice and consent of the Senate, to a civilian position in the 
executive branch which is not in the Senior Executive Service, and 
the rate of basic pay payable for which is equal to or greater than the 
rate payable for level V of the Executive Schedule, the career appointee 5 USC 5316. 
may elect (at such time and in such manner as the Office may prescribe) 
to continue to have the provisions of this title relating to basic pay, 
performance awards, awarding of ranks, severance pay, leave, and 
retirement apply as if the career appointee remained in the Senior 
Executive Service position from which he was appointed. Such pro-
visions shall apply in lieu of the provisions which would otherwise 
apply— 
" (1) to the extent provided under regulations prescribed by the 
Office, and 
"(2) so long as the appointee continues to serve under such 
Presidential appointment. 
"(d) Appointment or removal of a person to or from any Senior 
Executive Service position in an independent regulatory commis-
sion shall not be subject, directly or indirectly, to review or approval 
by any officer or entity within the Executive Office of the President. 
«§ 3393. Career appointments 
5 USC 3393. 
" (a) Each agency shall establish a recruitment program, in accord- Recruitment 
ance with guidelines which shall be issued by the Office of Personnel program. 
92 STAT. 1162 
PUBLIC LAW 95-454^0CT. 13, 1978 
Executive 
resources boards, 
establishment. 
Review boards, 
establishment. 
Career 
appointees, 
criteria. 
Probationary 
period 
requirement. 
Publication in 
Federal Register. 
5 use 3394. 
Management, which provides for recruitment of career appointees 
from— 
" (1) all groups of qualified individuals within the civil service; 
or 
"(2) all groups of qualified individuals whether or not within 
the civil service. 
"(b) Each agency shall establish one or more executive resources 
boards, as appropriate, the members of which shall be appointed by 
the head of the agency from among employees of the agency. The 
boards shall, in accordance with merit staffing requirements established 
by the Office, conduct the merit staffing process for career appointees, 
including— 
"(1) reviewing the executive qualifications of each candidate 
for a position to be filled by a career appointee; and 
"(2) making written recommendations to the appropriate 
appointing authority concerning such candidates. 
"(c) (1) The Office shall establish one or more qualifications review 
boards, as appropriate. It is the function of the boards to certify the 
executive qualifications of candidates for initial appointment as 
career appointees in accordance with regulations prescribed by the 
Office. Of the members of each board more than one-half shall be 
appointed from among career appointees. Appointments to such boards 
shall be made on a non-partisan basis, the sole selection criterion being 
the professional knowledge of public management and knowledge of 
the appropriate occupational fields of the intended appointee. 
"(2) The Office shall, in consultation with the various qualification 
review boards, prescribe criteria for establishing executive qualifica-
tions for appointment of career appointees. The criteria shall provide 
for— 
"(A) consideration of demonstrated executive experience; 
"(B) consideration of successful participation in a career execu-
tive development program which is approved by the Office; and 
"(C) sufficient flexibility to allow for the appointment of 
individuals who have speciail or unique qualities which indicate a 
likelihood of executive success and who would not otherwise be 
eligible for appointment. 
"(d) An individual's initial appointment as a career appointee shall 
become final only after the individual has served a 1-year probationary 
period as a, career appointee. 
" (e) Each career appointee shall meet the executive qualifications of 
the position to which appointed, as determined in writing by the 
appointing authority. 
"(f) The title of each career reserved position shall be published in 
the Federal Register. 
''§ 3394. Noncareer and limited appointments 
"(a) Each noncareer appointee, limited term appointee, and limited 
emergency appointee shall meet the qualifications of the position to 
which appointed, as determined in writing by the appointing authority. 
" (b) An individual may not be appointed as a limited term appointee 
or as a limited emergency appointee without the prior approval of the 
exercise of such appointing authority by the Office of Personnel 
Management. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1163 
"§ 3395. Reassignment and transfer within the Senior Executive 5 USC 3395. 
Service 
" ( a ) ( l ) A career appointee in an agency— 
"(A) may, subject to paragraph (2) of this subsection, be 
reassigned to any Senior Exe<jutiv6 Service position in the same 
agency for which the appointee is qualified; and 
"(B) may transfer to a Senior Executive Service position in 
another agency for which the appointee is qualified, with the 
approval of the agency to which the appointee transfers. 
"(2) A career appointee may be reassigned to any Senior Executive 
Service position only if the career appointee receives a written notice 
of the reassignment at least 15 days in advance of such reassignment. 
"(b)(1) Notwithstanding section 3394(b) of this title, a limited 
emergency appointee may be reassigned to another Senior Executive 
Service position in the same agency established to meet a b(ma fide, 
unanticipated, urgent need, except that the appointee may not serve in 
one or more positions in such agency under such appointment in excess 
of 18 months. 
"(2) Notwithstanding section 3394(b) of this title, a limited term 
appointee may be reassigned to another Senior Executive Service posi-
tion in the same agency the duties of which will expire at the end of a 
term of 3 years or less, except that the appointee may not serve in one 
or more positions in the agency under such appointment in excess of 3 
years. 
"(c) A limited term appointee or a limited emergency appointee 
may not be appointed to, or continue to hold, a position under such an 
appointment if, within the preceding 48 months, the individual has 
served more than 36 months, in the aggregate, under any combination 
of such types of appointment. 
"(d) A noncareer appointee in an agency— 
"(1) may be reassigned to any general position in the agency 
for which the appointee is qualified; and 
' ' ' 
"(2) may transfer to a general position in another agency with 
the approval of the agency to which the appointee transfers. 
"(e) (1) Except as provided in paragraph (2) of this subsection, a 
career appointee in an agency may not be involuntarily reassigned— 
"(A) within 120 days after an appointment of the head of the 
agency; or 
"(B) within 120 days after the appointment in the agency of 
the career appointee's most immediate supervisor who— 
" (i) is a noncareer appointee; and 
"(ii) has the authority to reassign the career appointee. 
"(2) Paragraph (1) of this subsection does not apply with respect 
to— 
"(A) any reassignment under section 4314(b) (3) of this title; Post, p. 1169. 
or 
"(B) any disciplinary action initiated before an appointment 
referred to in paragraph (1) of this subsection. 
"§ 3396. Development for and within the Senior Executive Service 5 USC 3396. 
"(a) The Office of Personnel Management shall establish programs 
for the systematic development of candidates for the Senior Executive 
j 
Service and for the continuing development of senior executives, or 
requiio agoncios to establish such progi'ams which meet criteria pre-
scril)ed by the Office. 
^ 
i» 
9-194 O—80—pt. 1 
77 : QU 
92 STAT. 1164 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 5701. 
Exclusions. 
. y;, 
. 
"(b) The Office shall assist agencies in the establishment of pro-
grams required under subsection (a) of this section and shall monitor 
the implementation of the programs. If the Office finds that any 
agency's program under subsection (a) of this section is not in com-
pliance with the criteria prescribed under such subsection, it shall 
require the agency to take such corrective action as may be necessary 
to bring the program into compliance with the criteria. 
Sabbatical grant. 
" (c) (1) The head of an agency may grant a sabbatical to any carreer 
appointee for not to exceed 11 months in order to permit the appointee 
to engage in study or uncompensated work experience which will con-
tribute to the appointee's development and eJ0fectiveness. A sabbatical 
shall not result m loss of, or reduction in, pay, leave to which the career 
appointee is otherwise entitled, credit for time or service, or perform-
ance or efficiency rating. The head of the agency may authorize in 
accordance with chapter 57 of this title such travel expenses (including 
per diem allowances) as the head of the agency may determine to be 
essential for the study or experience. 
"(2) A sabbatical under this subsection may not be granted to any 
career appointee— 
" (A) more than once in any 10-year period; 
. 
" (^) unless the appointee has completed 7 years of service— 
"(i) in one or more positions in the Senior Executive 
1 r , ^
^ 
Service; 
" (ii) in one or more other positions in the civil service the 
level of duties and responsibilities of which are equivalent to 
the level of duties and responsibilities of positions in the Sen-
ior Executive Service; or 
" (iii) in any combination of such positions, except that not 
less than 2 years of such 7 years of service must be in the 
Senior Executive Service; and 
"(C) if the appointee is eligible for voluntary retirement with 
a right to an innnediate annuity under section 8336 of this title. 
Any period of assignment under section 3373 of this title, relating to 
assignments of employees to State and local governments, shall not be 
considered a period of service for the purpose of subparagraph (B) of 
this paragraph. 
"(3) (A) Any career appointee in an agency may be granted a sab-
batical under this subsection only if the appointee agrees, as a con-
dition of accepting the sabbatical, to serve in the civil service upon the 
completion of the sabbatical for a period of 2 consecutive years. 
"(B) Each agreement required under subparagraph (A) of this 
paragraph shall provide that in the event the career appointee fails to 
carry out the agreement (except for good and sufficient reason as deter-
mined by the head of the agency who granted the sabbatical) the 
appointee shall be liable to the United States for payment of all 
expenses (including salary) of the sabbatical. The amount shall be 
treated as a debt due the United States. 
"(d) The Office shall encourage and assist individuals to improve 
„ „ ,, 
their skills and increase their contribution by service in a variety of 
'..; j€ J 
agencies as well as by accepting temporary placements in State or 
local governments or in the private sector. 
5 use 3397. 
«§ 3397. Regulations 
"The Office of Personnel Management shall prescribe regulations to 
carry out the purpose of this subchapter.". 
Post, p. 1175. 
5 use 3373. 
eondition for 
acceptance. 
S>bii 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1165 
(b) The analysis for chapter 33 of title 5, United States Code, is 
amended by inserting after the item relating to section 3385 the 
following: 
"SUBCHAPTER VIII—APPOINTMENT, REASSIGNMENT, TRANSFER, AND 
DEVELOPMENT IN THE SENIOR EXECUTIVE SERVICE 
"Sec. 
"3391. Definitions. 
"3392. General appointment provisions. 
"3393. Career appointments. 
"3394. Noncareer and limited appointments. 
"3395. Reassignment and transfer witliin the Senior Executive Service. 
"3396. Development for and within the Senior Executive Service. 
"3397. Regulations.". 
RETENTION PREFERENCE 
SEC. 404. (a) Section 3501(b) of title 6, United States Code, is 
amended by striking out the period at the end thereof and inserting in 
lieu thereof: "or to a member of the Senior Executive Service.". 
(b) Chapter 35 of title 5, United States Code, is amended by adding 
at the end thereof the following new subchapter: 
, 
"SUBCHAPTEE V—KEMOVAL, REINSTATEMENT, 
AND 
GUARANTEED PLACEMENT IN THE SENIOR EXECU-
TIVE SERVICE 
"§ 3591. Definitions 
5 USC 3591. 
"For the purpose of this subchapter, 'agency', 'Senior Executive 
Service position', 'senior executive', 'career appointee', 'limited term 
appointee', 'limited emergency appointee', 'noncareer appointee', and 
'general position' have the meanings set forth in section 3132 (a) of this 
title. 
Ante, p. 1155. 
*
*
§ 3592. Removal from the Senior Executive Service 
5 USC 3592. 
"(a) Except as provided in subsection (b) of this section, a career 
appointee may be removed from the Senior Executive Service to a civil 
service position outside of the Senior Executive Service— 
"(1) during the 1-year period of probation under section 3393 
(d) of this title, or 
^»te, p. 1161. 
"(2) at any time for less than fully successful executive per-
formance as determined under subchapter II of chapter 43 of this 
title. 
Post, p. 1167. 
except that in the case of a removal under paragraph (2) of this sub-
section the career appointee shall, at least 15 days before the removal, 
be entitled, upon request, to an informal hearing before an official 
designated by the Merit Systems Protection Board at which the career 
appointee may appear and present arguments, but such hearing shall 
not give the career appointee the right to initiate an action with the 
Board under section 7701 of this title, nor need the removal action be ^»te, p- 1138. 
delayed as a result of the granting of such hearing. 
"(b) (1) Except as provided in paragraph (2) of this subsection, a 
career appointee in an agency may not be involuntarily removed— 
"(A) within 120 days after an appointment of the head of the 
agency; or 
92 STAT. 1166 
PUBLIC LAW 95-454—OCT. 13, 1978 
"(B) within 120 days after the appointment in the agency of the 
career appointee's most immediate supervisor who— 
" (i) is a noncareer appointee; and 
" (ii) has the authority to remove the career appointee. 
"(2) Paragraph (1) of this subsection does not apply with respect 
to— 
Post, p. 1169. 
"(A) any removal under section 4314(b)(3) of this title; or 
"(B) any disciplinary action initiated before an appointment 
referred to m paragraph (1) of this subsection. 
"(c) A limited emergency appointee, limited term appointee, or 
noncareer appointee may be removed from the service at any time. 
"§ 3593. Reinstatement in the Senior Executive Service 
"(a) A former career appointee may be reinstated, without regard 
Ante, p. 1161. 
to section 3393 (b) and (c) of this title, to any Senior Executive Serv-
ice position for which the appointee is qualified if— 
" (1) the appointee has successfully completed the probationary 
period established under section 3393 (d) of this title; and 
"(2) the appointee left the Senior Executive Service for rea-
sons other than misconduct, neglect of duty, malfeasance, or less 
than fully successful executive performance as determined under 
Post, p. 1167. 
subchapter II of chapter 43 of this title. 
"(b) A career appointee who is appointed by the President to any 
civil service position outside the Senior Executive Service and who 
leaves the position for reasons other than misconduct, neglect of duty, 
or malfeasance shall be entitled to be placed in the Senior Executive 
Service if the appointee applies to the Office of Personnel Management 
within 90 days after separation from the Presidential appointment. 
5 use 3594. 
"§ 3594. Guaranteed placement in other personnel systems 
"(a) A career appointee who was appointed from a civil service 
position held under a career or career-conditional appointment (or an 
; -^; 
appointment of equivalent tenure, as determined by the Office of Per-
sonnel Management) and who, for reasons other than misconduct, 
neglect of duty, or malfeasance, is removed from the Senior Executive 
Service during the probationary period under section 3393(d) of this 
title, shall be entitled to be placed in a civil service position (other than 
a Senior Executive Service position) in any agency. 
"(b) A career appointee— 
[dli q V'i. 
"(1) who has completed the probationary period under section 
3393(d) of this title; and 
" (2) who is removed from the Senior Executive Service for less 
7^''}U. i . *vA 
than fully successful executive performance as determined under 
subchapter II of chapter 43 of this title; 
shall be entitled to be placed in a civil service position (other than a 
Senior Executive Service position) in any agency. 
"(c) (1) For purposes of subsections (a) and (b) of this section— 
"(A) the position in which any career appointee is placed under 
such subsections shall be a continuing position at GS-15 or above 
5 use 5332 note. 
of the General Schedule, or an equivalent position, and, in the case 
of a career appointee referred to in subsection (a) of this section, 
the career appointee shall be entitled to an appointment of a ten-
ure equivalent to the tenure of the appointment held in the posi-
tion from which the career appointee was appointed; 
PUBLIC LAW 95-454^0CT. 13, 1978 
92 STAT. 1167 
"(B) any career appointee placed under subsection (a) or (b) 
of this section shall be entitled to receive basic pay at the highest 
of— 
" (i) the rate of basic pay in effect for the position in which 
placed ; 
" (ii) the rate of basic pay in effect at the time of the place-
ment for the position the career appointee held in the civil 
service immediately before being appointed to the Senior 
Executive Service; or 
" (iii) the rate of basic pay in effect for the career appointee 
immediately before being placed under subsection (a) or (b) 
of this section; and 
"(C) the placement of any career appointee under subsection 
(a) or (b) of this section may not be made to a position which 
would cause the separation or reduction in grade of any other 
employee. 
"(2) An employee who is receiving basic pay under paragraph (1) 
(B) (ii) or (iii) of this subsection is entitled to have the basic pay 
rate of the employee increased by 50 percent of the amount of each 
increase in the maximum rate of basic pay for the grade of the posi-
tion in which the employee is placed under subsection (a) or (b) of 
this section until the rate is equal to the rate in effect under paragraph 
(1) (B) (i) of this subsection for the position in which the employee 
is placed. 
*
*
§ 3595. Regulations 
5 use 3595. 
"The Office of Personnel Management shall prescribe regulations to 
carry out the purpose of this subchapter.". 
(c) The chapter analysis for chapter 35 of title 5, United States 
Code, is amended by inserting the following new item: 
"SUBCHAPTER V—REMOVAL, REINSTATEMENT, AND GUARANTEED 
PLACEMENT IN THE SENIOR EXECUTIVE SERVICE 
"Sec. 
"3591. Definitions. 
"3592. Removal from tlie Senior Executive Service. 
"3593. Reinstatement in the Senior Executive Service. 
"3594. Guaranteed placement in other personnel systems. 
"3595. Regulations.". 
PERFORMANCE RATING 
SEC. 405. (a) Chapter 43 of title 5, United States Code, is amended 
by adding at the end thereof the following : 
"SUBCHAPTEE II—PERFORMANCE APPRAISAL IN THE 
SENIOR EXECUTIVE SERVICE 
«§ 4311. Definitions 
5 USC 4311. 
"For the purpose of this subchapter, 'agency', 'senior executive', and 
'career appointee' have the meanings set forth in section 3132(a) of 
this title. 
Ante, p. 1155. 
"§ 4312. Senior Executive Service performance appraisal systems 5 USC 4312. 
"(a) Each agency shall, in accordance with standards established by 
the Office of Personnel Management, develop one or more performance 
appraisal systems designed to— 
92 STAT. 1168 
PUBLIC LAW 95-454—OCT. 13, 1978 
" (1) permit the accurate evaluation of performance in any posi-
tion on the basis of criteria which aie related to the position 
and which specify the critical elements of the position; 
"(2) provide for systematic appraisals of performance of sen-
ior executives; 
" (3) encourage excellence in performance by senior executives; 
and 
"(4) provide a basis for making eligibility determinations for 
retention in the Senior Executive Service and for Senior Execu-
tive Service performance awards. 
" (b) Each performance appraisal system established by an agency 
under subsection (a) of this section shall provide— 
"(1) that, on or before the beginning of each rating period, 
performance requirements for each senior executive in the agency 
are established in consultation with the senior executive and com-
municated to the senior executive; 
"(2) that written appraisals of performance are based on the 
individual and organizational performance requirements estab-
lished for the rating period involved; and 
" (3) that each senior executive in the agency is provided a copy 
of the appraisal and rating under section 4314 of this title and is 
given an opportunity to respond in writing and have the rating 
reviewed by an employee in a higher executive level in the agency 
before the rating becomes final. 
"(c)(1) The Office shall review each agency's performance appraisal 
system under this section, and determine whether the agency perform-
ance appraisal system meets the requirements of this subchapter. 
Report to 0PM 
"(2) The Comptroller General shall from time to time review per-
and Congress. 
formance appraisal systems under this section to determine the extent 
to which any such system meets the requirements under this subchap-
ter and shall periodically report its findings to the Office and to each 
House of the Congress. 
"(3) If the Office determines that an agency performance appraisal 
system does not meet the requirements under this subchapter (includ-
ing regulations prescribed under section 4315), the agency shall take 
such corrective action as may be required by the Office. 
"(d) A senior executive may not appeal any appraisal and rating 
under any performance appraisal system under this section. 
5 use 4313. 
«§ 4313. Criteria for performance appraisals 
"Appraisals of performance in the Senior Executive Service shall 
be based on both individual and organizational performance, taking 
into account such factors as— 
"(1) improvements in efficiency, productivity, and quality of 
work or service, including any significant reduction in paper-
work; 
"(2) cost efficiency; 
"(3) timeliness of performance; 
"(4) other indications of the effectiveness, productivity, and 
performance quality of the employees for whom the senior execu-
-' 
tive is responsible; and 
, , V
- 
,
^ J, 
"(5) meeting affirmative action goals and achievement of equal 
employment opportunity requirements. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1169 
"§ 4314. Ratings for performance appraisals 
"(a) Each performance appraisal system shall provide for annual 
summary ratings of levels of performance as follows: 
5 use 4314. 
" (1) one or more fully successful levels, 
(2) a minimally satisfactory level, and 
"(3) an unsatisfactory level. 
"(b) Each performance appraisal system shall provide that— 
.j 
"(1) any appraisal and any rating under such system— 
"(A) are made only after review and evaluation by a per-
formance review board established under subsection (c) of 
, 
this section; 
,l ^ 
"(B) are conducted at least annually, subject to the limita-
tion of subsection (c)(3) of this section; 
"(C) in the case of a career appointee, may not be made 
within 120 days after the beginning of a new Presidential 
administration; and 
"(D) are based on performance during a performance 
appraisal period the duration of which shall be determined 
under guidelines established by the Office of Personnel Man-
agement, but which may be terminated in any case in which 
the agency making an appraisal determines that an adequate 
basis exists on which to appraise and rate the senior execu-
tive's performance; 
"(2) any career appointee receiving a rating at any of the fully 
successful levels under subsection (a) (1) of this section may be 
given a performance award under section 5384 of this title; 
Post, p. 1172. 
"(3) any senior executive receiving an unsatisfactory rating 
under subsection (a) (3) of this section shall be reassigned or 
transferred within the Senior Executive Service, or removed from 
I 
the Senior Executive Service, but any senior executive who 
receives 2 unsatisfactory ratings in any period of 5 consecutive 
years shall be removed from the Senior Executive Service; and 
"(4) any senior executive who twice in any period of 3 con-
secutive years receives less than fully successful ratings shall be 
removed from the Senior Executive Service. 
"(c) (1) Each agency shall establish, in accordance with regulations 
prescribed by the Office, one or more performance review boards, as 
appropriate. It is the function of the boards to make recommendations 
to the appropriate appointing authority of the agency relating to the 
performance of senior executives in the agency. 
"(2) The supervising official of the senior executive shall provide 
to the performance review board, an initial appraisal of the senior 
executive's performance. Before making any recommendation with 
respect to the senior executive, the board shall review any response 
by the senior executive to the initial appraisal and conduct such 
further review as the board finds necessary. 
"(3) Performance appraisals under this subchapter with respect to 
any senior executive shall be made by the appointing authority only 
after considering the recommendations by the performance review 
board Avith respect to such senior executive under paragraph (1) of 
this subsection. 
"(4) Members of performance review boards shall be appointed in Membership, 
such a manner as to assure consistency, stability, and objectivity in 
performance appraisal. Notice of the appointment of an individual Publication in 
to serve as a member sliall be published in the Federal Kegister. 
Federal Register. 
Performance 
review boards. 
Establishment. 
92 STAT. 1170 
PUBLIC LAW 95-454—OCT. 13, 1978 
Report to 
Congress. 
Ante, p. 1159. 
Ante, p. 1165. 
Post, p. 1172. 
5 u s e 4315. 
5 u s e 4507. 
Definitions. 
Ante, p. 1155. 
Recommenda-
tions. 
"(5) In the case of an appraisal of a career appointee, more than 
one-half of the members of the performance review board shall consist 
of career appointees. The requirement of the preceding sentence shall 
not apply in any case in which the Office determines that there exists 
an insufficient number of career appointees available to comply with 
the requirement. 
"(d) The Office shall include in each report submitted to each 
House of the Congress under section 3135 of this title a report of— 
"(1) the performance of any performance review board estab-
lished under this section, 
" (2) the number of individuals removed from the Senior Exec-
utive Service under subchapter V of chapter 35 of this title for 
less than fully successful executive performance, and 
"(3) the number of performance awards under section 5384 of 
this title. 
"§4315. Regulations 
"The Office of Personnel Management shall prescribe regulations 
to carry out the purpose of this subchapter.". 
(b) The analysis for chapter 43 of title 5, United States Code, is 
amended by inserting at the end thereof the following: 
"Sec. 
"4311. 
"4312. 
"4313. 
"4314. 
"4315. 
"SUBCHAPTER II—PERFORMANCE APPRAISAL IN THE 
SENIOR EXECUTIVE SERVICE 
Deflnitions. 
Senior Executive Service performance appraisal systems. 
Criteria for performance appraisals. 
Ratings for performance appraisals. 
> ; 
Regulations.". 
, , 
AWARDING OF RANKS 
''',' 
SEC. 406. (a) Chapter 45 of title 5, United States Code, is amended 
by adding at the end thereof the following new section: 
"§4507. Awarding of ranks in the Senior Executive Service 
"(a) For the purpose of this section, 'agency', 'senior executive', 
and 'career appointee' have the meanings set forth in section 3132(a) 
of this title. 
"(b) Each agency shall submit annually to the Office recommenda-
tions of career appointees in the agency to be awarded the rank of 
Meritorious Executive or Distinguished Executive. The recommenda-
tions may take into account the individual's performance over a period 
of years. The Office shall review such recommendations and provide 
to the President recommendations as to which of the agency recom-
mended appointees should receive such rank. 
"(c) During any fiscal year, the President may, subject to subsec-
tion (d) of this section, award to any career appointee recommended 
by the Office the rank of— 
"(1) Meritorious Executive, for sustained accomplishment, or 
"(2) Distinguished Executive, for sustained extraordinary 
accomplishment. 
A career appointee awarded a rank under paragraph (1) or (2) of 
this subsection shall not be entitled to be awarded that rank during 
the following 4 fiscal years. 
"(d) During any 6scal year— 
"(1) the number of career appointees awarded the rank of 
Meritorious Executive may not exceed 5 percent of the Senior 
Executive Service; and 
"(2) the number of career appointees awarded the rank of 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1171 
Distinguished Executive may not exceed 1 percent of the Senior 
,,, ^ 
Executive Service. 
"(e) (1) Receipt by a career appointee of the rank of Meritorious 
Executive entitles such individual to a lump-sum payment of $10,000, 
which shall be in addition to the basic pay paid under section 5382 of 
this title or any award paid under section 5384 of this title. 
^"/ra-
"(2) Receipt by a career appointee of the rank of Distinguished ^^•'^' P- 1172. 
Executive entitles the individual to a lump-sum payment of $20,000, 
which shall be in addition to the basic pay paid under section 5382 of 
this title or any award paid under section 5384 of this title.". 
(b) The analysis for chapter 45 of title 5, United States Code, is 
amended by adding at the end thereof the following new item: 
"4507. Awarding of Ranks in the Senior Executive Service.". 
PAY RATES AND SYSTEMS 
SEC. 407. (a) Chapter 53 of title 5, United States Code, is amended 
by adding at the end thereof the following new subchapter: 
i' 
"SUBCHAPTER VIII—PAY FOR THE SENIOR 
EXECTTTIVE SERVICE 
"§ 5381. Definitions 
5 USC 5381. 
"For the purpose of this subchapter, 'agency', 'Senior Executive 
Service position', and 'senior executive' have the meanings set forth in 
section 3132(a) of this title. 
^»«e, p. 1155. 
"§ 5382. Establishment and adjustment of rates of pay for the 5 USC 5382. 
Senior Executive Service 
"(a) There shall be 5 or more rates of basic pay for the Senior 
Executive Service, and each senior executive shall be paid at one of the 
rates. The rates of basic pay shall be initially established and there-
after adjusted by the President subject to subsection (b) of this section. 
"(b) In setting rates of basic pay, the lowest rate for the Senior 
. 
Executive Service shall not be less than the minimum rate of basic 
pay payable for GS-16 of the General Schedule and the highest rate 
shall not exceed the rate for level IV of the Executive Schedule. The 5 USC 5315. 
payment of the rates shall not be subject to the pay limitation of sec-
tion 5308 or 5373 of this title. 
5 USC 5308. 
"(c) Subject to subsection (b) of this section, effective at the begin- ^^*^' P- l^^l-
ning of the first applicable pay period commencing on or after the 
first day of the month in which an adjustment takes effect under section 
5305 of this title in the rates of pay under the General Schedule, each 5 USC 5305. 
rate of basic pay for the Senior Executive Service shall be adjusted 
by an amount determined by the President to be appropriate. The 
adjusted rates of basic pay for the Senior Executive Service shall be 
included in the report transmitted to the Congress by the President 
under section 5305 (a) (3) or (c) (1) of this title. 
"(d) The rates of basic pay that are established and adjusted under Publication in 
this section shall be printed "in the Federal Register and shall super- Federal Register,, 
sede any prior rates of basic pay for the Senior Executive Service. 
"§ 5383. Setting individual senior executive pay 
^ ^^^ ^^^^• 
" (a) P]ach appointing authority shall determine, in accordance with 
criteria established by the Office of Personnel Management, which of 
the rates established under section 5382 of this title shall be paid to 
each senior executive under such appointing authority. 
92 STAT. 1172 
PUBLIC LAW 95-454—OCT. 13, 1978 
''(b) In no event may the aggregate amount paid to a senior execu-
Ante, p. 1170. 
tive during any fiscal year under sections 4507, 5382, and 5384 of this 
title exceed the annual rate payable for positions at level I of the 
Executive Schedule in effect at the end of such fiscal year. 
" (c) Except for any pay adjustment under section 5382 of this title, 
Ihe rate of basic pay for any senior executive may not be adjusted more 
than once during any 12-month period. 
"(d) The rate of basic pay for any career appointee may be reduced 
from any rate of basic pay to any lower rate of basic pay only if the 
career appointee receives a written notice of the reduction at least 15 
days in advance of the reduction. 
5 use 5384. 
"§ 5384. Performance awards in the Senior Executive Service 
"(a) (1) To encourage excellence in performance by career appoint-
ees, performance awards shall be paid to career appointees in accord-
ance with the provisions of this section. 
"(2) Such awards shall be paid in a lump sum and shall be in addi-
tion to the basic pay paid under section 5382 of this title or any award 
Ante, p. 1170. 
paid under section 4507 of this title. 
''(b)(1) No performance award under this section shall be paid to 
any career appointee whose performance was determined to be less 
than fully successful at the time of the appointee's most recent per-
formance appraisal and rating under subchapter I I of chapter 43 of 
Ante, p. 1167. 
this title. 
" (2) The amount of a performance award under this section shall be 
determined by the agency head but may not exceed 20 percent of the 
• '' 
career appointee's rate of basic pay. 
• H
t 
:
< 
"(3) The number of career appointees in any agency paid perform-
ance awards under this section during any fiscal year may not exceed 
50 percent of the number of Senior Executive Service positions in such 
agency. This paragraph shall not apply in the case of any agency 
which has less than 4 Senior Executive Service positions. 
"(c) Performance awards paid by any agency under this section 
shall be based on recommendations by performance review boards 
Ante, p. 1169. 
established by such agency under section 4314 of this title. 
"(d) The Office of Personnel Management may issue guidance to 
, „, ,, ,^ 
agencies concerning the proportion of Senior Executive Service salary 
expenses that may be appropriately applied to payment of perform-
ance awards and the distribution of awards. 
5 use 5385. 
"§5385. Regulations 
"The Office of Personnel Management shall prescribe regulations to 
carry out the purpose of this subchapter.". 
(b) The analysis of chapter 53 of title 5, United States Code, is 
amended by adding at the end thereof the following new items: 
"SUBCHAPTER VIII—PAY FOR THE SENIOR EXECUTIVE SERVICE 
"Sec. 
"5381. Definitions. 
"5382. Establishment and adjustment of rates of pay for the Senior Executive 
Service. 
".5383. Setting individual senior executive pay. 
- 
r = 
"5384. Performance awards in the Senior Executive Service. 
"5385. Regulations.". 
' ' 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1173 
:•= 
: 
PAY ADMINISTRATION 
Srx\ 408. (a) Chcapter 55 of the title 5, United States Code, is 
amended— 
(1) by inserting "other than an employee or individual excluded 
by section 5541(2) (xvi) of this section" immediately before the 5 USC 5541. 
period at the end of section 5504(a) (B); 
^ 
5 USC 5504. 
(2) by amending section 5541(2) by striking out "or" after 
clause (xiv), by striking out the period after clause (xv) and 
inserting "; or" in lieu thereof, and by adding the following 
, > 
clause at the end thereof: 
" (xvi) member of the Senior Executive Service." ; 
and 
(3) by inserting "other than a member of the Senior Executive 
Service" after "employee" in section 5595(a) (2) (i). 
5 USC 5595. 
(b) (1) Section 5311 of title 5, United States Code, is amended by 
inserting ", other than Senior Executive Service positions," after 
"positions". 
(2) Section 5331(b) of title 5, United States Code, is amended by 
inserting ", other than Senior Executive Service positions," after 
"positions". 
TRAVEL, TRANSPORTATION, AND SUBSISTENCE 
SEC. 409. (a)^ Section 5723(a) (1) of title 5, United States Code, is 
amended by striking out "; and" and inserting in lieu thereof "or of 
a new appointee to the Senior Executive Service; and". 
! 
(b) Subchapter IV of chapter 57 of title 5, United States Code, is 
amended by adding at the end thereof the following new section: 
"§ 5752. Travel expenses of Senior Executive Service candidates 5 USC 5752. 
"Employing agencies may pay candidates for Senior Executive 
Service positions travel expenses incurred incident to preemployment 
interviews requested by the employing agency.". 
(c) The analysis for chapter 57 of title 5, United States Code, is 
amended by inserting after the item relating to section 5751 the fol-
lowing new item: 
"5752. Travel expenses of Senior Executive Service candidates.". 
c - v , . : , '• 
L E A V E 
SEC. 410. Section 6304 of title 5, United States Code, is amended— 
(1) in subsection (a), by striking out "and (e)" and inserting in 
lieu thereof "(e), and (f)"; and 
(2) by adding at the end thereof the following new subsection: 
"(f) Annual leave accnied by an individual while serving in a posi-
tion in the Senior Ilxecutive Service shall not be subject to the limita-
tion on accumulation otherwise imposed by this section.". 
DISCIPLINARY ACTIONS 
i SEC. 411. Chapter 75 of title 5, United States Code, is amended— 
(1) by inserting the following in the chapter analysis after 
subchapter IV: 
92 STAT. 1174 
PUBLIC LAW 95-454r-OCT. 13, 1978 
"SUBCHAPTER V—SENIOR EXECUTIVE SERVICE 
5 use 7541. 
Ante, p. 1161. 
Ante, p. 1134. 
5 use 7542. 
Ante, p. 11 ?5. 
5 use 7532. 
Ante, p. 1165. 
5 use 7543. 
Hearing. 
Appeals. 
Ante, p. 1138. 
Record 
maintenance. 
"Sec. 
"7541. Definitions. 
* 
"7542. Actions covered. 
"7543. Cause and procedure."; 
and 
(2) by adding the following after subchapter IV: 
"SUBCHAPTER V—SENIOR EXECUTIVE SERVICE 
«§ 7541. Definitions 
"For the purpose of this subchapter— 
"(1) 'employee' means a career appointee in the Senior Execu-
tive Service who— 
"(A) has completed the probationary period prescribed 
g
f
f i i 
under section 3393 (d) of this title; or 
I 
" (B) was covered by the provisions of subchapter II of this 
chaj>ter immediately before appointment to the Senior Ex-
ecutive Service; and 
"(2) 'suspension' has the meaning set forth in section 7501(2) 
of this title. 
. 
"§7542. Actions covered 
"This subchapter applies to a removal from the civil service or sus-
pension for more than 14 days, but does not apply to an action 
initiated under section 1206 of this title, to a suspension or removal 
under section 7532 of this title, or to a removal under section 3592 of 
this title. 
"§7543. Cause and procedure 
"(a) Under regulations prescribed by the Office of Persomiel Man-
agement, an agency may take an action covered by this subchapter 
against an employee only for such cause as will promote the efficiency 
of the service. 
"(b) An employee against whom an action covered by this sub-
chapter is proposed is entitled to— 
"(1) at least 30 days' advance written notice, unless there is rea-
sonable cause to believe that the employee has committed a crime 
for which a sentence of imprisonment can be imposed, stating 
specific reasons for the proposed action; 
" (2) a reasonable time, but not less than 7 days, to answer orallj 
and in writing and to furnish affidavits and other documentary evi-
dence in support of the answer; 
"(3) be represented by an attorney or other representative; 
and 
"(4) a written decision and specific reasons therefor at the 
earliest practicable date. 
"(c) An agency may provide, by regulation, for a hearing which 
may be in lieu of or in addition to the opportunity to answer provided 
under subsection (b) (2) of this section. 
"(d) An employee against whom an action is taken under this 
section is entitled to appeal to the Merit Systems Protection Board 
under section 7701 of this title. 
"(e) Copies of the notice of proposed action, the answer of the 
employee when written, and a Nummary thereof when made orally, the 
notice of decision and reason^ therefor, and any order effecting an 
PUBLIC LAW 95-454^0CT. 13, 1978 
92 STAT. 1175 
action covered by this subchapter, together with any supporting mate-
rial, shall be maintained by the agencj^ and shall be furnished to the 
Merit Systems Protection Board upon its request and to the employee 
aJffected upon the employee's request.", 
RETIREMENT 
SEC. 412. (a) Section 8336 of title 5, United States Code, is amended 
by redesignating subsection (h) as subsection (i) and inserting imme-
diately after subsection (g) the following new subsection: 
"(h) A member of the Senior Executive Service who is removed 
from the Senior Executive Service for less than fully successful exec-
utive performance (as determined under subchapter II of chapter 43 
of this title) after completing 25 years of service or after becoming ^nte, p. 1167. 
50 years of age and completing 20 years of service is entitled to an 
annuity.". 
(b) Section 8339(h) of title 5, United States Code, is amended by 
strikmg out "section 8336(d)" and inserting in lieu thereof "section 
8336 (d) or (h)". 
^ 
CONVERSION TO THE SENIOR EXECUTIVE SERVICE 
SEC. 413. (a) For the purpose of this section, "agency", "Senior 5 USC 3133 note. 
Executive Service position", "career appointee", "career reserved posi-
tion"j "limited term appointee", "noncareer appointee", and "general 
position" have the meanings set forth in section 3132(a) of title 5, 
United States Code (as added by this title), and "Senior Executive Ante, p. 1155. 
Service" has the meaning set forth in section 2101a of such title 5 (as Ante, p. 1154. 
added by this title). 
(b) (1) Under the guidance of the Office of Personnel Management, 
each agency shall— 
(A) designate those positions which it considers should be 
Senior Executive Service positions and designate which of those 
positions it considers should be career reserved positions; and 
(B) submit to the Office a written request for— 
(i) a specific number of Senior Executive Service posi-
tions,'and 
(ii) authority to employ a specific number of noncareer 
appointees. 
(2) The Office of Personnel Management shall review the designa- Publication in 
tions and requests of each agency under paragraph (1) of this sub- Federal Register, 
section, and shall establish interim authorizations in accordance with 
sections 3133 and 3134 of title 5, United States Code (as added by this Ante, pp. 1158, 
Act), and shall publish the titles of the authorized positions in the 
^1^^-
Federal Register. 
(c) (1) Each employee serving in a position at the time it is desig-
nated as a Senior Executive Service position under subsection (b) of 
this section shall elect to— 
(A) decline conversion and be appointed to a position under 
such employee's current type of appointment and pay system, 
retaining the grade, seniority, and other rights and benefits asso-
ciated with such type of appointment and pay system; or 
(B) accept conversion and be appointed to a Senior Executive 
Service position in accordance with the provisions of subsections 
(d), (e), (f), (g), and (h) of this section. 
The appointment of an employee in an agency because of an election 
92 STAT. 1176 
PUBLIC LAW 95-454^0CT. 13, 1978 
Written 
notification. 
Ante, p. 1161. 
5 u s e 5311. 
Publication in 
Federal Register. 
under subparagraph (A) of this paragraph shall not result in the 
separation or reduction in grade of any other employee in such agency. 
(2) Any employee in a position which has been designated a Senior 
Executive Service position under this section shall be notified in writ-
ing of such designation, the election required under paragraph (1) of 
this subsection, and the provisions of subsections (d), (e), (f), (g), 
and (h) of this section. The employee shall be given 90 days from the 
date of such notification to make the election under paragraph (1) 
of this subsection. 
(d) Each employee who has elected to accept conversion to a Senior 
Executive Service position under subsection (c)(1)(B) of this section 
and who is serving under— 
(1) a career or career-conditional appointment; or 
(2) a similar type of appointment in an excepted service posi-
tion, as determined by the Office; 
in a position which is designated as a Senior Executive Service posi-
tion shall be appointed as a career appointee to such Senior Executive 
Service position without regard to section 3393(b)-(e) of title 5, 
United States Code (as added by this title). 
(e) Each employee who has elected conversion to a Senior Execu-
tive Service position under subsection (c)(1)(B) of this section and 
who is serving under an excepted appointment in a position which 
is not designated a career reserved position in the Senior Executive 
Service, but is— 
(1) a position in Schedule C of subpart C of part 213 of title 5, 
Code of Federal Eegulations; 
(2) a position filled by noncareer executive assignment under 
subpart F of part 305 of title 5, Code of Federal Regulations; or 
(c'^ a position in the Executive Schedule under subchapter II of 
chapter 53 of title 5, United States Code, other than a career 
Executive Schedule position; 
shall be appointed as a noncareer appointee to a Senior Executive 
Service position. 
(f) Each employee who has elected conversion to a Senior Execu-
tive Service position under subsection (c) (1) (B) of this section, who 
is serving in a position described in paragraph (1), (2), or (3) of 
subsection (e) of this section, and whose position is designated as a 
career reserved position under subsection (b) of this section shall be 
appointed as a noncareer appointee to an appropriate general position 
in the Senior Executive Service or shall be separated. 
(g) Each employee who has elected conversion to a Senior Executive 
Service position under subsection (c) (1) (B) of this section, who is 
serving in a position described in paragraph (1), (2), or (3) of sub-
section (e) of this section, and whose position is designated as a Senior 
Executive Service position and Avho has reinstatement eligibility to a 
position in the competitive sendee, maj^, on request to the Office, be 
appointed as a career appointee to a Senior Executive Service position. 
The name of, and basis for reinstatement eligibility for, each employee 
appointed as a career appointee under this subsection shall be published 
in the Federal Register. 
(h) Each employee who has elected conversion to a Senior Executive 
Service position under subsection (c) (1) (B) of this section and who is 
serving under a limited executive assignment under subpart F of part 
305 of title 5, Code of Federal Regulations, shall— 
(1) be appointed as a limited term appointee to a Senior Execu-
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1177 
tive Service position if the position then held by sucih employee 
will terminate within 3 years of the date of such appointment; 
(2) be appointed as a noncareer appointee to a Senior Execu-
tive Service position if the position then held by such employee is 
designated as a general position; or 
(3) be appointed as a noncareer appointee to a general position 
if the position then held by sudh employee is designated as a career 
reserved position. 
(i) The rate of basic pay for any employee appointed to a Senior 
Executive Service position under this section shall be greater than or 
equal to the rate of basic pay payable for the position held by such 
employee at the time of such appointment. 
(j) Any employee who is aggrieved by any action by any agency 
under this section is entitled to appeal to the Merit Systems Protection 
Board under section 7701 of title 5, United States Code (as added by ^"-te, p. 1138. 
this title). An agency sihall take any corrective action which the Board 
orders in its decision on an appeal under this subsection. 
(k) The Office shaill prescribe regulations to carry out the purpose of Regulations, 
this section. 
LIMITATIONS ON EXECUTIVE POSITIONS 
SEC. 414. (a) (1) (A) The following provisions of section 5108 of 
title 5, United States Code, relating to special authority to place posi-
tions at GS-16,17, and 18 of the General Schedule, are hereby repealed: 
(i) paragraphs (2), (4) through (11), and (13) through (16) 
of subsection (c), and 
(ii) subsections (d) through (g). 
(B) Notwithstanding any other provision of law (other than section 
5108 of such title 5), the authority granted to an agency (as defined in 
section 5102(a) (1) of such title 5) under any such provision to place 
one or more positions in GS-16, 17, or 18 of the General Schedule, is 
hereby terminated. 
(C) Subsection (a) of section 5108 of title 5, United States Code, is 
amended to read as follows: 
" (a) The Director of the Office of Personnel Management may estab-
lisih, and from time to time revise, the maximum numbers of positions 
(not to exceed an aggregate of 10,777) which may at any one time be 
placed in— 
"(i) GS-16,17, and 18; and 
"(ii) the Senior Executive Service, in accordance with section 
3133 of this title. 
A position may be placed in GS-16, 17, or 18, only by action of the 
Director of the Office of Personnel Management. The authority of the 
Director under this subsection shall be carried out by the President in 
the case of positions proposed to be placed in GS-16,17, and 18 in the 
. 
Federal Bureau of Investigation.". 
' 
J'' 
(D) Subsection (c) of section 5108 of title 5, United States Code, is 
amended— 
(i) by redesignating paragraph (3) as paragraph (2) and by 
inserting "and" at the end thereof; and 
(ii) by redesignating paragraph (12) as paragraph (3) and by 
striking out the semicolon at the end and inserting in lieu thereof 
a period. 
(2) (A) Notwithstanding any other provision of law (other than 5 USC3104note, 
section 3104 of title 5, United States Code), the authority granted to 
5 USC 5108 note. 
Ante, p. 1158. 
92 STAT. 1178 
PUBLIC LAW 95-454—OCT. 13, 1978 
an agency (as defined in section 5102(a) (1) of such title 5) to establish 
scientific or professional positions outside of the General Schedule is 
hereby terminated. 
(B) Section 3104 of title 5, United States Code, is amended by strik-
ing out subsections (a) and (b) and inserting in lieu thereof the 
following: 
"(a) (1) The Director of the Office of Personnel Management may 
establish, and from time to time revise, the maximum number of scien-
tific or professional positions (not to exceed 517) for carrying out re-
search and development functions which require the services of 
specially qualified personnel which may be established outside of the 
General Schedule. Any such position may be established only by action 
of the Director. 
"(2) The provisions of paragraph (1) of this subsection shall not 
apply to any Senior Executive Service position (as defined in section 
^nte, p. 1155. 
3132(a) of this title). 
"(3) In addition to the number of positions authorized by para-
,o,,fH.|p.- 
graph (1) of this subsection, the Librarian of Congress may establish, 
without regard to the second sentence of paragraph (1) of this subsec-
tion, not more than 8 scientific or professional positions to carry out the 
research and development functions of the Library of Congress which 
require the services of specially qualified personnel.". 
(C) Subsection (c) of such section 3104 is amended— 
(i) by striking out "(c)" and inserting in lieu thereof "(b)"; 
and 
(ii) by striking out "to establish and fix the pay of positions 
under this section and section 5361 of this title" and inserting in 
.(Hi ftC'.: )• J {• 
lieu thereof "to fix under section 5361 of this title the pay for posi-
tions established under this section". 
5 use 3104, 
(3) (A) The provisions of paragraphs (1) and (2) of this subsection 
5108 notes. 
shall not apply with respect to any position so long as the individual 
occupying such position on the day before the date of the enactment 
of this Act continues to occupy such position. 
(B) The Director— 
(i) in establishing under section 5108 of title 5, United States 
Code, the maximum number of positions which may be placed in 
GS-16, 17, and 18 of the General Schedule, and 
(ii) in establishing under section 3104 of such title 5 the maxi-
mum number of scientific or professional positions which may be 
established, 
. , 
shall take into account positions to which subparagraph (A) of this 
paragraph applies. 
(b) (1) Section 5311 of title 5, United States Code, is amended by 
inserting "(a)" before "The Executive Schedule," and by adding at 
the end thereof the following new subsection: 
Publication in 
"(b) (1) Not later than 180 days after the date of the enactment of 
Federal Register, the Civil Service Eeform Act of 1978, the Director shall determine 
the number and classification of executive level positions in existence 
in the executive branch on that date of enactment, and shall publish 
the determination in the Federal Register. Effective beginning on the 
date of the publication, the number of executive level positions within 
the executive branch may not exceed the number published under this 
subsection. 
"Executive level 
"(2) For the purpose of this subsection, 'executive level position' 
position." 
m e a n s — 
,,,-:.,:%.,.-.;...,:,, ;,,,;:,. 
.,•.:' 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1179 
" (A) any office or position in the civil service the rate of pay for 
which is equal to or greater than the rate of basic pay payable for 
positions under section 5316 of this title, or 
"(B) any such office or position the rate of pay for which may 
be fixed by administrative action at a rate equal to or greater than 
the rate of basic pay payable for positions under section 5316 of 
this title; 
but does not include any Senior Executive Service position, as defined 
in section 3132(a) of this title.". 
(2) The President shall transmit to the Congress by January 1,1980, 
a plan for authorizing executive level positions in the executive branch 
which shall include the maximum number of executive level positions 
necessary by level and a justification for the positions. 
5 use 5316. 
Ante, p. 1155. 
Presidential 
transmittal to 
Congress. 
5 use 5311 note. 
EFFECTIVE DATE; CONGRESSIONAL REVIEW 
SEC. 415. (a) (1) The provisions of this title, other than sections 413 5 USe 3131 note, 
and 414(a), shall take effect 9 months after the date of the enactment 
of this Act. 
(2) The provisions of section 413 of this title shall take effect on 
the date of the enactment of this Act. 
(3) The provisions of section 414 (a) of this title shall take effect 180 
days after the date of the enactment of this Act. 
(b) (1) The amendments made by sections 401 through 412 of this 
title shall continue to have effect unless, during the first period of 60 
calendar days of continuous session of the Congress begmning after 
5 years after the effective date of such amendments, a concurrent reso-
lution is introduced and adopted by the Congress disapproving the 
'"' 
continuation of the Senior Executive Service. Such amendments shall 
cease to have effect on the first day of the first fiscal year beginning 
after the date of the adoption of such concurrent resolution. 
(2) The continuity of a session is broken only by an adjournment 
of the Congress sine die, and the days on which either House is not in 
session because of an adjournment of more than 3 days to a day certain 
are excluded in the computation of the 60-day period. 
(3) The provisions of subsections (d), (e), (f), (g), (h), (i), (j), 
and (k) of section 5305 of title 5, United States Code, shall apply with 
" 
respect to any concurrent resolution referred to in paragraph (1) of 
this subsection, except that for the purpose of this paragraph the ref-
erence in such subsection (e) to 10 calendar days shall be considered a 
reference to 30 calendar days. 
(4) Ihiring the 5-year period referred to in paragraph (1) of this 
subsection, the Director of the Office of Personnel Management shall 
include in each report required under section 3135 of title 5, United 
States Code (as added by this title) an evaluation of the effectiveness 
of the Senior Executive Service and the manner in which such Service 
is administered. 
TITLE V—MERIT PAY 
PAY FOR PERFORMANCE 
SEC. 501. Part III of title 5, United States Code, is amended by 
inserting after chapter 53 the following new chapter: 
. - 
-
39-194 O—80—pt. 1 
78 : QU 
92 STAT. 1180 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 u s e 5401. 
5 u s e 7103. 
Exclusions. 
Presidential 
reports, 
transmittal to 
eongress. 
Filing of 
applications. 
Review. 
>
< "CHAPTER 54—MERIT PAY AND CASH AWARDS 
"Sec. 
^ - * 
"5401. Purpose. 
"5402. Merit pay system. 
. - , 
' 
"5403. Cash award program. 
. 
> 
"5404. Report. 
"^ 
. 
' 
; 
"5405. Regulations. 
«§ 5401. Purpose 
" 1 
" (a) It is the purpose of this chapter to provide for— 
" (1) a merit pay system which shall— 
" (A) within available funds, recognize and reward quality 
performance by varying merit pay adjustments; 
"(B) use performance appraisals as the basis for determin-
ing merit pay adjustments; 
"(C) within available funds, provide for training to 
improve objectivity and fairness in the evaluation of perform-
ance; and 
" (D) regulate the costs of merit pay by establishing appro-
,, t 
priate control techniques; and 
"(2) a cash award program which shall provide cash awards 
for superior accomplishment and special service. 
"(b) (1) Except as provided in paragraph (2) of tnis subsection, 
this chapter shall apply to any supervisor or management official (as 
defined m paragraphs (10) and (11) of section 7103 of this title, 
respectively) who is in a position which is in GS-13, 14, or 15 of the 
General Schedule described in section 5104 of this title. 
"(2) (A) Upon application under subparagraph (C) of this para-
graph, the President may, in writing, exclude an agency or any unit 
of an agency from the application of this chapter if the President 
considers such exclusion to be required as a result of conditions arising 
from— 
"(i) the recent establishment of the agency or unit, or the im-
plementation of a new program, 
"(ii) an emergency situation, or 
^ * ; ^
^ 
/ • 
" (iii) any other situation or circumstance. 
"(B) Any exclusion under this paragraph shall not take effect 
earlier than 30 calendar days after the President transmits to each 
House of the Congress a report describing the agency or unit to be 
excluded and the reasons therefor. 
"(C) An application for exclusion under this paragrapn of an 
agency or any unit of an agency shall be filed by the head of the agency 
with the Office of Personnel Management, and shall set forth reasons 
why the agency or unit should be excluded from this chapter. The 
Office shall review the application and reasons, undertake such other 
review as it considers appropriate to deterhiine whether the agency 
or unit should be. excluded from the coverage of this chapter, and upon 
completion of its review, recommend to the President whether the 
agency or unit should be so excluded. 
"(D) Any agency or unit which is excluded pursuant to this para-
graph shall, insofar as practicable, make a sustained effort to eliminate 
the conditions on which the exclusion is based. 
"(E) The Office shall periodically review any exclusion from cover-
age and may at any time recommend to the President that an exclusion 
under this paragraph be revoked. The President may at any time 
revoke, in writing, any exclusion under this paragraph. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1181 
"§ 5402. Merit pay system 
5 use 5402. 
" (a) In accordance with the purpose set forth in section 5401 (a) (1) Establishment, 
of this title, the Office of Personnel Management shall establish a merit 
pay system which shall provide for a range of basic pay for each 
grade to which the system applies, which range shall be limited by the 
minimum and maximum rates of basic pay payable for eacli grade 
under chapter 53 of this title. 
5 USC 5301 
" (b) (1) Under regulations prescribed by the Office, the head of each ^
«
9
-
agency may provide for increases within the range of basic pay for any 
employee covered by the merit pay system. 
"(2) Determinations to provide pay increases under this sub-
section— 
"(A) may take into account individual performance and 
: 
organizational accomplishment, and 
"(B) shall be based on factors such as— 
"(i) any improvement in efficiency, productivity, and 
; 
quality of work or service, including any significant reduction 
'-^ 
in paperwork; 
"(ii) cost efficiency; 
-
' ; 
"(iii) timeliness of performance; and 
^ 
"(iv) other indications of the effectiveness, productivity, 
and quality of performance of the employees for whom the 
employee is responsible; 
j 
. 
"(C) sihall be subject to review only in accordance with and to 
the extent provided by procedures established by the head of the 
agency; and 
"(D) shall be made in accordance with regulations issued by 
the Office which relate to the distribution of increases authorized 
under this subsection. 
"(3) For any fiscal year, the head of any agency may exercise 
authority under paragraph (1) of this subsection only to the extent of 
the fimds available for the purpose of this subsection. 
" (4) The funds available for the purpose of this subsection to the 
head of any agency for any fiscal year shall be determined before the 
beginning of the fiscal year by the Office on the basis of the amount 
estimated by the Office to be necessary to reflect— 
"(A) within-grade step increases and quality step increases 
which would have been paid under subchapter III of chapter 53 
of this title during the fiscal year to the employees of the agency 5 USC 5331. 
covered by the merit pay system if the employees were not so 
covered; and 
"(B) adjustments under section 5305 of this title which would 5 USC 5305. 
have been paid under such subchapter during the fiscal year to 
such employees if the employees were not so covered, less an 
amount reflecting the adjustment under subsection (c) (1) of this 
section in rates of basic pay payable to the employees for the fiscal 
year. 
" (c) (1) Effective at the beginning of the first applicable pay period Effective date, 
commencing on or after the first day of the month in which an adjust-
ment takes effect under section 5305 of this title, the rate of basic pay 
for any position under this chapter shall be adjusted by an amount 
equal to the greater of— 
f 
--
"(A) one-half of the percentage of the adjustment in the 
annual rate of pay which corresponds to the percentage generally 
92 STAT. 1182 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 5941. 
5 use 5403. 
Presidential cash 
awards. 
^^HM ^'. 
Payment of 
awards. 
applicable to positions not covenid by the merit pay system in the 
same grade as the position; or 
"(B) such greater amount of such percentage of such adjust-
ment in the annual rate of pay as may be determined by the Office. 
"(2) Any employee whose position is brought under the merit pay 
system shall, so long as the employee continues to occupy the position, 
be entitled to receive basic pay at a rate of basic pay not less than the 
rate the employee was receiving when the position was brought under 
the merit pay system, plus any subsequent adjustment under para-
graph (1) of this subsection. 
"(3) No employee to whom this chapter applies may be paid less 
than the minimum rate of basic pay of the grade of the employee's 
position. 
"(d) Under regulations prescribed by the Office, the benefit of 
advancement through the range of basic pay for a grade shall be 
preserved for any employee covered by the merit pay system whose 
continuous service is interrupted in the public interest by service with 
the armed forces, or by service in essential non-Government civilian 
employment during a period of war or national emergency. 
"(e) For the purpose of section 5941 of this title, rates of basic pay 
of employees covered by the merit pay system shall be considered rates 
of basic pay fixed by statute. 
"§5403. Cash award program 
"(a) The head of any agency may pay a cash award to, and incur 
necessary expenses for the honorary recognition of, any employee 
covered by the merit pay system who— 
"(1) by the employee's suggestion, invention, superior accom-
plishment, or other personal effort, contributes to the efficiency, 
economy, or other improvement of Government operations or 
achieves a significant reduction in paperwork; or 
"(2) performs a special act or service in the public interest in 
connection with or related to the employee's Federal employment. 
"(b) The President may pay a cash award to, and incur necessary 
expenses for the honorary recognition of, any employee covered by 
the merit pay system who— 
"(1) by the employee's suggestion, invention, superior accom-
plishment, or other personal effort, contributes to the efficiency, 
economy, or other improvement of Government operations or 
achieves a significant reduction in paperwork; or 
"(2) performs an exceptionally meritorious special act or serv-
ice in the public interest in connection with or related to the 
employee's Federal employment. 
A Presidential cash award may be in addition to an agency cash award 
under subsection (a) of this section. 
"(c) A cash award to any employee under this section is in addi-
tion to the basic pay of the employee under section 5402 of this title. 
Acceptance of a cash award under this section constitutes an agree-
ment that the use by the Government of any idea, method, or device 
for which the award is made does not form the basis of any claim of 
any nature against the Government by the employee accepting the 
award, or the employee's heirs or assigns. 
"(d) A cash award to, and expenses for the honorary recognition of, 
any employee covered by the merit pay system may be paid from the 
fund or appropriation available to the activity primarily benefiting, 
or the various activities benefiting, from the suggestion, invention, 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1183 
superior accomplishment, or other meritorious effort of the employee. 
The head of the agency concerned shall determine the amount to be 
contributed by each activity to any agency cash award under subsection 
(a) of this section. The President shall determine the amount to be 
contributed by each activity to a Presidential award under subsection 
(b) of this section, 
"(e) (1) Except as provided in paragraph (2) of this subsection, a Limitation, 
cash award under this section may not exceed $10,000. 
"(2) If the head of an agency certifies to the Office of Personnel 
Management that the suggestion, invention, superior accomplishment, 
or other meritorious effort of an employee for which a cash award is 
proposed is highly exceptional and unusually outstanding, a cash 
award in excess of $10,000 but not in excess of $25,000 may be awarded 
to the employee on the approval of the Office. 
"(f) The President or the head of an agency may pay a cash award 
under this section notwithstanding the death or separation from the 
service of an employee, if the suggestion, invention, superior accom-
plishment, or other meritorious effort of the employee for which the 
award is proposed was made or performed while the employee was 
covered by the merit pay system. 
"§ 5404. Report 
5 USC 5404. 
"The Office of Personnel Management shall include in each annual 
report required by section 1308(a) of this title a report on the opera- 5 USC 1308. 
tion of the merit pay system and the cash award program established 
under this chapter. The report shall include— 
"(1) an analysis of the cost and effectiveness of the merit pay 
system and the cash award program; and 
"(2) a statement of the agencies and units excluded from the 
coverage of this chapter under section 5401 (b) (2) of this title, the 
reasons for which each exclusion was made, and whether the 
exclusion continues to be warranted. 
"§•5405. Regulations 
5 USC 5405. 
"The Office of Personnel Management shall prescribe regulations to 
carry out the purpose of this chapter.". 
INCENTIVE AWARDS AMENDMENTS 
SEC. 502. (a) Section 4503(1) of title 5, United States Code, is 
amended by inserting after "operations" the following: "or achieves a 
significant reduction in paperwork". 
(b) Section 4504(1) of title 5, United States Code, is amended by 
-. ;^;. .. . 
inserting after "operations" the following: "or achieves a significant 
reduction in paperwork". 
TECHNICAL AND CONFORMING AMENDMENTS 
SEC. 503. (a) Section 4501(2) (A) of title 5, United States Code, is 
amended by striking out "; and" and inserting in lieu thereof ", but 
does not include an employee covered by the merit pay system estab-
lished under section 5402 of this title; and". 
(b) Section 4502(a) of title 5, United States Code, is amended by 
striking out "$5,000" and inserting in lieu thereof "$10,000". 
(c) Section 4502(b) of title 5, United States Code, is amended— 
(1) by striking out "Civil Service Commission" and inserting 
in lieu thereof "Office of Personnel Management"; 
92 STAT. 1184 
PUBLIC LAW 95-454—OCT. 13, 1978 
(2) by striking out "$5,000" and inserting in lieu thereof 
"$10,000"; and 
(3) by striking out "the Commission" and inserting in lieu 
thereof "the Office". 
(d) Section 4506 of title 5, United States Code, is amended by strik-
.^ 
, ing out "Civil Service Commission may" and inserting in lieu thereof 
'.CI i,r.,r "Office of Personnel Management shall". 
(e) The second sentence of section 5332(a) of title 5, United States 
Code, is amended by inserting after "applies" the following: ", except 
an employee covered by the merit pay system established under section 
5402 of this title,". 
(f) Section 5334 of title 5, United States Code (as amended in sec-
tion 801 (a) (3) (G) of this Act), is amended—• 
(1) in paragraph (2) of subsection (c), by inserting ", or for 
an employee appointed to a position covered by the merit pay sys-
tem established under section 5402 of this title, any dollar 
amount," after "step"; and 
(2) by adding at the end thereof the following new subsection: 
"(f) In the case of an employee covered by the merit pay system 
established under section 5402 of this title, all references in this section 
" 
to 'two steps' or 'two step-increases' shall be deemed to mean 6 
percent.". 
.?•;<. V • r 
(g) Section 5335(e) of title 5, United States Code, is amended by 
inserting after "individual" the following: "covered by the merit pay 
system established under section 5402 of this title, or,". 
(h) Section 5336(c) of title 5, United States Code, is amended by 
inserting after "individual" the following: "covered by the merit pay 
system established under section 5402 of this title, or,". 
(i) The table of chapters for part III of title 5, United States Code, 
is amended by insertmg after the item relating to chapter 53 the 
following new item: 
St: 
^ iJ < *54. Merit Pay and Cash Awards 
5401". 
' ' 
• ' • • • • ' • • • 
•••''•' 
* " - 
E F F E C T I V E 
D A T E 
5 use 5401 note. 
SEC. 504. (a) The provisions of this title shall take effect on the 
first day of the first applicable pay period which begins on or after 
October 1, 1981, except that such provisions may take effect with 
respect to any category or categories of positions before such day to 
the extent prescribed by the Director of the Office of Personnel 
Management. 
5 use 5404 note. 
(b) The Director of the Office of Personnel Management shall 
include in the first report required under section 5404 of title 5, United 
States Code (as added by this title), information with respect to the 
progress and cost of the implementation of the merit pay system and 
the cash award program established under chapter 54 of such title (as 
added by this title). 
TITLE VI—KESEARCH, DEMONSTRATION, AND OTHER 
PROGRAMS 
RESEARCH PROGRAMS A N D DEMONSTRATION 
PROJECTS 
SEC. 601. (a) Part III of title 5, United States Code, is amended by 
adding at the end of subpart C thereof the following new chapter: 
PUBLIC LAW 95-454^0CT. 13, 1978 
92 STAT. 1185 
"CHAPTER 47—PERSONNEL RESEARCH PROGRAMS AND 
• 
>
; 
DEMONSTRATION PROJECTS 
"Sec. 
"4701. Definitions. 
"4702. Kesearch programs. 
"4703. Demonstration projects. 
"4704. Allocation of funds. 
"4705. Reports. 
"4706. Regulations. 
"§4701. Definitions 
5USC4701. 
"(a) For the pvirpose of this chapter— 
"(1) 'agency' means an Executive agency, the Administrative 
Office of the United States Courts, and the Government Printing 
Office, but does not include— 
"(A) a Government corporation; 
"(B) the Federal Bureau of Investigation, the Central 
Intelligence Agency, the Defense Intelligence Agency, the 
National Security Agency, and, as determined by the Presi-
dent, any Executive agency or unit thereof which is desig-
nated by the President and which has as its principal function 
the conduct of foreign intelligence or counterintelligence 
activities; or 
"(C) the General Accounting Office; 
"(2) 'employee' means an individual employed in or under an 
agency; 
. 
^ 
"(3) 'eligible' means an individual who has qualified for 
appointment in an agency and whose name has been entered on 
the appropriate register or list of eligibles; 
•'•' ' 
"(4) 'demonstration project'means a project conducted by the 
Office of Personnel Management, or under its supervision, to deter-
mine whether a specified change in personnel management policies 
or procedures would result in improved Federal personnel man-
agement; and 
"(5) 'research program' means a planned study of the manner 
in which public management policies and systems are operating, 
the effects of those policies and systems, the possibilities for 
change, and comparisons among policies and systems. 
"(b) This subchapter shall not apply to any position in the Drug 
Enforcement Administration which is excluded from the competitive 
service under section 201 of the Crime Control Act of 1976 (5 U.S.C. 
5108note; 90 Stat. 2425). 
"§ 4702. Research programs 
5 USC 4702. 
"The Office of Personnel Management shall— 
"(1) establish and maintain (and assist in the establishment 
and maintenance of) research programs to study improved 
• 
methods and technologies in Federal personnel management; 
' -
"(2) evaluate the research programs established under para-
graph (1) of this section; 
? 
"(3) establish and maintain a program for the collection and 
public dissemination of information relating to personnel man-
agement research and for encouraging and facilitating the 
' 
exchange of information among interested persons and entities; 
and 
"(4) carry out the preceding functions directly or through 
agreement or contract. 
92 STAT. 1186 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 4703. 
Plan 
development. 
"§4703. Demonstration projects 
" (a) Except as provided in this section, the Office of Personnel Man-
agement may, directly or through agreement or contract with one or 
more agencies and other public and private organizations, conduct and 
evaluate demonstration projects. Subject to the provisions of this sec-
tion, the conducting of demonstration projects shall not be limited by 
any lack of specific authority under this title to take the action con-
templated, or by any provision of this title or any rule or regulation 
prescribed under this title which is inconsistent with the action, includ-
ing any law or regulation relating to— 
" (1) the methods of establishing qualification requirements for, 
recruitment for, and appointment to positions; 
"(2) the methods of classifying positions and compensating 
employees; 
"(3) the methods of assigning, reassigning, or promoting 
employees; 
" (4) the methods of disciplining employees ; 
"(5) the methods of providing incentives to employees, includ-
ing the provision of group or individual incentive bonuses or pay; 
" (6) the hours of work per day or per week; 
"(7) the methods of involving employees, labor organizations, 
and employee organizations in personnel decisions; and 
"(8) the methods of reducing overall agency staff and grade 
levels. 
"(b) Before conducting or entering into any agreement or contract 
to conduct a demonstration project, the Office shall— 
"(1) develop a plan for such project which identifies— 
" ^ A) the purposes of the proj ect; 
"(B) the types of employees or eligibles, categorized by 
occupational series, grade, or organizational unit; 
"(C) the number of employees or eligibles to be included, 
in the aggregate and by category; 
" ^ D) the methodology; 
"(E) the duration; 
"' '' 
the training to be provided; 
the anticipated costs; 
the methodology and criteria for evaluation; 
a specific description of any aspect of the project for 
:E) 
"(F) 
"(G) 
"(H) 
"(I) 
Publication in 
Federal Register. 
Hearing. 
Notification. 
which there is a lack of specific authority; and 
"(J) a specific citation to any provision of law, rule, or 
regulation which, if not waived under this section, would pro-
hibit the conducting of the project, or any part of the project 
as proposed; 
" (2) publish the plan in the Federal Register; 
"(3) submit the plan so published to public hearing; 
" (4) provide notification of the proposed project, at least 180 
days in advance of the date any project proposed under this sec-
tion is to take effect— 
"(A) to employees who are likely to be affected by the 
project; and 
"(B) to each House of the Congress; 
"(5) obtain approval from each agency involved of the final 
version of the plan; and 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1187 
" (6) provide each House of the Congress with a report at least Report to ,.,!, , 
90 days m advance of the date the project is to take effect setting Congress, 
forth the final version of the plan as so approved. 
" (c) No demonstration project under this section may provide for a 
waiver of— 
"(1) any provision of chapter 63 or subpart G of this title; 
5 USC 6301 
^ 
" (2) (A) any provision of law referred to in section 2302 (b) (1) 
e
« seq., 8101. 
of this title; or 
_ 
Ante, ^. l\\4>. 
"(B) any provision of law implementing any provision of law 
referred to in section 2302 (b)(1) of this title by— 
"(i) providing for equal employment opportunity through 
""' 
affirmative action; or 
"(ii) providing any right or remedy available to any 
employee or applicant for employment in the civil service; 
"(3) any provision of chapter 15 or subchapter III of chapter 5 USC 1501 
73 of this title; 
_ 
_ 
et seq. 
"(4) any rule or regulation prescribed under any provision of 5 USC 7321. 
law referred to in paragraph (1), (2), or (3) of this subsection; or 
" (5) any provision of chapter 23 of this title, or any rule or reg- Ante, p. 1113. 
ulation prescribed under this title, if such waiver is inconsistent 
with any merit system principle or any provision thereof relating 
,, 
to prohibited personnel practices. 
"(d) (1) Each demonstration project shall— 
"(A) involve not more than 5,000 individuals other than 
individuals in any control groups necessary to validate the results 
of the project; and 
"(B) terminate before the end of the 5-year period beginning Termination, 
on the date on which the project takes effect, except that the proj-
ect may continue beyond the date to the extent necessary to vali-
date the results of the project. 
"(2) Not more than 10 active demonstration projects may be in 
effect at any time. 
"(e) Subject to the terms of any written agreement or contract 
between the Office and an agency, a demonstration project involving 
the agency may be terminated by the Office, or the agency, if either 
determines that the project creates a substantial hardship on, or is not 
in the best interests of, the public, the Federal Government, employees, 
or eligibles. 
"(f) Employees within a unit with respect to which a labor orga-
nization is accorded exclusive recognition under chapter 71 of this Post, p. 1191. 
title shall not be included within any project under subsection (a) of 
this section— 
"(1) if the project would violate a collective bargaining agree-
ment (as defined in section 7103(8) of this title) between the Post, p. 1192. 
agency and the labor organization, unless there is another written 
agreement with respect to the project between the agency and the 
organization permitting the inclusion; or 
(2) if the project is not covered by such a collective bargaining 
agreement, until there has been cx>nsultation or negotiation, as 
appropriate, by the agency with the labor organization. 
"(g) Employees within any unit with respect to which a labor 
organization has not been accorded exclusive recognition under Chap-
ter 71 of this title shall not be included within any project under sub-
section (a) of this section unless there has been agency consultation 
regarding the project with the employees in the unit. 
92 STAT. 1188 
PUBLIC LAW 95-454—OCT. 13, 1978 
Evaluations. 
"(h) The Office shall provide for an evaluation of the results of 
each demonstration project and its impact on improving public man-
agement. 
"(i) Upon request of the Director of the Office of Personnel Man-
agement, agencies shall cooperate with and assist the Office, to the 
extent practicable, in any evaluation undertaken under subsection (h) 
of this section and provide the Office with requested information and 
reports relating to the conducting of demonstration projects in their 
respective agencies. 
5 use 4704. 
"§ 4704. Allocation of funds 
"Funds appropriated to the Office of Personnel Management for the 
purpose of this chapter may be allocated by the Office to any agency 
conducting demonstration projects or assisting the Office in conduct-
irt: = jt 
ing such projects. Funds so allocated shall remain available for such 
\ 
period as may be specified in appropriation Acts. No contract shall be 
it 
j ' 
entered into under this chapter unless the contract has been provided 
for in advance in appropriation Acts, 
5 use 4705. 
'*§ 4705. Reports 
"The Office of Personnel Management shall include in the annual 
5 use 1308. 
report required by section 1308(a) of this title a summary of research 
programs and demonstration projects conducted during the year 
covered by the report, the effect of the programs and projects on 
improving public management and increasing Government efficiency, 
and recommendations of policies a?id procedures which will improve 
such management and efficiency. 
,, . 
5 use 4706. 
«§4706. Regulations 
"The Office of Personnel Management shall prescribe regulations 
to carry out the purpose of this chapter.". 
(b) The table of chapters for part III of title 5, United States Code, 
is amended by inserting after the item relating to chapter 45 the fol-
lowing new item: 
"47. Personnel Research Programs and Demonstration Projects 
4701". 
INTERGOVERNMENTAL, PERSONNEL ACT AMENDMENTS 
SEC. 602. (a) Section 208 of the Intergovernmental Personnel Act 
of 1970 (42 U.S.C. 4728) is amended— 
i *'' 1 " 
(1) by striking out the section heading and inserting in lieu 
thereof the following: 
"TRANSFER OF FUNCTIONS AND ADMINISTRATION OF MERIT POLICIES"; 
(2) by redesignating subsections (b), (c), (d), (e), and (f) 
as subsections (c), (d), (e), (f), and (g), respectively, and by 
inserting after subsection (a) the following new subsection: 
"(b) In accordance with regulations of the Office of Personnel Man-
agement, Federal agencies may require as a condition of participa-
tion in assistance programs, systems of personnel administration con-
sistent with personnel standards prescribed by the Office for positions 
engaged in carrying out such programs. The standards shall— 
"(1) include the merit principles in section 2 of this Act; 
"(2) be prescribed in such a manner as to minimize Federal 
intervention in State and local personnel administration."; and 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1189 
Grants-in-aid, 
abolition of 
certain 
requirements. 
40 use 
2768-276a-5. 
(3) by striking out the last subsection and inserting in lieu 
thereof the following new subsection. 
" (h) Effective one year after the date of the enactment of the Civil 
Service Reform Act of 1978, all statutory personnel requirements 
established as a condition of the receipt of Federal grants-in-aid by 
State and local governments are hereby abolished, except— 
"(1) requirements prescribed under laws and regulations 
referred to in subsection (a) of this section; 
!, 
"(2) requirements that generally prohibit discrimination in 
employment or require equal employment opportunity; 
"(3) the Davis-Bacon Act (40 U.S.C. 276 et seq.); and 
" (4) chapter 15 of title 5, United States Code, relating to polit-
ical activities of certain State and local employees.". 
(b) Section 401 of such Act (84 Stat. 1920) is amended by striking 5 USC 3371 note, 
out "governments and institutions of higher education" and inserting 
in lieu thereof "governments, institutions of higher education, and 
other organizations". 
(c) Section 403 of such Act (84 Stat. 1925) is amended by inserting 
" (a)" after "403.", and by adding at the end thereof the following new 
subsection: 
"(b) Effective beginning on the effective date of the Civil Service 
Reform Act of 1978, the provisions of section 314(f) of the Public 
Health Service Act (42 U.S.C. 246(f)) applicable to commissioned 
officers of the Public Health Service Act are hereby repealed.". 
(d) Section 502 of such Act (42 U.S.C. 4762) is amended in para-
graph (3) by inserting "the Trust Territory of the Pacific Islands," 
before "and a territory or possession of the United States,". 
(e) Section 506 of such Act (42 U.S.C. 4766) is amended— 
(1) in subsection (b) (2), by striking out "District of Colum-
bia" and inserting in lieu thereof "District of Columbia, the 
< 
Commonwealth of Puerto Rico, Guam, American Samoa, and the 
Virgin Islands"; and 
(2) in subsection (b) (5), by striking out "and the District of 
Columbia" and inserting in lieu thereof ", the District of Colum-
. 
bia, the Commonwealth of Puerto Rico, Guam, American Samoa, 
and the Virgin Islands". 
AMENDMENTS TO THE MOBILITY PROGRAM 
SEC. 603. (a) Section 3371 of title 5, United States Code, is 
amended— 
(1) by inserting "the Trust Territory of the Pacific Islands," 
after "Puerto Rico," in paragraph (1) (A); and 
(2) by striking out "and" at the end of paragraph (1), by strik-
ing out the period at the end of paragraph (2) and inserting a 
semicolon in lieu thereof, and by adding at the end thereof the 
following: 
"(3) 'Federal agency' means an Executive agency, military 
department, a court of the United States, the Administrative 
Office of the United States Courts, the Library of Congress, the 
Botanic Garden, the Government Printing Office, the Congres-
sional Budget Office, the United States Postal Service, the Postal 
Rate Commission, the Office of the Architect of the Capitol, the 
Office of Technology Assessment, and such other similar agencies 
of the legislative and judicial branches as determined appropriate 
by the Office of Personnel Management; and 
"Federal 
agency." 
92 STAT. 1190 
PUBLIC LAW 95-454^0CT. 13, 1978 
.fiiOf: 
"Other 
^ 
n 
"(4) 'other organization'means— 
organization." 
"(A) a national, regional, State-wide, area-wide, or metro-
politan organization representing member State or local 
governments; 
"(B^ an association of State or local public officials; or 
' 
"(C) a nonprofit organization which has as one of its prin-
BJ!O' 
cipal functions the offering of professional advisory, research, 
educational, or development services, or related services, 
to governments or universities concerned with public 
management.". 
' ' 
(b) Sections 3372 through 3375 of title 5, United States Code, are 
amended by striking out "executive agency" and "an executive agency" 
each place they appear and inserting in lieu thereof "Federal agency" 
and "a Federal agency", respectively. 
(c) Section 3372 of title 5, United States Code, is further amended—• 
(1) in subsection (a) (1), by inserting after "agency" the fol-
lowing: ", other than a noncareer appointee, limited term 
appointee, or limited emergency appointee (as such terms are 
defined in section 3132(a) of this title) in the Senior Executive 
Service and an employee in a position which has been excepted 
from the competitive service by reason of its confidential, policy-
determining, policy-making, or policy-advocating character,"; 
(2) in subsection (b) (1), by striking out "and"; 
(3) in subsection (b)(2), by striking out the period after 
"agency" and inserting in lieu thereof a semicolon; 
(4) by adding at the end of subsection (b) the following: 
"(3) an employee of a Federal agency to any other organiza-
tion; and 
"(4) an employee of an other organization to a Federal 
agency."; and 
(5) by adding at the end thereof (as amended in paragraph (4) 
of this subsection) the following new subsection: 
"(c) (1) An employee of a Federal agency may be assigned under 
this subchapter only if the employee agrees, as a condition of accepting 
an assignment under this subchapter, to serve in the civil service upon 
the completion of the assignment for a period equal to the length of the 
assignment. 
"(2) Each agreement required under paragraph (1) of this subsec-
tion shall provide that in the event the employee fails to carry out the 
agreement (except for good and sufficient reason, as determined by the 
head of the Federal agency from which assigned) the employee shall be 
liable to the United States for payment of all expenses (excluding 
salary) of the assignment. The amount shall be treated as a debt due 
the United States.". 
(d) Section 3374 of title 5, United States Code, is further amended— 
(1) by adding at the end of subsection (b) the following new 
, 
sentence: 
"The above exceptions shall not apply to non-Federal employees who 
5 use 8301 et are covered by chapters 83, 87, and 89 of this title by virtue of their 
seq., 8701 et seq., non-Federal employment immediately before assignment and appoint-
miletseq. 
ment under this Section."; 
(2) in subsection (c) (1), by striking out the semicolon at the 
end thereof and by inserting in lieu thereof the following: 
", except to the extent that the pay received from the State or local 
* government is less than the appropriate rate of pay which the 
PUBUC LAW 95-454—OCT. 13, 1978 
92 STAT. 1191 
duties would warrant under the applicable pay provisions of 
this title or other applicable authority;"; and 
(3) by striking out the period at the end of subsection (c) and 
inserting in lieu thereof the following: ", or for the contribution 
of the State or local government, or a part thereof, to employee 
benefit systems.", 
(e) Section 3375(a) of title 5, United States Code, is further 
amended by striking out "and" at the end of paragraph (4), by 
redesignating paragraph (5) as paragraph (6), and by inserting after 
paragraph (4) the following; 
t; 
) - f -i 
"(5) section 5724a(b) of this title, to be used by the employee 
for miscellaneous expenses related to change of station where 
movement or storage of household goods is involved; and". 
T I T L E V n — F E D E R A L S E R V I C E LABOR-MANAGEMENT 
R E L A T I O N S 
FEDERAL SERVICE LABOR-MANAGEMENT RELATIONS 
SEC. 701. So much of subpart F of part I I I of title 5, United States 
Code, as precedes subchapter I I of chapter 71 thereof is amended to 
read as follows: 
"Subpart F—^Labor-Management and Employee 
Relations 
"CHAPTER 
71—LABOR-MANAGEMENT 
RELATIONS 
"SUBCHAPTER I—GENERAL PROVISIONS 
"Sec. 
"7101. Findings and purpose. 
"7102. Employees' rights. 
"7103. Definitions; application. 
•" 
"7104. Federal Labor Relations Authority. 
"7105. Powers and duties of the Authority. 
,; 
"7106. Management rights. 
"SUBCHAPTER II—RIGHTS AND DUTIES OP AGENCIES AND 
LABOR ORGANIZATIONS 
"Sec. 
"7111. Exclusive recognition of labor organizations. 
"7112. Determination of appropriate units for labor organization representation. 
"7113. National consultation rights. 
"7114. Representation rights and duties. 
"7115. Allotments to representatives. 
"7116. Unfair labor practices. 
"7117. Duty to bargain in good faith; compelling need; duty to consult 
"7118. Prevention of unfair labor practices. 
"7119. Negotiation impasses; Federal Service Impasses Panel. 
"7120. Standards of conduct for labor organizations. 
"SUBCHAPTER III—GRIEVANCES, APPEALS, AND REVIEW 
"Sec. 
"7121. Grievance procedures. 
^''^ 
"7122. Exceptions to arbitral awards. 
"7123. Judicial review; enforcement. 
' 
92 STAT. 1192 
PUBLIC LAW 95-454—OCT. 13, 1978 
"SUBCHAPTER IV—ADMINISTRATIVE AND OTHER PROVISIONS 
"Sec. 
"7131. Official time. 
"7132. Subpenas. 
i.' ^ ? . j . 
i T;J :• 'i 
"7133. Compilation and publication of data. 
"7134. Regulations. 
"7135. Continuation of existing laws, recognitions, agreements, and procedures. 
"SUBCHAPTER I—GENERAL PROVISIONS 
5 use 7101. 
«§ 7101. Findings and purpose 
"(a) The Congress finds that— 
"(1) experience in both private and public employment indi-
^ 
cates that the statutory protection of the right of employees to 
,^, . organize, bargain collectively, and participate through labor 
' ^ organizations of their own choosing in decisions which alffect 
them— 
" (A) safeguards the public interest, 
"(B) contributes to the effective conduct of public business, 
and 
"(C) facilitates and encourages the amicable settlements of 
disputes between employees and their employers involving 
conditions of employment; and 
"(2) the public interest demands the highest standards of 
employee performance and the continued development and 
implementation of modern and progressive work practices to 
facilitate and improve employee performance and the efficient 
accomplishment of the operations of the Government. 
Therefore, labor organizations and collective bargaining in the civil 
service are in the public interest. 
"(b) It is the purpose of this chapter to prescribe certain rights and 
obligations of the employees of the Federal Government and to estab-
lish procedures which are designed to meet the special requirements 
and needs of the Government. The provisions of this chapter should be 
interpreted in a manner consistent with the requirement of an effective 
and efficient Government. 
5USC7102. 
«§7102. Employees'rights 
"Each employee shall have the right to form, join, or assist any labor 
organization, or to refrain from any such activity, freely and without 
fear of penalty or reprisal, and each employee shall be protected in the 
exercise of such right. Except as otherwise provided under this chapter, 
such right includes the right— 
"(1) to act for a labor organization in the capacity of a repre-
sentative and the right, in that capacity, to present the views of 
the labor organization to heads of agencies and other officials of 
the executive branch of the Government, the Congress, or other 
appropriate authorities, and 
"(2) to engage in collective bargaining with respect to condi-
tions of employment through representatives chosen by employees 
under this chapter. 
5 use 7103. 
"§7103. Definitions; application 
- 
.,, 
. 
" (a) For the purpose of this chapter— 
"(1) 'person' means an individual, labor organization, or 
agency; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1193 
" (2) 'employee' means an individual— 
" ^ 
A^ employed in an agency; or 
"(B) whose employment in an agency has ceased because of 
any unfair labor practice under section 7116 of this title 
and who has not obtained any other regular and substantially 
equivalent employment, as determined under regulations pre-
scribed hy the Federal Labor Relations Authority; 
but does not mclude— 
"(i) an alien or noncitizen of the United States who 
occupies a position outside the United States; 
. 
" (ii) a member of the uniformed services; 
"(iii) a supervisor or a management official; 
"(iv) an officer or employee in the Foreign Service of the 
United States employed in the Department of State, the 
Agency for International Development, or the International 
Communication Agency; or 
"(v) any person who participates in a strike in violation 
of section 7311 of this title; 
5 USC 7311. 
"(3) 'agency' means an Executive agency (including a nonap-
propriated fund instrumentality described in section 2105(c) 
of this title and the Veterans' Canteen Service, Veterans' Admin- 
5 USC 2105. 
istration), the Library of Congress, and the Government Printing 
Office, but does not include— 
"(A) the General Accounting Office; 
, 
"(B) the Federal Bureau of Investigation; 
"(C) the General Intelligence Agency; 
"(D) the National Security Agency; 
"(E) the Tennessee Valley Authority; 
"(F) the Federal Labor Relations Authority; 
or 
"(G) the Federal Service Impasses Panel; 
"(4) 'labor organization' means an organization composed in 
whole or in part of employees, in which employees participate 
and pay dues, and which has as a purpose the dealing with an 
agency concerning grievances and conditions of employment, but 
does not include— 
"(A) an organization which, by its constitution, bylaws, 
tacit agreement among its members, or otherwise, denies 
membership because of race, color, creed, national origin, sex, 
age, preferential or nonpreferential civil service status, politi-
cal affiliation, marital status, or handicapping condition; 
"(B) an organization which advocates the overthrow of 
the constitutional form of government of the United States; 
" (C) an organization sponsored by an agency; or 
"(D) an or^nization which participates in the conduct 
of a strike agamst the Government or any agency thereof or 
imposes a duty or obligation to conduct, assist, or participate 
'
• - • - = 
in such a strike; 
"(5) 'dues' means dues, fees, and assessments; 
"(6) 'Authority'means the Federal Labor Relations Authority 
described in section 7104(a) of this title; 
"(7) 'Panel' means the Federal Service Impasses Panel de-
scribed in section 7119 (c) of this title; 
"(8) 'collective bargaining agreement' means an agreement 
entered into as a result of collective bargaining pursuant to the 
provisions of this chapter; 
92 STAT. 1194 
PUBLIC LAW 95-454—OCT. 13, 1978 
"(9) 'grievance' means any complaint— 
"(A) by any employee concerning any matter relating to 
the employment of the employee; 
"(B) by any labor organization concerning any matter 
relating to the employment of any employee; or 
"(C) by any employee, labor organization, or agency con-
cerning— 
"(i) the effect or interpretation, or a claim of breach, 
< I.. 
of a collective bargaining agreement; or-
"(ii) any claimed violation, misinterpretation, or mis-
application of any law, rule, or regulation affecting con-
ditions of employment; 
"(10) 'supervisor' means an individual employed by an agency 
having authority in the interest of the agency to hire, direct, 
assign, promote, reward, transfer, furlough, layoff, recall, sus-
pend, discipline, or remove employees, to adjust their grievances, 
or to effectively recommend such action, if the exercise of the 
v?r.^"' in"' P 
authority is not merely routine or clerical in nature but requires 
the consistent exercise of independent judgment, except that, 
with respect to any unit which includes firefighters or nurses, the 
term 'supervisor' includes only those individuals who devote a 
preponderance of their employment time to exercising such 
authority; 
"(11) 'management official' means an individual employed by 
an agency in a position the duties and responsibilities of which 
require or authorize the individual to formulate, determine, or 
influence the policies of the agency ; 
"(12) 'collective bargaining' means the performance of the 
mutual obligation of the representative of an agency and the 
exclusive representative of employees in an appropriate unit in 
the agency to meet at reasonable times and to consult and bargain 
in a good-faith effort to reach agreement with respect to the 
* 
conditions of employment affecting such employees and to exe-
cute, if requested by either party, a written document incorpo-
rating any collective bargaining agreement reached, but the 
obligation referred to in this paragraph does not compel either 
party to agree to a proposal or to make a concession; 
"(13) 'confidential employee' means an employee who acts in 
a confidential capacity with respect to an individual who formu-
lates or effectuates management policies in the field of labor-
management relations; 
"(14) 'conditions of employment' means personnel policies, 
practices, and matters, whether established by rule, regulation, 
or otherwise, affecting working conditions, except that such term 
does not include policies, practices, and matters— 
"(A) relating to political activities prohibited under sub-
5 use 7321. 
chapter III of chapter 73 of this title; 
"(B) relating to the classification of any position; or 
"(C) to the extent such matters are specifically provided 
for by Federal statute : 
"(15) 'professional employee'means— 
*'• 
"(A) an employee engaged in the performance of Avork— 
"(i) requiring knowledge of an advanced type in 
': 
a field of science or learning customarily acquired by a 
0 
prolonged course of specialized intellectual instruction 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1195 
and study in an institution of higher learning or a hospi-
. . 
tal (as distinguished from knowledge acquired by a gen-
eral academic education, or from an apprenticeship, or 
from training in the performance of routine mental, 
. 
., 
manual, mechanical, or ph;7sical activities); 
"(ii) requiring the consistent exercise of discretion 
and judgment in its performance; 
"(iii) which is predominantly intellectual and varied 
in character (as distinguished from routine mental, man-
ual, mechanical, or physical work); and 
"(iv) which is of such character that the output pro-
duced or the result accomplished by such work cannot 
be standardized in relation to a given period of time; or 
"(B) an employee who has completed the courses of special-
ized intellectual instruction and study described in subpara-
graph (A) (i) of this paragraph and is performing related 
work under appropriate direction or guidance to qualify the 
employee as a professional employee described in subpara-
graph (A) of this paragraph; 
"(16) 'exclusive representative' means any labor organization 
which— 
i 
" (A) is certified as the exclusive representative of employ-
ees in an appropriate unit pursuant to section 7111 of this 
title; or 
"(B) was recognized by an agency immediately before the 
effective date of this chapter as the exclusive representative 
of employees in an appropriate unit— 
"(i) on the basis of an election, or 
"(ii) on any basis other than an election, 
and continues to be so recognized in accordance with the pro-
visions of this chapter; 
" (17) 'firefighter' means any employee engaged in the perform-
ance of work directly connected with the control and extinguish-
ment of fires or the maintenance and use of firefighting apparatus 
and equipment; and 
"(18) 'United States' means the 50 States, the District of 
Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin 
Islands, the Trust Territory of the Pacific Islands, and any terri-
tory or possession of the United States. 
"(b) (1) The President may issue an order excluding any agency 
or subdivision thereof from coverage under this chapter if the Presi-
dent determines that— 
"(A) the agency or subdivision has as a primary function 
intelligence, counterintelligence, investigative, or national security 
work, and 
"(B) the provisions of this chapter cannot be applied to that 
agency or subdivision in a manner consistent with national security 
requirements and considerations. 
"(2) The President may issue an order suspending any provision 
of this chapter with respect to any agency, installation, or activity order, 
located outside the 50 States and the District of Columbia, if the 
President determines that the suspension is necessary in the interest 
of national security. 
Presidential 
order. 
Presidential 
39-194 O—80—pt. 1 
79 : QL3 
92 STAT. 1196 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 7104. 
«§ 7104. Federal Labor Relations Authority 
"(a) The Federal Labor Relations Authority is composed of three 
members, not more than 2 of whom may be adherents of the same 
political party. No member shall engage in any other business or 
employment or hold another office or position in the Government of the 
United States except as otherwise provided by law. 
"(b) Members of the Authority shall be appointed by the President 
by and with the advice and consent of the Senate, and may be removed 
by the President only upon notice and hearing and only for inefficiency, 
neglect of duty, or malfeasance in office. The President shall designate 
one member to serve as Chairman of the Authority. 
"(c)(1) One of the original members of the Authority shall be 
appointed for a term of 1 year, one for a term of 3 years, and the 
Chairman for a term of 5 yeais. Thereafter, each member shall be 
appointed for a term of 5 years. 
"(2) Notwithstanding paragraph (1) of this subsection, the term 
of any member shall not expire before the earlier of— 
"(A) the date on which the member's successor takes office, or 
"(B) the last day of the Congress beginning after the date on 
which the member's term of office would (but for this subpara-
graph) expire. 
An individual chosen to fill a vacancy shall be appointed for the 
unexpired term of the member replaced. 
"(d) A vacancy in the Authority shall not impair the right of the 
remaining members to exercise all of the powers of the Authority. 
Report to 
"(e) The Authority shall make an annual report to the President 
President. 
for ti'ansmittal to the Congress which shall include information as 
to the cases it has heard and the decisions it has rendered. 
"(f) (1) The General Counsel of the Authority shall be appointed 
by the President, by and with the advice and consent of the Senate, 
for a term of 5 years. The General Counsel may be removed at any time 
by the President. The General Counsel shall hold no other office or 
position in the Government of the United States except as provided by 
Jaw. 
"(2) The General Counsel may— 
"(A) investigate alleged unfair labor practices under this 
chapter, 
"(B) file and prosecute complaints under this chapter, and 
"(C) exercise such other powers of the Authority as the 
U'Ur.ih.-y^'^ ' 
Authority may prescribe. 
, 
u^g^ rpjjg General Counsel shall have direct authority over, and 
lesponsibility for, all employees in the office of General Counsel, 
including employees of the General Counsel in the regional offices of 
the Authority. 
5 use 7105. 
«§ 7105. Powers and duties of the Authority 
' 
"(a)(1) The Authority shall provide leadership in establishing 
policies and guidance relating to matters under this chapter, and, 
. . . 
except as otherwise provided, shall be responsible for carrying out 
i- T ;! 
^j^^ purpose of this chapter. 
" (2) The Authority shall, to the extent provided in this chapter and 
in accordance with regulations prescribed by the Authority— 
"(A) determine the appropriateness of units for labor orga-
nization representation under section 7112 of this title; 
"(B) supervise or conduct elections to determine whether a 
labor organization has been selected as an exclusive representative 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1197 
by a majority of the employees in an appropriate unit and other-
I 
wise administer the provisions of section 7111 of this title relating 
to the according of exclusive recognition to labor organizations; 
"(C) prescribe criteria and resolve issues relating to the grant-
ing of national consultation rights under section 7113 of this title; 
"(D) prescribe criteria and resolve issues relating to deter-
mining compelling need for agency rules or regulations under 
section 7117(b) of this title; 
"(E) resolves issues relating to the duty to bargain in good 
faith under section 7117(c) of this title; 
"(F) prescribe criteria relating to the granting of consultation 
' 
^' 
rights with respect to conditions of employment under section 
7117(d) of this title; 
" (G) conduct hearings and resolve complaints of unfair labor Hearings, 
practices under section 7118 of this title; 
"(H) resolve exceptions to arbitrator's awards under section 
7122of this title; and 
"(I) take such other actions as are necessary and appropriate 
to effectively administer the provisions of this chapter. 
"(b) The Authority shall adopt an official seal which shall be 
judicially noticed. 
"(c) The principal office of the Authority shall be in or about the 
District of Columbia, but the Authority may meet and exercise any 
or all of its powers at any time or place. Except as otherwise expressly 
provided by law, the Authority may, by one or more of its members 
or by such agents as it may designate, make any appropriate inquiry 
necessary to carry out its duties wherever persons subject to this chap-
ter are located. Any member who participates in the inquiry shall not 
be disqualified from later participating in a decision of the Authority 
in any case relating to the inquiry. 
,- r •
„
^ 
"(d) The Authority shall appoint an Executive Director and such 
regional directors, administrative law judges under section 3105 of 
this title, and other individuals as it may from time to time find neces- 5 USC 3105. 
sary for the proper performance of its functions. The Authority may 
delegate to officers and employees appointed under this subsection 
authority to perform such duties and make such expenditures as may 
be necessary. 
"(e)(1) The Authority may delegate to any regional director its 
authority under this chapter— 
" (A) to determine whether a group of employees is an appro-
priate unit; 
"(B) to conduct investigations and to provide for hearings; 
"(C) to determine whether a question of representation exists 
and to direct an election; and 
"(D) to supervise or conduct secret ballot elections and certify 
the results thereof. 
"(2) The Authority may delegate to any administrative law judge 
appointed under subsection (d) of this section its authority under 
section 7118 of this title to determine whether any person has engaged 
in or is engaging in an unfair labor practice. 
"(f) If the Authority delegates any authority to any regional direc-
tor or administrative law judge to take any action pursuant to subsec-
tion (e) of this section, the Authority may, upon application by any 
interested person filed within 60 days after the date of the action, 
review such action, but the review shall not, unless specifically ordered 
by the Authority, operate as a stay of action. The Authority may 
92 STAT. 1198 
PUBLIC LAW 95-454^0CT. 13, 1978 
affirm, modify, or reverse any action reviewed under this subsection. 
If the Authority does not undertake to grant review of the action 
under this subsection within 60 days after the later of— 
" (1) the date of the action; or 
"(2) the date of the filing of any application under this sub-
section for review of the action; 
the action shall become the action of the Authority at the end of such 
60-day period. 
"(g) In order to carry out its functions under this chapter, the 
Authority may— 
Hearings. 
"(1) hold hearings ; 
Administer oaths. 
"(2) administer oaths, take the testimony or deposition of any 
person under oath, and issue subpenas as provided in section 7132 
.Ai-nttM , 
of this title; and 
"(3) may require an agency or a labor organization to cease 
and desist from violations of this chapter and require it to take 
any remedial action it considers appropriate to carry out the 
golicies of this chapter. 
^ ) Except as provided in section 518 of title 28, relating to litiga-
tion before the Supreme Court, attorneys designated by the Authority 
may appear for the Authority and represent the Authority in any 
civil action brought in connection with any function carried out by 
the Authority pursuant to this title or as otherwise authorized by law. 
"(i) In the exercise of the functions of the Authority under this 
title, the Authority may request from the Director of the Office of 
Personnel Management an advisory opinion concerning the proper 
interpretation of rules, regulations, or policy directives issued by the 
Office of Personnel Management in connection with any matter before 
the Authority. 
5 use 7106. 
«§ 7106. Management rights 
"(a) Subject to subsection (b) of this section, nothing in this 
;-,;i.^: , 
chapter shall affect the authority of any management official of any 
agency— 
"(1) to determine the mission, budget, organization, number 
of employees, and internal security practices of the agency; and 
"(2) in accordance with applicable laws— 
"(A) to hire, assign, direct, layoff, and retain employees 
in the agency, or to suspend, remove, reduce in grade or pay, 
„ , 
or take other disciplinary action against such employees; 
"(B) to assign work, to make determinations with respect 
to contracting out, and to determine the personnel by which 
agency operations shall be conducted; 
"(C) with respect to filling positions, to make selections 
for appointments from— 
"(i) among properly ranked and certified candidates 
for promotion; or 
" (ii) any other appropriate source; and 
"(D) to take whatever actions may be necessary to carry 
out the agency mission during emergencies. 
"(b) Nothing in this section shall preclude any agency and any 
labor organization from negotiating— 
"(1) at the election of the agency, on the numbers, types, and 
grades of employees or positions assigned to any organizational 
subdivision, work project, or tour of duty, or on the technology, 
methods, and means of performing work; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1199 
"(2) procedures which management officials of the agency will 
observe in exercising any authority under this section; or 
" (3) appropriate arrangements for employees adversely affected 
by the exercise of any authority under this section by such man-
agement officials. 
"SUBCHAPTEK II—RIGHTS AND DUTIES OF AGENCIES 
AND LABOR ORGANIZATIONS 
"§ 7111. Exclusive recognition of labor organizations 
5 USC 7lii. 
" (a) An agency shall accord exclusive recognition to a labor organi-
zation if the organization has been selected as the representative, in a 
secret ballot election, by a majority of the employees in an appropriate 
unit who cast valid ballots in the election. 
"(b) If a petition is filed with the Authority— 
Petition. 
"(1) by any person alleging— 
"(A) in the case of an appropriate unit for which there is 
no exclusive representative, that 30 percent of the employees 
in the appropriate unit wish to be represented for the purpose 
of collective bargaining by an exclusive representative, or 
"(B) in the case of an appropriate unit for which there is 
an exclusive representative, that 30 percent of the employees 
in the unit allege that the exclusive representative is no longer 
the representative of the majority of the employees in the 
unit; or 
"(2) by any person seeking clarification of, or an amendment 
to, a certification then in effect or a matter relating to representa-
tion; 
the Authority shall investigate the petition, and if it has reasonable Hearing, 
cause to believe that a question of representation exists, it shall provide 
an opportunity for a hearing (for which a transcript shall be kept) 
after reasonable notice. If the Authority finds on the record of the Election, 
hearing that a question of representation exists, the Authority shall 
supervise or conduct an election on the question by secret ballot and 
shall certify the results thereof. An election under this subsection shall 
not be conducted in any appropriate unit or in any subdivision thereof 
within which, in the preceding 12 calendar months, a valid election 
under this subsection has been held. 
"(c) A labor organization which— 
1 
" (1) has been designated by at least 10 percent of the employees 
in the unit specified in any petition filed pursuant to subsection 
(b) of this section; 
" (2) has submitted a valid copy of a current or recently expired 
collective bargaining agreement for the unit; or 
"(3) has submitted other evidence that it is the exclusive rep-
resentative of the employees involved; 
may intervene with respect to a petition filed pursuant to subsection 
(b) of this section and shall be placed on the ballot of any election 
imder such subsection (b) with respect to the petition. 
"(d) The Authority shall determine who is eligible to vote in any 
election under this section and shall establish rules goveminar any such 
election, which shall include rules allowing empoyees eligible to vote 
the opportunity to choose— 
"(1) from labor organizations on the ballot, that labor organi- 
.liiU 
a 
nation which the employees wish to have represent them; or 
92 STAT. 1200 
PUBLIC LAW 95-454—OCT. 13, 1978 
" (2) not to be represented by a labor organization. 
In any election in which no choice on the ballot receives a majority of 
the votes cast, a runoff election shall be conducted between the two 
choices receiving the highest number of votes. A labor organization 
which receives the majority of the votes cast in an election shall be 
certified by the Authority as the exclusive representative. 
"(e) A labor organization seeking exclusive recognition shall submit 
to the Authority and the agency involved a roster of its officers and 
representatives, a copy of its constitution and bylaws, and a statement 
JAlt ?'<:} fi of its objectives. 
"(f) 
Exclusive recognition shall not be accorded to a labor 
organization— 
... 
"(1) if the Authority determines that the labor organization 
is subject to corrupt influences or influences opposed to democratic 
•;, ,t,«/| 
principles; 
"(2) in the case of a petition filed pursuant to subsection 
(b) (1) (A) of this section, if there is not credible evidence that 
at least 30 percent of the employees in the unit specified in the peti-
tion wish to be represented for the purpose of collective bargain-
ing by the labor organization seeking exclusive recognition; 
" (3) if there is then in effect a lawful written collective bargain-
ing agreement between the agency involved and an exclusive rep-
resentative (other than the labor organization seeking exclusive 
recognition) covering any employees included in the unit speci-
fied in the petition, unless— 
" (A) the collective bargaining agreement has been in effect 
for more than 3 years, or 
" (B) the petition for exclusive recognition is filed not more 
sixit'sH 
than 105 days and not less than 60 days before the expiration 
; 
date of the collective bargaining agreement; or 
"(4) if the Authority has, within the previous 12 calendar 
(.rj..-!-{, 
months, conducted a secret ballot election for the unit described 
in any petition under this section and in such election a majority 
of the employees voting chose a labor organization for certification 
as the unit's exclusive representative. 
" (g) Nothing in this section shall be construed to prohibit the waiv-
ing of hearings by stipulation for the purpose of a consent election in 
conformity with regulations and rules or decisions of the Authority. 
5 use 7112. 
"§7112. Determination of appropriate units for labor organiza-
tion representation 
"(a) (1) The Authority shall determine the appropriateness of any 
unit. The Authority shall determine in each case whether, in order to 
ensure employees the fullest freedom in exercising the rights guaran-
teed under this chapter, the appropriate unit should be established on 
an agency, plant, installation, functional, or other basis and shall 
determine any unit to be an appropriate unit only if the determination 
will ensure a clear and identifiable community of interest among the 
employees in the unit and will promote effective dealings with, and 
efficiency of the operations of, the agency involved. 
"(b) A unit shall not be determined to be appropriate under this 
section solely on the basis of the extent to which employees in the pro-
posed unit have organized, nor shall a unit be determined to be appro-
priate if it includes— 
Post, 1215. 
"(1) except as provided under section 7135(a) (2) of this title, 
any management official or supervisor ; 
" (2) a confidential employee; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1201 
"(3) an employee engaged in personnel work in other than a 
purely clerical capacity; 
" (4) an employee engaged in administering the provisions of 
this chapter; 
" (5) both professional employees and other employees, unless a 
majority of the professional employees vote for inclusion in the 
unit; 
" (6) any employee engaged in intelligence, counterintelligence, 
investigative, or security work which directly affects national 
security; or 
" (7) any employee primarily engaged in investigation or audit 
functions relating to the work of individuals employed by an 
agency whose duties directly affect the internal security of the 
agency, but only if the functions are undertaken to ensure that 
the duties are discharged honestly and with integrity. 
"(c) Any employee who is engaged in administering any provision 
of law relating to labor-management relations may not be represented 
by a labor organization— 
" (1) which represents other individuals to whom such provision 
applies; or 
"(2) which is affiliated directly or indirectly with an organiza-
tion which represents other individuals to whom such provision 
applies. 
"(d) Two or more units which are in an agency and for which a 
labor organization is the exclusive representative may, upon petition 
by the agency or labor organization, be consolidated with or without 
an election into a single larger unit if the Authority considers the 
larger unit to be appropriate. The Authority shall certify the labor 
organization as the exclusive representative of the new larger unit. 
"§ 7113. National consultation rights 
5 USC 7113. 
"(a) (t) If, in connection with any agency, no labor organization 
has been accorded exclusive recognition on an agency basis, a labor 
organization which is the exclusive representative of a substantial num-
ber of the employees of the agency, as determined in accordance with 
criteria prescribed by the Authority, shall be granted national consul-
tation rights by the agency. National consultation rights shall termi-
nate when the labor organization no longer meets the criteria pre-
scribed by the Authority. Any issue relating to any labor organization's 
eligibility for, or continuation of, national consultation rights shall 
be subject to determination by the Authority. 
"(b) (1) Any labor organization having national consultation rights 
in connection with any agency under subsection (a) of this section 
shall— 
"(A) be informed of any substantive change in conditions of 
employment proposed by the agency, and 
"(B) be permitted reasonable time to present its views and rec-
ommendations regarding the changes. 
"(2) If any views or recommendations are presented under para-
graph (1) of this subsection to an agency by any labor organization— 
"(A) the agency shall consider the views or recommendations 
before taking final action on any matter with respect to which the 
views or recommendations are presented; and 
"(B) the agency shall provide the labor organization a written 
statement of the reasons for taking the final action. 
"(c) Nothing in this section shall be construed to limit the right 
of any agency or exclusive representative to engage in collective 
bargaining. 
92 STAT. 1202 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 7114. 
"§7114. Representation rights and duties 
* 
"(a)(1) A labor organization which has been accorded exclusive 
recognition is the exclusive representative of the employees in the unit 
it represents and is entitled to act for, and negotiate collective bargain-
ing agreements covering, all employees in the unit. An exclusive repre-
sentative is responsible for representing the interests of all employees 
in the unit it represents without discrimination and without regard to 
labor organization membership. 
" (2) An exclusive representative of an appropriate unit in an agency 
shall be given the opportunity to be represented at— 
" (A) any formal discussion between one or more representatives 
of the agency and one or more employees in the unit or their 
representatives concerning any grievance or any personnel policy 
or practices or other general condition of employment; or 
"(B) any examination of an employee in the unit by a repre-
sentative of the agency in connection with an investigation if— 
" (i) the employee reasonably believes that the examination 
may result in disciplinary action against the employee; and 
" (ii) the employee requests representation. 
" (3) Each agency shall annually inform its employees of their rights 
under paragraph (2) (B) of this subsection. 
"(4) Any agency and any exclusive representative in any appro-
priate unit in the agency, through appropriate representatives, shall 
meet and negotiate in good faith for the purposes of arriving at a 
collective bargaining agreement. In addition, the agency and the ex-
clusive representative may determine appropriate techniques, consist-
ent with the provisions of section 7119 of this title, to assist in any 
negotiation. 
"(5) The rights of an exclusive representative under the provisions 
..'UC j- 
of this subsection shall not be construed to preclude an employee 
from— 
"(A) being represented by an attorney or other representative, 
other than the exclusive representative, of the employee's own 
choosing in any grievance or appeal action; or 
"(B) exercising grievance or appellate rights established by 
law, rule, or regulation; 
except in the case of grievance or appeal procedures negotiated under 
this chapter. 
"(b) The duty of an agency and an exclusive representative to 
negotiate in good faith under subsection (a) of this section shall include 
the obligation— 
"(1) to approach the negotiations with a sincere resolve to 
reach a collective bargaining agreement; 
"(2) to be represented at the negotiations by duly authorized 
representatives prepared to discuss and negotiate on any condi-
tion of employment; 
"(3) to meet at reasonable times and convenient places as fre-
quently as may be necessary, and to avoid unnecessary delays; 
"(4) in the case of an agency, to furnish to the exclusive rep-
resentative involved, or its authorized representative, upon request 
and, to the extent not prohibited by law, data— 
"(A) which is normally maintained by the agency in the 
,. . 
regular course of business; 
"(B) which is reasonably available and necessary for full 
and proper discussion, understanding, and negotiation of sub-
\ 
jects within the scope of collective bargaining; and 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1203 
"(C) which does not constitute guidance, advice, counsel, 
'' 
-'<•>< 
.
< !• 
or training provided for management officials or supervisors, 
relating to collective bargaining; and 
"(5) if agreement is reached, to execute on the request of any 
party to the negotiation a written document embodying the agreed 
terms, and to take such steps as are necessary to implement such 
agreement. 
"(c) (1) An agreement between any agency and an exclusive rep-
resentative shall be subject to approval by the head of the agency. 
"(2) The head of the agency shall approve the agreement within 
30 days from the date the agreement is executed if the agreement is 
in accordance with the provisions of this chapter and any other appli-
cable law, rule, or regulation (unless the agency has granted an excep-
tion to the provision). 
"(3) If the head of the agency does not approve or disapprove the 
agreement within the 30-day period, the agreement shall take effect 
and shall be binding on the agency and the exclusive representative 
subject to the provisions of this chapter and any other applicable law, 
rule, or regulation. 
"(4) A local agreement subject to a national or other controlling 
agreement at a higher level shall be approved under the procedures of 
the controlling agreement or, if none, under regulations prescribed by 
^ • 
; -• ^ 
the agency. 
"§ 7115. Allotments to representatives 
5 U
S
C 7115. 
"(a) If an agency has received from an employee in an appropriate 
unit a written assignment which authorizes the agency to deduct from 
the pay of the employee amounts for the payment of regular and 
periodic dues of the exclusive representative of the unit, the agency 
shall honor the assignment and make an appropriate allotment pur-
suant to the assignment. Any such allotment shall be made at no cost 
to the exclusive representative or the employee. Except as provided 
under subsection (b) of this section, any such assignment may not be 
revoked for a period of 1 year. 
"(b) An allotment under subsection (a) of this section for the 
deduction of dues with respect to any employee shall terminate when— 
"(1) the agreement between the agency and the exclusive rep-
resentative involved ceases to be applicable to the employee; or 
"(2) the employee is suspended or expelled from membership 
in the exclusive representative. 
"(c) (1) Subject to paragraph (2) of this subsection, if a petition 
has been filed with the Authority by a labor organization alleging that 
10 percent of the employees in an appropriate unit in an agency have 
membership in the labor organization, the Authority shall investigate 
the petition to determine its validity. Upon certification by the Author-
ity of the validity of the petition, the agency shall have a duty to nego-
tiate with the labor organization solely concerning the deduction of 
dues of the labor organization from the pay of the members of the 
labor organization who are employees in the unit and who make a vol-
untary allotment for such purpose. 
"(2) (A) The provisions of paragraph (1) of this subsection shall 
not apply in the case of any appropriate unit for which there is an 
exclusive representative. 
"(B) Any agreement under paragraph (1) of this subsection between 
a labor organization and an agency with respect to an appropriate unit 
shall be null and void upon the certification of an exclusive representa-
tive of the unit. 
92 STAT. 1204 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 7116. 
«§ 7116. Unfair labor practices 
"(a) For the purpose of this chapter, it shall be an unfair labor 
practice for an agency— 
"(1) to interfere with, restrain, or coerce any employee in the 
exercise by the employee of any right under this chapter; 
"(2) to encourage or discourage membership in any labor 
organization by discrimination in connection with hiring, tenure, 
promotion, or other conditions of employment; 
"(3) to sponsor, control, or otherwise assist any labor organiza-
tion, other than to furnish, upon request, customary and routine 
services and facilities if the services and facilities are also fur-
nished on an impartial basis to other labor organizations having 
equivalent status; 
'' (4) to discipline or otherwise discriminate against an employee 
because the employee has filed a complaint, affidavit, or petition, or 
has given any information or testimony under this chapter; 
"(5) to refuse to consult or negotiate in good faith with a 
labor organization as required by this chapter; 
"(6) to fail or refuse to cooperate in impasse procedures and 
impasse decisions as required by this chapter; 
"(7) to enforce any rule or regulation (other than a rule or 
Ante, p. 1114. 
regulation implementing section 2302 of this title) which is in 
conflict with any applicable collective bargaining agreement if 
: I iT ,)> J ] 
the agreement was in effect before the date the rule or regulation 
was prescribed; or 
"(8) to otherwise fail or refuse to comply with any provision 
of this chapter. 
"(b) For the purpose of this chapter, it shall be an unfair labor 
practice for a labor organization— 
"(1) to interfere with, restrain, or coerce any employee in the 
exercise by the employee of any right under this chapter; 
"(2) to cause or attempt to cause an agency to discriminate 
against any employee in the exercise by the employee of any right 
under this chapter; 
"(3) to coerce, discipline, fine, or attempt to coerce a member 
of the labor organization as punishment, reprisal, or for the pur-
pose of hindering or impeding the member's work performance 
or productivity as an employee or the discharge of the member's 
duties as an employee; 
"(4) to discriminate against an employee with regard to the 
terms or conditions of membership in the labor organization on 
the basis of race, color, creed, national origin, sex, age, preferential 
or nonpreferential civil service status, political affiliation, marital 
sta.tus, or handicapping condition; 
"(5) to refuse to consult or negotiate in good faith with an 
agency as required by this chapter; 
"(6) to fail or refuse to cooperate in impasse procedures and 
impasse decisions as required by this chapter; 
" (7) (A) to call, or participate in, a strike, work stoppage, or 
slowdown, or picketing of an agency in a labor-management 
dispute if such picketing interferes with an agency's operations, 
or 
"(B) to condone any activity described in subparagraph (A) 
of this paragraph by failing to take action to prevent or stop 
such activity; or 
"(8) to other\vise fail or refuse to comply with any provision 
of this chapter. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1205 
Nothing in paragraph (7) of this subsection shall result in any infor-
mational picketing which does not interfere with an agency's opera-
tions being considered as an unfair labor practice, 
"(c) For the purpose of this chapter it shall be an unfair labor 
practice for an exclusive representative to deny membership to any 
employee in the appropriate unit represented by such exclusive repre-
sentative except for failure— 
"(1) to meet reasonable occupational standards uniformly 
required for admission, or 
' '
^ 
" (2) to tender dues uniformly required as a condition of acquir-
ing and retaining membership. 
This subsection does not preclude any labor organization from enforc-
ing discipline in accordance with procedures under its constitution or 
bylaws to the extent consistent with the provisions of this chapter. 
"(d) Issues which can properly be raised under an appe^als pro-
cedure may not be raised as unfair labor practices prohibited under 
this section. Except for matters wherein, under section 7121 (e) and 
(f) of this title, an employee has an option of using the negotiated 
grievance procedure or an appeals procedure, issues which can be 
raised under a grievance procedure may, in the discretion of the 
ao-n-rieved party, be raised under the grievance procedure or as an 
unfair labor practice under this section, but not under both procedures. 
"(e) The expression of any personal view, argument, opinion or the 
making of any statement which— 
"(1) publicizes the fact of a representational election and 
encourages employees to exercise their right to vote in such 
election, 
"(2) corrects the record with respect to any false or misleading 
statement made by any person, or 
"(3) informs employees of the Government's policy relating to 
labor-management relations and representation, 
shall not, if the expression contains no threat of reprisal or force or 
promise of benefit or was not made under coercive conditions, (A) 
constitute an unfair labor practice under any provision of this chapter, 
or (B) constitute grounds for the setting aside of any election con-
ducted under any provisions of this chapter. 
"§ 7117. Duty to bargain in good faith; compelling need; duty to 5 USC 7117. 
consult 
"(a)(1) Subject to paragraph (2) of this subsection, the duty to 
bar<rain in good faith shall, to the extent not inconsistent with any 
Federal law or any Government-wide rule or regulation, extend to 
matters which are the subject of any rule or regulation only if the rule 
or regulation is not a Government-wide rule or regulation. 
"(2) The duty to bargain in good faith shall, to the extent not 
inconsistent with Federal law or any Goverment-wide rule or regula-
tion, extend to matters which are the subject of any agency rule or 
regulation referred to in paragraph (3) of this subsection only if the 
Authority has determined under subsection (b) of this section that no 
compelling need (as determined under regulations prescribed by the 
Authority) exists for the rule or regulation. 
"(3) Paragraph (2) of the subsection applies to any rule or regula-
tion issued by any agency or issued by any primary national subdivi-
sion of such agency, unless an exclusive representative represents an 
appropriate unit including not less than a maiority of the employees in 
the issuing agency or primary national subdivision, as the case may 
be, to whom the rule or regulation is applicable. 
92 STAT. 1206 
PUBLIC LAW 95-454—OCT. 13, 1978 
"(b) (1) In any case of collective bargaining in which an exclusive 
representative alleges that no compelling need exists for any rule or 
regulation referred to in subsection (a)(3) of this section which is 
then in effect and which governs any matter at issue in such collec-
tive bargaining, the Authority shall determine under paragraph (2) 
of this subsection, in accordance with regulations prescribed by the 
Authority, whether such a compelling need exists. 
"(2) For the purpose of this section, a compelling need shall be 
determined not to exist for any rule or regulation only if— 
"(A) the agency, or primary national subdivision, as the case 
may be, which issued the rule or regulation informs the Authority 
in writing that a compelling need for the rule or regulation does 
not exist; or 
"(B) the Authority determines that a compelling need for a 
rule or regulation does not exist. 
Hearing. 
"(3) A hearing may be held, in the discretion of the Authority, 
before a determination is made under this subsection. If a hearing is 
held, it shall be expedited to the extent practicable and shall not 
include the General Counsel as a party. 
"(4) The agency, or primary national subdivision, as the case may 
be, which issued the rule or regulation shall be a necessary party at 
any hearing under this subsection. 
"(c) (1) Except in any case to which subsection (b) of this section 
applies, if an agency involved in collective bargaining with an exclu-
sive representative alleges that the duty to bargain in good faith does 
not extend to any matter, the exclusive representative may appeal the 
allegation to the Authority in accordance with the provisions of this 
subsection. 
Appeal. 
"(2) The exclusive representative may, on or before the 15th day 
after the date on which the agency first makes the allegation referred 
to in paragraph (1) of this subsection, institute an appeal under this 
subsection by— 
'; 
"(A) filing a petition with the Authority; and 
"(B) furnishing a copy of the petition to the head of the agency. 
Petition. 
"(3) On or before the 30th day after the date of the receipt by the 
head of the agencj^ of the copy of the petition under paragraph (2) (B) 
of this subsection, the agency shall— 
• ''''"' ^ 
" ( ^ ) fil© with the Authority a statement— 
' 
'' > 
"(i) withdrawing the allegation; or 
«
>
i ,: 
"(ii) setting forth in full its reasons supporting the allega-
tion; and 
"(B) furnish a copy of such statement to the exclusive 
representative. 
"(4) On or before the loth day after the date of the receipt by the 
exclusive representative of a copy of a statement under paragraph 
(3) (B) of this subsection, the exclusive representative shall file with 
the Authority its response to the statement. 
"(5) A hearing may be held, in the discretion of the Authority, 
before a determination is made under this subsection. If a hearing is 
held, it shall not include the General Counsel as a party. 
" (6) The Authority shall expedite proceedings under this subsection 
to the extent practicable and shall issue to the exclusive representa-
tive and to the agency a written decision on the allegation and specific 
reasons therefor at the earliest practicable date. 
"(d) (1) A labor organization which is the exclusive representative 
of a substantial number of employees, determined in accordance with 
criteria prescribed by the Authority, shall be granted consultation 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1207 
5 use 7118. 
rights by any agency with respect to any Government-wide rule or reg-
ulation issued by the agency effecting any substantive change in any 
condition of employment. Such consultation rights shall terminate 
when the labor organization no longer meets the criteria prescribed 
by the Authority. Any issue relating to a labor organization's eligibil-
ity for, or continuation of, such consultation rights shall be subject to 
determination by the Authority. 
"(2) A labor organization having consultation rights under para-
graph (1) of this subsection shall— 
"(A) be informed of any substantive change in conditions of 
employment proposed by the agency, and 
"(B) shall be permitted reasonable time to present its views 
and recommendations regarding the changes. 
"(3) If any views or recommendations are presented under para-
graph (2) of this subsection to an agency by any labor organization— 
"(A) the agency shall consider the views or recommendations 
before taking final action on any matter with respect to which the 
views or recommendations are presented; and 
"(B) the agency shall provide the labor organization a written 
statement of the reasons for taking the final action. 
*'§ 7118. Prevention of unfair labor practices 
"(a)(1) If any agency or labor organization is charged by any 
person with having engaged in or engaging in an unfair labor prac-
tice, the General Counsel shall investigate the charge and may issue 
and cause to be served upon the agency or labor organization a com-
plaint. In any case in which the General Counsel does not issue a com-
plaint because the charge fails to state an unfair labor practice, the 
General Counsel shall provide the person making the charge a written 
statement of the reasons for not issuing a complaint. 
"(2) Any complaint under paragraph (1) of this subsection shall Complaint, 
contain a notice— 
"(A) of the charge; 
"(B) that a hearing will be held before the Authority (or any Hearing, 
member thereof or before an individual employed by the 
authority and designated for such purpose) ; and 
"(C) of the time and place fixed for the hearing. 
"(3) The labor organization or agency involved shall have the right 
to file an answer to the original and any amended complaint and to 
appear in person or otherwise and give testimony at the time and place 
fitted in the complaint for the hearing. 
"(4) (A) Except as provided in subparagraph (B) of this para-
graph, no complaint shall be issued based on any alleged unfair labor 
practice which occurred more than 6 months before the filing of the 
charge with the Authority. 
"(B) If the General Counsel determines that the person filing any 
charge was prevented from filing the charge during the 6-month period 
* 
referred to m subparagraph (A) of this paragraph by reason of— 
"(i) any failure of the agency or labor organization against 
which the charge is made to perform a duty owed to the person, 
o r 
•--:•,: 
"(ii) any concealment which prevented discovery of the 
alleged unfair labor practice during the 6-month period, 
the General Counsel may issue a complaint based on the charge if 
the charge was filed during the 6-month period beginning on the day 
of the discovery by the person of the alleged unfair labor practice. 
"(5) The General Counsel may prescribe regulations providing for Regulations. 
SKilfisH 
92 STAT. 1208 
PUBLIC LAW 95-454—OCT. 13, 1978 
Hearing. 
5 use 551. 
Transcript. 
Rules and 
regulations, 
interpretation. 
5 use 7119. 
informal methods by which the alleged unfair labor practice may be 
resolved prior to the issuance of a complaint. 
"(6) The Authority (or any member thereof or any individual 
employed by the Authority and designated for such purpose) shall con-
duct a hearing on the complaint not earlier than 5 days after the date 
on which the complaint is served. In the discretion of the individual 
or individuals conducting the hearing, any person involved may be 
allowed to intervene in the hearing and to present testimony. Any such 
hearing shall, to the extent practicable, be conducted in accordance 
with the provisions of subchapter II of chapter 6 of this title, except 
that the parties shall not be bound by rules of evidence, whether statu-
tory, common law, or adopted by a court. A transcript shall be kept 
of the hearing. After such a hearing the Authority, in its discretion, 
may upon notice receive further evidence or hear argument. 
"(7) If the Authority (or any member thereof or any individual 
employed by the Authority and designated for such purpose) deter-
mines after any hearing on a complaint under paragraph (5) of this 
subsection that the preponderance of the evidence received demon-
strates that the agency or labor organization named in the complaint 
has engaged in or is engaging in an unfair labor practice, then the 
individual or individuals conducting the hearing shall state in Avriting 
their findings of fact and shall issue and cause to be served on the 
agency or labor organization an order— 
"(A) to cease and desist from any such unfair labor practice 
in which the agency or labor organization is engaged; 
"(B) requiring the parties to renegotiate a collective bargain-
ing agreement in accordance with the order of the Authority and 
requiring that the agreement, as amended, be given retroactive 
effect; 
"(C) requiring reinstatement of an employee with backpay in 
accordance with section 5596 of this title; or 
"(D) including any combination of the actions described in sub-
paragraphs (A) through (C) of this paragraph or such other 
action as will carry out the purpose of this chapter. 
If any such order requires reinstatement of an employee with backpay, 
backpay may be required of the agency (as provided in section 5596 
of this title) or of the labor organization, as the case may be, which is 
found to have engaged in the unfair labor practice involved. 
"(8) If the individual or individuals conducting the hearing deter-
mine that the preponderance of the evidence received fails to demon-
strate that the agency or labor organization named in the complaint 
has engaged in or is engaging in an unfair labor practice, the indi-
vidual or individuals shall state in writing their findings of fact and 
shall issue an order dismissing the complaint. 
"(b) In connection with any matter before the Authority in any 
proceeding under this section, the Authority may request, in accord-
ance with the provisions of section 7105(i) of this title, from the 
Director of the Office of Personnel Management an advisory opinion 
concerning the proper interpretation of rules, regulations, or other 
policy directives issued by the Office of Personnel Management. 
"§7119. Negotiation impasses; Federal Service Impasses Panel 
"(a) The Federal Mediation and Conciliation Service shall provide 
services and assistance to agencies and exclusive representatives in the 
resolution of negotiation impasses. The Service shall determine under 
what circumstances and in what manner it shall provide services and 
assistance. ,-,,> „,<•,=,!i^r.r. -,•. «uri-.-.M-, ^-i',.i --.v>••,,> . ^--s:?;;^-
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1209 
"(b) If voluntary arrangements, including the services of the Fed- 
' • "•' 
eral Mediation and Conciliation Service or any other third-party 
mediation, fail to resolve a negotiation impasse— 
"(1) either party may request the Federal Service Impasses 
Panel to consider the matter, or 
"(2) the parties may agree to adopt a procedure for binding 
arbitration of the negotiation impasse, but only if the procedure 
is approved by the Panel. 
"(c)(1) The Federal Service Impasses Panel is an entity within the 
Authority, the function of which is to provide assistance in resolving 
negotiation impasses between agencies and exclusive representatives. 
"(2) The Panel shall be composed of a Chairman and at least six Membership, 
other members, who shall be appointed by the President, solely on the 
basis of fitness to perform the duties and functions involved, from 
among individuals who are familiar with Government operations and 
knowledgeable in labor-management relations. 
"(3) Of the original members of the Panel, 2 members shall be 
appointed for a term of 1 year, 2 members shall be appointed for a term 
of 3 years, and the Chairman and the remaining members shall be 
appointed for a term of 5 years. Thereafter each member shall be 
appointed for a term of 5 years, except that an individual chosen to fill 
a vacancy shall be appointed for the unexpired term of the member 
replaced. Any member of the Panel may be removed by the President. 
"(4) The Panel may appoint an Executive Director and any other 
individuals it may from time to time find necessary for the proper per-
formance of its duties. Each member of the Panel who is not an 
employee (as defined in section 2105 of this title) is entitled to pay at 
a rate equal to the daily equivalent of the maximum annual rate of 
basic pay then currently paid under the General Schedule for each 
day he is engaged in the performance of official business of the Panel, 
including travel time, and is entitled to travel expenses as provided 
under section 5703 of this title. 
"(5) (A) The Panel or its designee shall promptly investigate any Investigation, 
impasse presented to it under subsection (b) of this section. The Panel 
shall consider the impasse and and shall either— 
"(i) recommend to the parties procedures for the resolution of 
the impasse; or 
" (ii) assist the parties in resolving the impasse through what-
ever methods and procedures, including factfinding and recom-
mendations, it may consider appropriate to accomplish the purpose 
of this section. 
< , -s . 
"(B) If the parties do not arrive at a settlement after assistance by 
the Panel under subparagraph (A) of this paragraph, the Panel 
may— 
"(i) hold hearings; 
"(ii) administer oaths, take the testimony or deposition of any 
• 
- • 
person under oath, and issue subpenas as provided in section 
7132 of this title; and 
"(iii) take whatever action is necessary and not inconsistent 
with this chapter to resolve the impasse. 
"(C) Notice of any final action of the Panel under this section shall 
be promptly served upon the parties, and the action shall be binding 
on such parties during the term of the agreement, unless the parties 
ajrree otherwise. 
92 STAT. 1210 
PUBLIC LAW 95-454—OCT. 13, 1978 
5 use 7120. 
I «§ 7120. Standards of conduct for labor organizations 
* ' 
"(a) An agency shall only accord recognition to a labor organiza-
tion that is free from corrupt influences and influences opposed to 
basic democratic principles. Except as provided in subsection (b) of 
this section, an organization is not required to prove that it is free 
from such influences if it is subject to governing requirements adopted 
by the organization or by a national or international labor organiza-
tion or federation of labor organizations with which it is affiliated, 
or in which it participates, containing explicit and detailed provisions 
to which it subscribes calling for— 
"(1) the maintenance of democratic procedures and practi-^es 
qiilai;; !!<;</ 
including provisions for periodic elections to be conducted sub-
ject to recognized safeguards and provisions defining and secur-
ing the right of individual members to participate in the affairs 
of the organization, to receive fair and equal treatment under the 
governing rules of the organization, and to receive fair process 
in disciplinary proceedings; 
"(2) the exclusion from office in the organization of persons 
affiliated with communist or other totalitarian movements and 
persons identified with corrupt influences; 
"(3) the prohibition of business or financial interests on the 
part of organization officers and agents which conflict with their 
duty to the organization and its members; and 
"(4) the maintenance of fiscal integrity in the conduct of the 
affairs of the organization, including provisions for accounting 
and financial controls and regular financial reports or summaries 
to be made available to members. 
"(b) Notwithstanding the fact that a labor organization has 
adopted or subscribed to standards of conduct as provided in subsec-
tion (a) of this section, the organization is required to furnish evi-
dence of its freedom from corrupt influences or influences opposed to 
basic democratic principles if there is reasonable cause to believe that— 
. .,..:,c ' 
"(1) the organization has been suspended or expelled from, or 
is subject to other sanction, by a parent labor organization, or 
federation of organizations with which it had been affiliated, 
because it has demonstrated an unwillingness or inability to com-
ply with governing requirements comparable in purpose to those 
required by subsection (a) of this section; or 
" (2) the organization is in fact subject to influences that would 
preclude recognition under this chapter. 
Filing of reports. 
"(c) A labor organization which has or seeks recognition as a rep-
resentative of employees under this chapter shall file financial and 
other reports with the Assistant Secretary of Labor for Labor Manajre-
ment Relations, provide for bonding of officials and employees of the 
organization, and comply with trusteeship and election standards. 
Regulations. 
"(d) The Assistant Secretary shall prescribe such regulations as are 
necessary to carry out the purposes of this section. Such regulations 
shall conform generally to the principles applied to labor organiza-
tions in the private sector. Complaints of violations of this section 
shall be filed with the Assistant Secretary. In any matter arising 
under this section, the Assistant Secretary may require a labor orga-
nization to cease and desist from violations of this section and require 
it to take such actions as he considers appropriate to carry out the 
policies of this section. 
"(e) This chapter does not authorize participation in the manage-
ment of a labor organization or acting as a representative of a labor 
organization by a management official, a supervisor, or a confidential 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1211 
employee, except as specifically provided in this chapter, or by an 
employee if the participation or activity would result in a conflict or 
apparent conflict of interest or would otherwise be incompatible with 
law or with the official duties of the employee. 
"(f) In the case of any labor organization which by omission or Strike, 
commission has willfully and intentionally, with regard to any strike, 
work stoppage, or slowdown, violated section 7116(b) (7) of this title, 
the Authority shall, upon an appropriate finding by the Authority of 
•'*>•' < 
such violation— 
"(1) revoke the exclusive reco^ition status of the labor orga-
nization, which shall then immediately cease to be legally entitled 
and obligated to represent employees in the unit; or 
"(2) take any other appropriate disciplinary action. 
"SUBCHAPTER III—GRIEVANCES 
"§ 7121. Grievance procedures 
5 USC 7121. 
"(a)(1) Except as provided in paragraph (2) of this subsection, 
any collective bargaining agreement shall provide procedures for the 
settlement of grievances, including questions of arbitrability. Except 
as provided in subsections (d) and (e) of t^is section, the procedures 
shall be the exclusive procedures for resolving grievances which fall 
within its coverage. 
"(2) Any collective bargaining agreement may exclude any matter 
from the application of the grievance procedures which are provided 
for in the agreement. 
"(b) Any negotiated grievance procedure referred to in subsection 
(a) of this section shall— 
"(1) be fair and simple, 
" (2) provide for expeditious processing, and 
" (3) include procedures that— 
"(A) assure an exclusive representative the right, in its 
own behalf or on behalf of any employee in the unit repre-
sented by the exclusive representative, to present and process 
grievances; 
"(B) assure such an employee the right to present a griev-
ance on the employee's own behalf, and assure the exclusive 
representative the right to be present during the grievance 
proceeding; and 
"(C) provide that any grievance not satisfactorily settled 
under the negotiated grievance procedure shall be subject 
to binding arbitration which may be invoked by either the 
exclusive representative or the agency. 
" (c) The preceding subsections of this section shall not apply with 
respect to any grievance concerning— 
"(1) any claimed violation of subchapter III of chapter 73 of 
this title (relating to prohibited political activities); 
5 USC 7321. 
" (2) retirement, life insurance, or health insurance; 
"(3) a suspension or removal under section 7532 of this title; 
"(4) any examination, certification, or appointment; or 
"(5) the classification of any position which does not result in 
the reduction in grade or pay of an employee. 
"(d) An aggrieved employee affected bv a prohibited personnel 
])ractice under section 2302(b) CI) of this title which also falls under Ante, p. 1114. 
the coverage of the negotiated grievance procedure may raise the 
matter under a statutory procedure or the negotiated procedure, but 
not both. An employee shall l)e deemed to have exercised his option 
39-194 O—80—pt. 1 
80 : QL3 
92 STAT. 1212 
PUBLIC LAW 95-454—OCT. 13, 1978 
under this subsection to raise the matter under either a statutory pro-
cedure or the negotiated procedure at such time as the employee timely 
initiates an action under the applicable statutory procedure or timely 
files a grievance in writing, in accordance with the provisions of the 
.•j:!: 
parties' negotiated procedure, whichever event occurs first. Selection 
of the negotiated procedure in no manner prejudices the right of an 
aggrieved employee to request the Merit Systems Protection Board to 
Ante, p. 1140. 
review tlie final decision pursuant to section 7702 of this title in the 
case of any personnel action that could have been appealed to the 
Board, or, where applicable, to request the Equal Employment Oppor-
tunity Commission to review a final decision in any other matter 
involving a complaint of discrimination of the type prohibited by any 
law administered by the Equal Employment Opportunity Commission. 
Ante, p. 1133, 
"(e) (1) Matters covered under sections 4303 and 7512 of this title 
1136- 
which also fall within the coverage of the negotiated grievance proce-
dure may, in the discretion of the aggrieved employee, be raised either 
Ante, p. 1138. 
under the appellate procedures of section 7701 of this title or under 
the negotiated grievance procedure, but not both. Similar matters 
which arise under other personnel systems applicable to employees 
covered by this chapter may, in the discretion of the aggrieved 
employee, be raised either under the appellate procedures, if any, 
applicable to those matters, or under the negotiated grievance proce-
dure, but not both. An employee shall be deemed to have exercised his 
option under this subsection to raise a matter either under the applica-
ble appellate procedures or under the negotiated grievance procedure 
at such time as the employee timely files a notice of appeal under the 
applicable appellate procedures or timely files a grievance in writing 
in accordance with the provisions of the parties' negotiated grievance 
procedure, whichever event occurs first. 
"(2) In matters covered under sections 4303 and 7512 of this title 
which have been raised imder the negotiated grievance procedure in 
accordance with this section, an arbitrator shall be governed by section 
7701 (c) (1) of this title, as applicable. 
"(f) In matters covered under sections 4303 and 7512 of this title 
which have been raised under the negotiated grievance procedure in 
Ante, p. 1143. 
accordance with this section, section 7703 of this title pertaining to 
judicial review shall apply to the award of an arbitrator in the same 
manner and under the same conditions as if the matter had been 
decided by the Board. In matters similar to those covered under sec-
tions 4303 and 7512 of this title which arise under other personnel 
systems and which an aggrieved employee has raised under the nego-
tiated grievance procedure, judicial review of an arbitrator's award 
may be obtained in the same manner and on the same basis as could 
l^e obtained of a final decision in such matters raised under applicable 
appellate procedures. 
. . 
<--, • 
5 use 7122. 
"§ 7122. Exceptions to arbitral awards 
" (a) Either party to arbitration under this chapter may file with the 
Authority an exception to any arbitrator's award pursuant to the 
arbitration (other than an award relating to a matter described in 
section 7121(f) of this title). If upon review the Authority finds that 
the award is deficient— 
P 
"(1) because it is contrary to any law, rule, or regulation; or 
- ^, 
^ ' - ' 
"(2) on other grounds similar to those applied b}^ Federal courts 
£|j!.?l 1
.
S
V
,
' 
in private sector labor-management relations; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1213 
the Authority may take such action and make such recommendations 
concerning the award as it considers necessary, consistent with appli-
cable laws, rules, or regulations. 
"(b) If no exception to an arbitrator's award is filed under subsec-
tion (a) of this section during the 30-day period beginning on the date 
of such award, the award shall be final and binding. An agency shall 
take the actions required by an arbitrator's final award. The award 
may include the payment of backpay (as provided in section 5596 of 
this title). 
"§7123. Judicial review; enforcement 
5 USC 7123. 
"(a) Any person aggrieved by any final order of the Authority 
other than an order under— 
"(1) section 7122 of this title (involving an award by an arbi-
trator), unless the order involves an unfair labor practice under 
section 7118 of this title, or 
"(2) section 7112 of this title (involving an appropriate unit 
determination), 
may, during the 60-day period beginning on the date on which the 
order was issued, institute an action for judicial review of the Author-
ity's order in the United States court of appeals in the circuit in which 
the person resides or transacts business or in the United States Court 
of Appeals for the District of Columbia. 
"(b) The Authority may petition any appropriate United States Petition, 
court of appeals for the enforcement of any order of the Authority 
and for appropriate temporary relief or restraining order. 
' 
"(c) Upon the filing of a petition under subsection (a) of this 
section for judicial review or under subsection (b) of this section for 
enforcement, the Authority shall file in the court the record in the 
proceedings, as provided in section 2112 of title 28. Upon the filing of 
the petition, the court shall cause notice thereof to be served to the 
parties involved, and thereupon shall have jurisdiction of the proceed-
ing and of the question determined therein and may grant any tem-
porary relief (including a temporary restraining order) it considers 
just and proper, and may make and enter a decree affirming and 
enforcing, modifying and enforcing as so modified, or setting aside in 
whole or in part the order of the Authority, The filing of a petition 
under subsection (a) or (b) of this section shall not operate as a stay 
of the Authority's order unless the court specifically orders the stay. 
Review of the Authority's order shall be on the record in accordance 
with section 706 of this title. No objection that has not been urged 5 USC 706. 
before the Authority, or its designee, shall be considered by the court, 
unless the failure or neglect to urge the objection is excused because 
of extraordinary circumstances. The findings of the Authority with 
respect to questions of fact, if supported by substantial evidence on 
the record considered as a whole, shall be conclusive. If any person 
applies to the court for leave to adduce additional evidence and shows 
to the satisfaction of the court that the additional evidence is material 
and that there were reasonable grounds for the failure to adduce the 
evidence in the hearing before the Authority, or its designee, the court 
may order the additional evidence to be taken before the Authority, or 
• 
its designee, and to be made a part of the record. The Authority may 
modify its findings as to the facts, or make new findings by reason of 
, 
.. 
additional evidence so taken and filed. The Authority shall file its 
modified or new findings, which, with respect to questions of fact, if 
supported by substantial evidence on the record considered as a whole. 
92 STAT. 1214 
PUBLIC LAW 95-454—OCT. 13, 1978 
shall be conclusive. The Authority shall file its recommendations, if 
any, for the modification or setting aside of its original order. Upon 
the filing of the record with the court, the jurisdiction of the court 
shall be exclusive and its judgment and decree shall be final, except 
that the judgment and decree shall be subject to review by the 
Supreme Court of the United States upon writ of certiorari or cer-
tification as provided in section 1254 of title 28. 
"(d) The Authority may, upon issuance of a complaint as pro-
vided in section 7118 of this title charging that any person has engaged 
: - 
in or is engaging in an unfair labor practice, petition any United 
States district court within any district in which the unfair labor prac-
tice in question is alleged to have occurred or in which such person 
resides or transacts business for appropriate temporary relief (includ-
ing a restraining order). Upon the filing of the petition, the court shall 
cause notice thereof to be served upon the person, and thereupon shall 
have jurisdiction to grant any temporary relief (including a temporary 
restraining order) it considers just and proper. A court shall not grant 
any temporary relief under this section if it would interfere with the 
ability of the agency to carry out its essential functions or if the 
Authority fails to establish probable cause that an unfair labor 
practice is being committed. 
"SUBCHAPTER IV—ADMINISTRATIVE AND OTHER 
PROVISIONS 
5 use 7131. 
«§ 7131. Official time 
"(a) Any employee representing an exclusive representative in the 
negotiation of a collective bargaining agreement under this chapter 
shall be authorized official time for such purposes, including attend-
ance at impasse proceeding, during the time the employee otherwise 
would be in a duty status. The number of employees for whom official 
time is authorized under this subsection shall not exceed the number 
of individuals designated as representing the agency for such purposes. 
"(b) Any activities performed by any employee relating to the 
internal business of a labor organization (including the solicitation of 
membership, elections of labor organization officials, and collection of 
dues) shall be performed during the time the employee is in a non-
duty status. 
"(c) Except as provided in subsection (a) of this section, the 
Authority shall determine whether any employee participating for, or 
'" 3- 
on behalf of, a labor organization in any phase of proceedings before 
the Authority shall be authorized official time for such purpose during 
the time the employee otherwise would be in a duty status. 
"(d) Except as provided in the preceding subsections of this 
section— 
"(1) any employee representing an exclusive representative, or 
"(2) in connection with any other matter covered by this 
chapter, any employee in an appropriate unit represented by an 
exclusive representative, 
shall be granted official time in any amount the agency and the exclu-
sive representative involved agree to be reasonable, necessary, and in 
the public interest. 
5 use 7132. 
"§7132. Subpenas 
"(a) Any member of the Authority, the General Counsel, or the 
Panel, any administrative law judge appointed by the Authority under 
5 use 3105. 
section 3105 of this title, and any employee of the Authority desig-
nated by the Authority may— 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1215 
"(1) issue subpenas requiring the attendance and testimony of 
witnesses and the production of documentary or other evidence 
from any place in the United States; and 
"(2) administer oaths, take or order the taking of depositions, 
order responses to written interrogatories, examine witnesses, and 
receive evidence. 
No subpena shall be issued under this section which requires the dis-
closure of intramanagement guidance, advice, counsel, or training 
within an agency or between an agency and the Office of Personnel 
Management. 
"(b) In the case of contumacy or failure to obey a subpena issued 
under subsection (a)(1) of this section, the United States district court 
for the judicial district in which the person to whom the subpena is 
addressed resides or is served may issue an order requiring such person 
to appear at any designated place to testify or to produce documentary 
or other evidence. Any failure to obey the order of the court may be 
punished by the court as a contempt thereof. 
"(c) Witnesses (whether appearing voluntarily or under subpena) 
shall be paid the same fee and mileage allowances which are paid 
subpenaed witnesses in the courts of the United States. 
"§ 7133L Compilation and publication of data 
5 USC 7133. 
"(a) The Authority shall maintain a file of its proceedings and 
copies of all available agreements and arbitration decisions, and shall 
publish the texts of its decisions and the actions taken by the Panel 
under section 7119 of this title. 
, ^ 
"(b) All files maintained under subsection (a) of this section shall 
be open to inspection and reproduction in accordance with the provi-
sions of sections 552 and 552a of this title. 
5 USC 552,552a. 
"§7134. Regulations 
5 USC 7134. 
"The Authority, the General Counsel, the Federal Mediation and 
Conciliation Service, the Assistant Secretary of Labor for Labor Man-
agement Relations, and the Panel shall each prescribe rules and 
regulations to carry out the provisions of this chapter applicable to 
each of them, respectively. Provisions of subchapter II of chapter 5 of 
this title shall be applicable to the issuance, revision, or repeal of any 5 USC 551. 
such rule or regulation. 
"§ 7135. Continuation of existing laws, recognitions, agreements, 5 USC 7135. 
and procedures 
" (a) Nothing contained in this chapter shall preclude— 
"(1) the renewal or continuation of an exclusive recognition, 
certification of an exclusive representative, or a lawful agreement 
< 
between an agency and an exclusive representative of its employ-
' 
ees, which is entered into before the effective date of this chap-
ter; or 
l: 
"(2) the renewal, continuation, or initial according of recogni-
tion for units of management officials or supervisors represented 
by labor organizations which historically or traditionally rep- 
.S''U ; siis 
^ 
resent management officials or supervisors in private industry and 
which hold exclusive recognition for units of such officials or super-
visors in any agency on the effective date of this chapter. 
"(b) Policies, regulations, and procedures established under and 
decisions issued under Executive Orders 11491,11616,11636,11787, and 
11838, or under any other Executive order, as in effect on the effective 
5 USC 7301 note, 
date of this chapter, shall remain in full force and effect until revised 7701 note, 
or revoked by the President, or unless superseded by specific provisions 
92 STAT. 1216 
PUBLIC LAW 95-454—OCT. 13, 1978 
of this chapter or by regulations or decisions issued pursuant to this 
chapter.". 
BACKPAY I N CASE OF UNFAIR LABOR PRACTICES AND GRIEVANCES 
SEC. 702. Section 5596(b) of title 5, United States Code is amended 
to read as follows: 
"(b) (1) An employee of an agency who, on the basis of a timely 
appeal or an administrative determination (including a decision relat-
ing to an unfair labor practice or a grievance) is found by appropriate 
authority under applicable law, rule, regulation, or collective bargain-
ing agreement, to have been affected by an unjustified or unwarranted 
personnel action which has resulted in the withdrawal or reduction of 
all or part of the pay, allowances, or differentials of the employee— 
"(A) is entitled, on correction of the personnel action, to receive 
for the period for which the personnel action was in effect— 
"(i) an amount equal to all or any part of the pay, allow-
ances, or differentials, as applicable which the employee 
r 
normally would have earned or received during the period if 
' •
*
• 
the personnel action had not occurred, less any amounts 
earned by the employee through other employment during 
jinv: JBU S 
that period; and 
u • 
"(ii) reasonable attorney fees related to the personnel 
' >; 
action which, with respect to any decision relating to an unfair 
labor practice or a grievance processed under a procedure 
Ante, p. 1191. 
negotiated in accordance with chapter 71 of this title, shall 
' f •;- 
be awarded in accordance with standards established under 
^rete, p. 1138. 
.,, 
section7701(g) of this title; and 
"(B) for all purposes, is deemed to have performed service for 
5
, J
, ,. .,; J , 
the agency during that period, except that— 
" (i) annual leave restored under this j)aragraph which is in 
excess of the maximum leave accumulation permitted by law 
shall be credited to a separate leave account for the employee 
and shall be available for use by the employee within the time 
;.' : 
limits prescribed by regulations of the Office of Personnel 
.^. 
. '^'"' *
• 
Management, and 
i..', v J c jju 
"(ii) annual leave credited under clause (i) of this sub-
paragraph but unused and still available to the employee 
5 ,HI 
rtSsH'; 
under regulations prescribed by the Office shall be included in 
5 use 5551, 
the lump-sum payment under section 5551 or 5552(1) of this 
5552. 
title but may not be retained to the credit of the employee 
under section 5552 (2) of this title. 
"(2) This subsection does not apply to any reclassification action 
nor authorize the setting aside of an otherwise proper promotion by a 
selecting official from a group of properly ranked and certified 
candidates. 
"(3) For the purpose of this subsection, 'grievance' and 'collective 
bargaining agreement' have the meanings set forth in section 7103 of 
Ante, p. 1192. 
this title, 'unfair labor practice' means an unfair labor practice 
described in section 7116 of this title, and 'personnel action' includes 
the omission or failure to take an action or confer a benefit.". 
i . . 
„.- 
TECHNICAL AND CONFORMING AMENDMENTS 
SEC. 703. (a) Subchapter I I of chapter 71 of title 5, United States 
• ' ''"'"'•^ '^'' ' 
Code, is amended— 
5 use 7151- 
(1) by redesignating sections 7151 (as amended by section 310 
7154, 7201- 
of this Act), 7152, 7153, and 7154 as sections 7201, 7202, 7203, and 
"7204. 
7204, respectively; 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1217 
(2) by striking out the subchapter heading and inserting in lieu 
thereof the following: 
. 
"CHAPTER 72—ANTIDISCRIMINATION; RIGHT TO 
PETITION CONGRESS 
"SUBCHAPTER 1—ANTIDISCRIMINATION IN EMPLOYMENT 
"Sec. 
"7201. Antidiscrimination policy; minority recruitment program. 
"7202. Marital status. 
:' 
' - -^^ 
"7203. Handicapping condition. 
.; 
t 
"7204. Other proliibitions. 
, 
"SUBCHAPTER II—EMPLOYEES' RIGHT TO PETITION CONGRESS 
"7211. Employees' right to petition Congress."; 
and 
t; 
(3) by adding at the end thereof the following new subchapter: 
. 
^ "SUBCHAPTER II—EMPLOYEES' RIGHT TO 
PETITION CONGRESS 
**§7211. Employees' right to petition Congress 
5 USC 7211. 
"The right of employees, individually or collectively, to petition Con-
gress or a Member of Congress, or to furnish information to either 
House of Congress, or to a committee or Member thereof, may not be 
interfered with or denied.". 
(b) The analysis for part III of title 5, United States Code, is 
amended by striking out— 
, - ' 
"Subpart F—Employee Relations 
"7L Policies 
7101"; 
and inserting in lieu thereof— 
"Subpart F—Labor-Management and Employee Relations 
"71. Labor-Management 
Relations 
7101 
"72. Antidiscrimination; Right to Petition Congress 
7201". 
(c) (1) Section 2105 (c) (1) of title 5, United States Code, is amended 
by striking out "7152, 7153" and inserting in lieu thereof "7202, 7203". 
(2) Section 3302(2) of title 5, United States Code, is amended by 
' " ' 
striking out "and 7154" and inserting in lieu thereof "and 7204". 
(3) Sections 4540(c), 7212 (a), and 9540(c) of title 10, United States 
Code, are each amended by striking out "7154 of title 5" and inserting 
in lieu thereof "7204 of title 5". 
(4) Section 410(b) (1) of title 39, United States Code, is amended 
by striking out "chapters 71 (employee policies)" and inserting in lieu 
thereof the following: "chaptei-s 72 (antidiscrimination; right to peti-
tion Congress)". 
(5) Section 1002(g) of title 39, United States Code, is amended by 
'^* 
' 
striking out "section 7102 of title 5" and inserting in lieu thereof "sec-
tion 7211 of title 5". 
(d) Section 5315 of title 5, United States Code, is amended by add- 
• 
ing at the end thereof the following clause: 
"(124) Chairman, Federal Labor Relations Authority.". 
(e) Section 5316 of such title is amended by adding at the end thereof 5 USC 5316. 
the following clause: 
"(145) Members, Federal Labor Relations Authority (2) and 
its General Counsel.". 
..fijif ^ 
92 STAT. 1218 
PUBLIC LAW 95-454—OCT. 13, 1978 
MISCELLANEOUS PROVISIONS 
5 use 5343 note. 
SEC. 704. (a) Those terms and conditions of employment and other 
employment benefits with respect to Government prevailing rate 
5 use 5343 note, employees to whom section 9(b) of Public Law 92-392 applies which 
were the subject of negotiation in accordance with prevailing rates and 
practices prior to August 19,1972, shall be negotiated on and after the 
date of the enactment of this Act in accordance with the provisions of 
section 9(b) of Public Law 92-392 without regard to any provision 
Ante, p. 1191. 
of chapter 71 of title 5, United States Code (as amended by this 
title), to the extent that any such provision is inconsistent with this 
paragraph. 
(b) The pay and pay practices relating to employ^ees referred to in 
paragraph (1) of this subsection shall be negotiated m accordance with 
prevailing rates and pay practices without regard to any provision of— 
(A) chapter 71 of title 5, United States Code (as amended by 
this title), to the extent that any such provision is inconsistent with 
this paragraph; 
(B) subchapter IV of chapter 53 and subchapter V of chapter 
5 use 5341, 
55 of title 5, United States Code; or 
5541. 
(C) any rule, regulation, decision, or order relating to rates of 
pay or pay practices under subchapter IV of chapter 53 or sub-
chapter V of chapter 55 of title 5, United States Code. 
TITLE VIII—GRADE AND PAY RETENTION 
GRADE AND PAY RETENTION 
5 use 5301 
SEC. 801. (a) (1) Chapter 53 of title 5, United States Code, relating 
^
^ •
^
^
9
- 
to pay rates and systems, is amended by inserting after subchapter V 
thereof the following new subchapter: 
"SUBCHAPTER 
VI—GRADE 
AND 
PAY 
RETENTION ' 
5 use 5361. 
«§536L Definitions 
"For the purpose of this subchapter— 
" (1) 'employee' means an employee to whom chapter 51 of this 
title applies, and a prevailing rate employee, as defined by section 
5 use 5342. 
5342(a)(2) of this title, whose employment is other than on a 
temporary or term basis; 
"(2) 'agency' has the meaning given it by section 5102 of this 
5 use 5102. 
title; 
"(3) 'retained grade' means the grade used for determining 
benefits to which an employee to whom section 5362 of this title 
applies is entitled; 
"(4) 'rate of basic pay' means, in the case of a prevailing rate 
employee, the scheduled rate of pay determined under section 5343 
5 use 5343. 
of this title; 
"(5) 'covered pay schedule' means the General Schedule, any 
prevailing rate schedule established under subchapter IV of this 
Ante, p. 1180. 
chapter, or the merit pay system under chapter 54 of this title; 
"(6) 'position subject to this subchapter' means any position 
under a covered pay schedule; and 
iff 
1
'
^ I 
"C^) 'reduction-in-force procedures' means procedures applied 
in carrying out any reduction in force due to a reorganization, due 
to lack of funds or curtailment of work, or due to any other factor. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1219 
*
*
§ 5362. Grade retention following a change of positions or reclas- 5 USC 5362. 
sification 
"(a) Any employee— 
"(1) who is placed as a result of reduction-in-force procedures 
from a position subject to this subchapter to another position 
which is subject to this subchapter and which is in a lower grade 
than the previous position, and 
"(2) who has served for 52 consecutive weeks or more in one 
or more positions subject to this subchapter at a grade or grades 
hig'her than that of the new position, 
is entitled, to the extent provided in subsection (c) of this section, 
to have the grade of the position held immediately before such place-
ment be considered to be the retained grade of the employee in anv 
position he holds for the 2-year period beginning on the date of such 
placement. 
"(b) (1) Any employee who is in a position subject to this subchap-
ter and whose position has been reduced in grade is entitled, to the 
extent provided in subsection (c) of this section, to have the grade of 
such position before reduction be treated as the retained grade of such 
employee for the 2-year period beginning on the date of the reduction 
in grade. 
*' 
' • " 
' (2) The provisions of paragraph (1) of this subsection shall not 
'• • 
apply with respect to any reduction in the grade of a position which 
^ • 
had not been classified at the higher grade for a continuous period of 
at least one year immediately before such reduction. 
"(c) For the 2-year period referred to in subsections (a) and (b) of 
^^, 
this section, the retained grade of an employee under such subsection 
(a) or (b) shall be treated as the grade of the employee's position for 
all purposes (including pay and pay administration under this chapter 
and chapters 54 and 55 of this title, retirement and life insurance under Ante, p. 1180. 
chapters 83 and 87 of this title, and eligibility for training and promo- 5 USC 5501. 
tion under this title) except— 
5 USC 8301, 
"(1) for purposes of subsection (a) of this section, 
8701. 
"(2) for purposes of applying any reduction-in-force pro-
cedures, 
"(3) for purposes of determining whether the employee is cov-
ered by the merit pay system established under section 5402 of 
this title, or 
Ante, p. 1181. 
"(4) for such other purposes as the Office of Personnel Man-
agement may provide by regulation. 
"(d) The foregoing provisions of this section shall cease to apply to 
an employee who— 
"(1) has a break in service of one workday or more; 
" (2) is demoted (determined without regard to this section) for 
personal cause or at the employee's request; 
!.- . 
"(3) is placed in, or declines a reasonable offer of, a position the 
grade of which is equal to or higher than the retained grade; or 
"(4) elects in writing to have the benefits of this section 
terminate. 
*
*
§ 5363. Pay retention 
5 USC 5363. 
"(a) Any employee— 
"(1) who ceases to be entitled to the benefits of section 5362 of 
this title by reason of the expiration of the 2-year period of cov-
erage provided under such section; 
"(2) who is in a position subject to this subchapter and who is 
subject to a reduction or termination of a special rate of pay estab-
lished under section 5303 of this title; or 
5 USC 5303. 
92 STAT. 1220 
PUBLIC LAW 95-454—OCT. 13, 1978 
i;-Hc ,»dJ f
"
; 
"^3^ ^}jQ ig [j^ Q^ position subject to this subchapter and who 
(but for this section) would be subject to a reduction in pay under 
circumstances prescribed by the Office of Personnel Management 
by regulation to warrant the application of this section; 
is entitled to basic pay at a rate equal to (A) the employee's allowable 
former rate of basic pay, plus (B) 50 percent of the amount of each 
increase in the maximum rate of basic pay payable for the grade of 
the employee's position immediately after such reduction in pay if such 
allowable former rate exceeds such maximum rate for such grade. 
"(b) For the purpose of subsection (a) of this section, 'allowable 
former rate of basic pay' means the lower of— 
"(1) the rate of basic pay payable to the employee immediately 
before the reduction in pay; or 
"(2) 160 percent of the maximum rate of basic pay payable for 
the grade of the employee's position immediately after such reduc-
tion in pay. 
"(c) The preceding provisions of this section shall cease to apply to 
an employee who—• 
" (1) has a break in service of one workday or more; 
"(2) is entitled by operation of this subchapter or chapter 51, 
5 use 5101, 
53, or 54 of this title to a rate of basic pay which is equal to or 
5301. 
higher than, or declines a reasonable offer of a position the rate 
Ante, p. 1180. 
^f basic pay for which is equal to or higher than, the rate to which 
the employee is entitled under this section; or 
"(3) is demoted for personal cause or at the employee's request. 
5 use 5364. 
"§ 5364. Remedial actions 
"Under regulations prescribed by the Office of Personnel Manage-
ment, the Office may require any agency— 
,jj 
^ 
"(1) to report to the Office information with respect to vacan-
• .V 
• ' / " 
cies (including impending vacancies) ; 
u I 
''I 
"(2) to take such steps as may be appropriate to assure 
^^'!, 
employees receiving benefits under section 5362 or 5363 of this 
title have the opportunity to obtain necessary qualifications for 
the selection to positions which would minimize the need for the 
application of such sections; 
"(3) to establish a program under which employees receiving 
i.. ; 
, j^,^ 
benefits under section 5362 or 5363 of this title are given priority 
in the consideration for or placement in positions whidh are equal 
to their retained grade or pay; and 
"(4) to place certain employees, notwithstanding the fact their 
previous position was in a different agency, but only in circum-
stances in which the Office determines the exercise of such 
authority is necessary to carry out the purpose of this section. 
5 use 5365. 
«§ 5365. Regulations 
"(a) The Office of Personnel Management shall prescribe regula-
tions to carry out the purpose of this subchapter. 
" (b) Under su(^h regulations, the Office may provide for the appli-
cation of all or portions of the provisions of this subchapter— 
>dt:<; Jfeu . 
"(1) to any individual reduced to a grade of a covered pay 
schedule from a position not subject to this subchapter; 
" (2) to individuals to whom such provisions do not otherwise 
apply; and 
"(3) to situations the application to which is justified for pur-
poses of carrying out the mission of the agency or agencies 
involved. 
. 
. 
, 
. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1221 
"§ 5366. Appeals 
5 USC 5366. 
"(a) (1) In the case of the termination of any benefits available to 
an employee under this subchapter on the grounds such employee 
declined a reasonable offer of a position the grade or pay of which 
was equal to or greater than his retained grade or pay, such ter-
mination may be appealed to the OflSice of Personnel Management 
under procedures prescribed by the Office. 
"(2) Nothing in this subchapter shall be construed to affect the 
right of any employee to appeal— 
"(A) under section 5112(b) or 5346(c) of this title, or other-
wise, any reclassification of a position; or 
"(B) under procedures prescribed by the Office of Personnel 
Management, any reduotion-in-force action. 
"(b) For purposes of any appeal procedures (other than those 
described in subsection (a) of this section) or any grievance procedure 
negotiated under the provisions of chapter 71 of this title— 
Ante, p. 1192. 
" (1) any action which is the basis of an individual's entitlement 
to benefits under this subchapter, and 
" (2) any termination of any such benefits under this subchapter, 
shall not be treated as appealable under such appeals procedures or 
grievable under such grievance procedure.". 
(2) Sections 5334(d), 5337, and 5345 of title 5, United States Code, Repeal, 
are hereby repealed. 
(3) (A) Chapter 53 of title 5, United States Code, is amended— 
5 USC 5301 
(i) by redesignating subchapter VI as subchapter VII, and ^^ ^^9-
(ii) by redesignating sections 5361 throug'h 5365 as sections 
5371 through 5375, respectively. 
(B) (i) The analysis of chapter 53 of title 5, United States Code, is 
amended by striking out the items relating to subchapter VI thereof 
and inserting in lieu thereof the following: 
"SUBCHAPTER VI—GRADE AND PAY RETENTION 
j 
"Sec. 
t 
,. 
"5361. Definitions. 
"5362. Grade retention following a change of positions or reclassification. 
"5363. Pay retention. 
"5364. Remedial actions. 
"5365. Regulations. 
/ 
"5366. Appeals. 
1
> «. . - . i-
"SUBCHAPTER VII—MISCELLANEOUS PROVISIONS 
"Sec. 
"5371. Scientific and professional positions. 
"5372. Administrative law judges. 
"5373. Limitation on pay 
fixed 
by administrative action. 
, , 
"5374. Miscellaneous positions in the executive branch. 
"5375. Police force of National Zoological Park.". 
(ii) The analysis of such chapter is further amended by striking out 
the items relating to sections 5337 and 5345, respectively. 
(iii) Sections 559 and 1305 of title 5, United States Code, are each 
amended by striking out "5362," each place it appears and inserting 
"5372," in lieu thereof. 
(C) Section 3104(b) of title 5, United States Code, as redesignated Ante, p. 1178. 
by this Act, is amended by striking out "section 5361" and inserting 
"section 5371" in lieu thereof. 
(D) Section 5102(c) (5) of title 5, United States Code, is amended 
by striking out "section 5365" and inserting "section 5375" in lieu 
thereof. 
92 STAT. 1222 
PUBLIC LAW 95-454—OCT. 13, 1978 
(E) Sections 5107 and 8704(d)(1) of title 5, United States Code, 
are each amended by striking out "section 5337" and inserting in lieu 
5 use 5361. 
thereof "subchapter VI of chapter 53". 
(F) Section 5334(b) of title 5, United States Code, is amended by 
striking out "section 5337 of this title" each place it appears and 
inserting in lieu thereof "subchapter VI of this chapter". 
(G) Section 5334 of title 5, United States Code, is amended by 
redesignating subsections (e) and (f) as subsections (d) and (e), 
respectively. 
(H) Section 5349(a) of title 5, United States Code, is amended— 
(i) by striking out "section 5345, relating to retention of pay," 
and inserting in lieu thereof "subchapter VI of this chapter, 
relating to grade and pay retention,"; 
(ii) by striking out "section 5345 of this title" and inserting in 
lieu thereof "subchapter VI of this chapter"; and 
(iii) by striking out "paragraph (2) of section 5345(a)" and 
Ante, p. 1218. 
inserting in lieu thereof "section 5361 (1)". 
(I) Sections 4540(c), 7212(a), and 9540(c) of title 10, United 
States Code, are each amended by inserting after "of title 5" the fol-
lowing : "and subchapter VI of chapter 53 of such title 5". 
(J) Section 1416(a) of the Act of August 1. 1968 (Public Law 
90^48; 15 U.S.C. 1715(a)), and section 808(c) of the Act of April 
11, 1968 (Public Law 90-284; 42 U.S.C. 3608(b)), are each amended 
by striking out "5362," and inserting in lieu thereof "5372,". 
5 use 5361 note. 
(4) (A) The amendments made by this subsection shall take effect 
on the first day of the first applicable pay period beginning on or after 
the 90th day after the date of the enactment of this Act. 
(B) An employee who was receiving pay under the provisions of 
section 5334(d), 5337, or 5345 of title 5, United States Code, on the 
day before the effective date prescribed in subparagraph (A) of this 
paragraph shall not have such pay reduced or terminated by reason 
of the amendments made by this subsection and, unless section 5362 of 
Ante, p. 1218. 
such title 5 (as amended by subsection (a) (1) of this section) applies, 
such an employee is entitled to continue to receive pay as authorized 
by tliose provisions (as in effect on such date). 
5 use 5362 note. 
(b)(1) Under regulations prescribed by the Office of Personnel 
Management, any employee— 
(A) whose grade was reduced on or after January 1,1977, and 
before the effective date of the amendments made by subsection 
(a) of this section under circumstances which would have entitled 
the employee to coverage under the provisions of section 5362 of 
title 5, United States Code (as amended by subsection (a) of this 
section) if such amendments had been in effect at the time of the 
reduction; and 
(B) who has remained employed by the Federal Government 
from the date of the reduction in grade to the effective date of the 
amendments made by subsection (a) of this section without a 
break in service of one workday or more; 
shall be entitled— 
„ . 
(i) to receive the additional pay and benefits which such 
* ''' ^ '^' 
employee would have been entitled to receive if the amendments 
made by subsection (a) of this section had been in effect during 
the period beginning on the effective date of such reduction in 
grade and ending on the day before the effective date of such 
amendments, and 
(ii) to have the amendments made by subsection (a) of this 
section apply to such employee as if the reduction in grade had 
occurred on the effective date of such amendments. 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1223 
(2) No employee covered by this subsection whose reduction in grade 
resulted in an increase in pay shall have such pay reduced by reason 
of the amendments made by subsection (a) of this section. 
(3) (A) For purposes of this subsection, the requirements under 
paragraph (1) (B) of this subsection, relating to continuous employ-
ment following reduction in grade, shall be considered to be met in the 
case of any employee— 
(i) who separated from service with a right to an immediate 
annuity under chapter 83 of title 5, United States Code, or under 5 USC 8301 et 
another retirement system for Federal employees; or 
seq. 
(ii) who died. 
(B) Amounts payable by reason of subparagraph (A) of this para-
graph in the case of the death of an employee shall be paid in accord-
ance with the provisions of subchapter VIII of chapter 55 of title 5, 
United States Code, relating to settlement of accounts in the case of 
deceased employees. 
- s
a t , 
(4) The Office of Personnel Management shall have the same author-
ity to prescribe regulations under this subsection as it has under section 
5365 of title 5, United States Code, with respect to subchapter VI 
of chapter 53 of such title, as added by subsection (a) of this section. 
TITLE IX—MISCELLANEOUS 
STUDY ON DECENTRALIZATION OF GOVERNMENTAL FUNCTIONS 
SEC. 901. (a) As soon as practicable after the effective date of this Study. 
Act, the Director of the Office of Management and Budget shall con- 31 USC 18 notes, 
duct a detailed study concerning the decentralization of Federal gov-
ernmental functions. 
(b) The study to be conducted under subsection (a) of this section 
shall include— 
(1) a review of the existing geographical distribution of Fed- 
••'" ^'^'' ^"'-" 
eral governmental functions throughout the United States, 
including the extent to which such functions are concentrated in 
the District of Columbia; and 
(2) a review of the possibilities of distributing some of the func-
tions of the various Federal agencies currently concentrated in the 
District of Columbia to field offices located at points throughout 
the United States. 
Interested parties, including heads of agencies, other Federal employ-
ees, and Federal employee organizations, shall be allowed to submit 
views, arguments, and data in connection with such study. 
(c) Upon completion of the study under subsection (a) of this 
section, and in any event not later than one year after the effective 
date of this Act, the Director of the Office of Management and Budget Report to 0MB, 
shall submit to the President and to the Congress a report on the President and 
results of such study together with his recommendations. Any recom- Congress, 
mendation which involves the amending of existing statutes shall 
include draft legislation. 
SAVINGS PROVISIONS 
SEC. 902. (a) Except as otherwise provided in this Act, all executive 5 USC 1101 note:, 
orders, rules, and regulations affecting the Federal service shall con-
tinue in effect, according to their terms, until modified, terminated, 
superseded, or repealed by the President, the Office of Personnel Man-
agement, the Merit Systems Protection Board, the Equal Employment 
Opportunity Commission, or the Federal Labor Kelations Authority 
with respect to matters within their respective jurisdictiona 
92 STAT. 1224 
PUBLIC LAW 95-454—OCT. 13, 1978 
(b) No provision of this Act shall affect any administrative proceed-
ings pending at the time such provision takes effect. Orders shall be 
issued in such proceedings and appeals shall be taken therefrom as if 
this Act had not been enacted. 
(c) No suit, action, or other proceeding lawfully commenced by 
or against the Director of the Office of Personnel Management or 
the members of the Merit Systems Protection Board, or officers or 
employees thereof, in their official capacity or in relation to the dis-
* C i
-
B )6 
charge of their official duties, as in effect immediately before the effec-
tive date of this Act, shall abate by reason of the enactment of this 
Act. Determinations with respect to any such suit, action, or other 
proceeding shall be made as if this Act had not been enacted. 
AUTHORIZATION OF APPROPRIATIONS 
5 use 5509 note. 
SEC. 903. There are authorized to be appropriated, out of any 
moneys in the Treasury not otherwise appropriated, such sums as may 
be necessary to carry out the provisions of this Act. 
POWERS OF PRESIDENT UNAFFECTED EXCEPT BY EXPRESS PROVISIONS 
5 use 1101 note. 
SEC. 904. Except as otherwise expressly provided in this Act, no 
provision of this Act shall be construed to— 
(1) limit, curtail, abolish, or terminate any function of, or 
authority available to, the President which the President had 
»feat<* 
immediately before the effective date of this Act; or 
-'.tsn Si :y&} it 
(2) limit, curtail, or terminate the President's authority to 
delegate, redelegate, or terminate any delegation of functions. 
REORGANIZATION PLANS 
5 use 1101 note. 
SEC. 905. Any provision in either Reorganization Plan Numbered 1 
or 2 of 1978 inconsistent with any provision in this Act is hereby 
superseded. 
, ,,.^ ,; .; u.fj 
•..,. .. . . 
T E C H N I C A L 
A N D CONFORMING AMENDMENTS 
SEC. 906. (a) Title 5, United States Code, is amended— 
(1) in section 5347, 8713, and 8911, by striking out "Chairman 
of the Civil Service Commission" and inserting in lieu thereof 
"Director of the Office of Personnel Management"; 
(2) in sections 1301, 1302, 1304, 1308, 2105, 2951, 3110, 3304a, 
3308, 3312, 3314, 3318, 3324, 3325, 3344, 3351, 3363, 3373, 3502, 
3504, 4102, 4106, 4113-4118, 5102, 5103, 5105, 5107, 5110-5115, 
5303, 5304, 5333, 5334, 5335(b), 5336, 5338, 5343, 5346, 5347, 5351, 
Ante, p. 1218. 
5352, 5371 (as redesignated in section 801(a) (3) (A) (ii) of this 
; 
Act), 5372 (as redesignated in such section 801(a) (3) (A) (ii)), 
" "*" 
5374 (as redesignated in such section 801(a) (3) (A) (ii)), 5504, 
5533, 5545, 5548, 5723, 6101, 6304-6306, 6308, 6311, 6322, 6326, 
Ante, p. 1216. 
7203 (as redesignated in section 703(a)(1) of this Act), 7204 
(as redesignated in such section 703(a) (1)), 7312,8151,8331,8332, 
8334, 8337, 8339-8343, 8345, 8346, 8347(a), 8348, 8501, 8701-
m
>
i
* lOl r -^ll t 
8712,_ 8714, 8714a, 8716, 8901-8903, 8905, 8907-8910, and 8913, by 
striking out "Civil Service Commission" and inserting in lieu 
thereof "Office of Personnel Management"; 
(3) in sections 1302, 1304, 1308, 2951, 3304a, 3308, 3312, 3317b, 
3318, 3324, 3351, 3363, 3504, 4106, 4113-4115, 4117, 4118, 5105, 
5107, 5110-5112, 5114, 5333, 5343, 5346, 5545, 5548. 5723, 6304, 
6405, 7312, 8331, 8332, 8337, 8339-8343, 8345, 8346, 8347(a)-(c) 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1225 
and (e)-(h), 8348, 8702, 8704-8707, 8709-8712, 8714a, 8716,8901-
8903, 8905, 8907, 8909, 8910, and 8913 (as such sections are 
amended in paragraph (2) of this subsection), by striking out 
^ ^^ i •
> • 
"Commission" each place it appears and inserting in lieu thereof 
"Office"; 
(4) in sections 1303, 8713 (as amended in paragraph (1) of 
this subsection), and 8911 (as amended in such paragraph), by 
striking out "Commission" and inserting in lieu thereof "Office"; 
(5) in section 3304(d), by striking out "a Civil Service Com-
mission board of examiners" and inserting in lieu thereof "the 
Office of Personnel Management"; 
(6) in sections 1505-1508 and 3383, by striking out "Civil 
Service Commission" and "Commission" each place they appear 
and inserting in lieu thereof "Merit Systems Protection Board" 
and "Board", respectively; 
(7) in section 1504, by striking out "Civil Service Commission. 
On receipt of the report, or on receipt of other information which 
seems to the Commission to warrant an investigation, the Com-
mission shall" and inserting in lieu thereof the following: "Spe-
cial Counsel. On receipt of the report or on receipt of other 
information which seems to the Special Counsel to warrant an 
investigation, the Special Counsel shall investigate the report 
and such other information and present his findings and any 
charges based on such findings to the Merit Systems Protection 
Board, which shall". 
(8) in section 5335(c) — 
(A) by striking out "Commission" the first place it 
. ^ 
. 
appears and inserting in lieu thereof "Office of Personnel 
Management"; 
(B) by striking out "Commission" the second place it 
appears and inserting in lieu thereof "Merit Systems Protec-
tion Board"'; 
: 
(C) by striking out "Commission" the third place it 
appears and inserting in lieu thereof "Office"; and 
(D) by striking out "Commission" the fourth place it 
appears and inserting in lieu thereof "Board"; 
(9) in section 8347(d), by striking out "Commission" the first 
place it appears and inserting in lieu thereof "Merit Systems Pro-
tection Board" and by striking out "Commission" the second time 
it appears and inserting in lieu thereof "Board"; 
(10) in section 552(a) (4) (F)— 
(A) by_ striking out "Civil Service Commission" and 
"Commission" each place they appear and inserting in lieu 
thereof "Special Counsel"; and 
(B) by striking out "its" and inserting in lieu thereof 
"his"; 
(11) in section 1303— 
(A) by striking out "Civil Service Commission" and in-
serting in lieu thereof "Office of Personnel Management, 
Merit Systems Protection Board, and Special Counsel"; and 
(B) in paragraph (1), by striking out "Commission" and 
inserting in lieu thereof "Office of Personnel Management"; 
(12) in section 1305, by striking out "For the purpose of sec-
tions 3105, 3344, 4301(2) (E), 5362, and 7521 of this title and the Ante, p. 1131, 
provisions of section 5335(a) (B) of this title that relate to 1219,1137. 
administrative law judges the Civil Service Commission may" 
and inserting in lieu thereof "For the purpose of section 3105, 
3344, 4301(2) (D), and 5372 of this title and the provisions of 
92 STAT. 1226 
PUBLIC LAW 95-454—OCT. 13, 1978 
section 5335(a) (B) of this title that relate to administrative law 
judges, the Office of Personnel Management may, and for the pur-
Ante, p. 1137. 
pose of section 7521 of this title, the Merit Systems Protection 
Board may"; 
(13) in section 1306, to read as follows: "The Director of the 
Office of Personnel Management and authorized representatives 
of the Director may administer oaths to witnesses in matters 
pending before the Office."; 
(14) in section 8344(a), by striking out "Commission" and 
insertm^ in lieu thereof "Office of Personnel Management"; 
(15) m section 8906, by striking out "Commission" each place 
it appears and inserting in lieu thereof "Office of Personnel Man-
agement" the first time it appears and "Office" the other times it 
appears; 
(16) in the section heading for section 2951 and in the item 
relating to section 2951 in the analysis for chapter 29, by striking 
out "Civil Service Commission" and inserting in lieu thereof 
"Office of Personnel Management"; and 
(17) in the section heading for section 5112 and in the item 
relating to section 5112 in the analysis for chapter 51, by striking 
out "Civil Service Commission" and inserting in lieu thereof 
"Office of Personnel Management". 
Repeal. 
(b)(1) Section 5109(b) of title 5, United States Code, is hereby 
repealed. 
(2) Section 5109 of such title is further amended by redesignating 
subsection (c) as subsection (b). 
Ante, p. 1161. 
(c) (1) Subchapter VIII of chapter 33 of title 5, United States Code 
(as in effect immediately before the date of the enactment of this Act) 
is amended— 
(A) by striking out the subchapter heading and inserting in 
lieu thereof the following: 
"CHAPTER 34—PART-TIME CAREER EMPLOYMENT 
OPPORTUNITIES 
"Sec. 
"3401. Definitions. 
"3402. Establishment of part-time career employment programs. 
"3403. Limitations. 
"3404. Personnel ceilings. 
"3405. Nonapplicability. 
"3406. Regulations. 
"3407. Reports. 
, 
. 
,-
"3408. Employee organization representation." ; 
> 
and 
(B) by redesignating sections 3391 through 3398 as sections 
3401 through 3408, respectively. 
(2) (A) Section 3401 of such title 5 (as redesignated by this section) 
is amended by striking out "subchapter" and inserting m lieu thereof 
"chapter". 
(B) Section 3402 of such title 5 (as redesignated by this section) is 
amended— 
(i) in subsection (a) (1) (B), by striking out "section 3393" and 
inserting in lieu thereof "section 3403"; 
(ii) in subsection (b) (1) — 
AfJi 
(I) by striking out "Civil Service Commission" and in-
serting in lieu thereof "Office of Personnel Management"; and 
(II) by striking out "subchapter" and inserting in lieu 
thereof "chapter"; and 
i' 
(iii) in subsection (b)(2), by striking out "Commission" and 
inserting in lieu thereof "Office". 
PUBLIC LAW 95-454—OCT. 13, 1978 
92 STAT. 1227 
(C) Sections 3405 and 3406 of such title 5 (as redesignated by this 
section) are amended by striking out "subchapter" each place it occurs 
and inserting in lieu thereof "chapter". 
(D) Section 3407(a) of such title 5 (as redesignated by this section) 
is amended— 
(i) by striking out "Civil Service Commission" and inserting 
in lieu thereof "Office of Personnel Management"; 
(ii) in paragraph (1), by striking out "section 3392" and insert-
ing in lieu thereof "section 3402"; and 
(iii) in paragraph (2), bv striking out "subchapter" and insert-
ing in lieu thereof "chapter". 
(E) Section 3407(b) of such title 5 (as redesignated by this section) 
is amended— 
(i) by striking out "Commission" and inserting in lieu thereof 
"Office"; and 
(ii) by striking out "subchapter" each place it appears and 
inserting in lieu thereof "chapter". 
(F) Sections 8347(g), 8716(b) (3), 8913(b) (3), and 8906(b) (3) of 
such title 5 are each amended by striking out "section 3391 (2)" and 
inserting in lieu thereof "section 3401 (2)". 
(G) Section 8716(b) (3) of such title 5 is amended by striking out 
"section 3391 (2)" and mserting in lieu thereof "section 3401 (2)". 
(H) Section 8913(b) (3) of such title 5 is amended by striking out 
"section 3391(2)" and inserting in lieu thereof "section 3401(2)". 
(3) Section 5 of the Federal Employees Part-Time Career Employ- 5 USC 3407 note, 
ment Act of 1978 is amended by striking out "section 3397(a)" and Ante, p. 1059. 
inserting in lieu thereof "section 3407 (a)". 
(4) The analysis for chapter 33 of title 5, United States Code, is 
amended by striking out the items (as in effect immediately before 
the date of the enactment of this Act) following the item relating to 
section 3385. 
(5) The chapter analysis for part III of title 5, United States Code 
. 
, 
is amended by inserting after the item relating to chapter 33 the 
following new item: 
"34. Part-time career employment opportunities 
3401". 
.. 
EFFECTIVE DATE 
SEC. 907. Except as otherwise expressly provided in this Act, the 5 USC 1101 note, 
provisions of this Act shall take effect 90 days after the date of the 
enactment of this Act. 
Approved October 13, 1978. 
LEGISLATIVE HISTORY; 
HOUSE REPORTS: No. 95-1403 accompanying H.R. 11280 (Comm. on Post Office and 
Civil Service) and No. 95-1717 (Comm. of Conference). 
SENATE REPORTS:, No. 95-969 (Comm. on Governmental Affairs) and No. 95-1272 
(Comm. of Conference). 
CONGRESSIONAL RECORD, Vol. 124 (1978): 
Aug. 11, H.R. 11280 considered in House. 
, i i;> . 
Aug. 24, considered and passed Senate. 
Sept. 7, 11, 13, H.R. 11280 considered and passed House; proceedings vacated 
and S. 2640, amended, passed in lieu. 
Oct. 4, Senate agreed to conference report. 
Oct. 5, 6, House agreed to conference report; receded from amendment. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 14, No. 41: 
Oct. 13, Presidential statement. 
39-194 O—80—pt. 1 
81 : QL3