Modernizing the Federal Civil Service

1
Modernizing the Federal Civil Service

• A Comparison of the
• Department of Homeland Security and the
• Department of Defense
• Human Resources (HR) System Regulations

2
Civil Service Modernization DHS and NSPS
These are landmark reforms, the most ambitious
of their kind in a quarter century, and similar
in scope and purpose to those enacted for the
Department of Homeland Security.
- George W. Bush
3
Civil Service Modernization DHS/NSPS

• Overview
• Basic Provisions
• Staffing and Reduction-In-Force
• Classification and Compensation
• Performance Management
• Labor-Management Relations
• Adverse Actions and Appeals

4
Civil Service ModernizationBasic Provisions
DHS/NSPS

• Common Parameters and Principles
• Merit System Principles
• Due Process
• Veterans Preference
• Prohibited Personnel Practices
• Whistleblower Protections
• Anti-Discrimination Laws
• Common Design Characteristics
• Classification Simple, Flexible
• Compensation Performance-Based, Market
  Sensitive
• Performance Management Greater Accountability
• Adverse Actions and Appeals Greater
  Accountability
• Labor-Management Relations Mission First
• OPM Coordination, Union Collaboration

CURRENT
5
Civil Service ModernizationStaffing and
Employment NSPS

• Staffing Elements
• Veterans Preference Intact
• Employees Placed Into Two Categories
• Career and Time-Limited Latter May Be Converted
  if Competed
• Time Limited Terms and Conditions TBD
• OPM and DoD May Establish New Appointing
  Authorities
• Competitive/Excepted Positions Subject to Public
  Notice, Comment
• In Mission-Critical Situations, Authority
  Effective Immediately
• Direct Hire Authority Provided
• For Critical Hiring Needs, Severe Shortages
• Criteria Same as Government-Wide Authority
• Probationary Periods Extended
• For Initial Hires, up to 3 Years
• Optional In-service Placement Probationary Period
• Minimum Area of Consideration
• Local Commuting Area Specified Recruiting Areas
• Need Not Consider Applicants from Outside Minimum
  Area(s)

CURRENT
6
Civil Service ModernizationReduction in Force
NSPS

• RIF Elements
• No Changes to Current Law
• Veterans Preference Intact
• Only OPM Regulations Modified
• Provides Greater Precision in Setting Competitive
  Areas/Groups
• Location, Organizational Unit, Funding/Product
  Line, etc.
• Groups may be Limited to Interchangeable
  Employees
• Changes Retention Standing Within Competitive
  Group
• Sorted by Employment and Preference Eligibile
  Category
• Within Category, Sorted by Performance
  Rating/Score
• Ties Resolved by SCD
• Limits Displacement Rights
• Displacement Only Within Competitive Group
• At Agencys Option

PROPOSED
7
Civil Service ModernizationClassification and
Compensation DHS/NSPS

• Common Classification Elements
• Authority to Establish Agency-Unique
• Career Groups/Occupational Clusters
• Occupational Series, Qualification Standards
• Pay Bands and Pay Schedules
• Subject to OPM Coordination No Collective
  Bargaining
• Common Pay-Setting Elements
• Secretary Determines s Allocated to
  Performance, Market
• Elements, Adjustments Not Subject to Collective
  Bargaining
• National/Local Rate Adjustments, Subject to OPM
  Coordination
• Based on Annual Labor Market Surveys,
  Budget/Mission Priorities, etc.
• By Occupation/Career Group, Band, and/or Locality
• Performance-Based Individual Increases
• Based on Performance Rating, Share/Point Value
• Point Value f (Pool Funds, Pool Size, Rating
  Distribution)

CURRENT
8
Civil Service ModernizationClassification and
Compensation DHS/NSPS

• Other Common Pay-Setting Flexibilities
• Employee Must Meet/Exceed Expectations for Any
  Pay Adjustment
• Additional Special Pay Supplements for
• Unique Skills, Assignments, Locations Acute
  Staffing Difficulties
• Applied to Individuals, GroupsNot part of Base
  Pay
• Standard Rules for
• Within-Band Base Pay Increases
• Promotion From Lower to Higher Band
• Effect of Unacceptable Rating
• Reductions in Pay/Band
• Unique Pay/Classification Features
• Compensation Committee, with Union Representation
  (DHS)
• Aggregate Funding Floor (NSPS)
• Within-Band Control Points (NSPS)
• Pay Adjustments for Minimally Satisfactory
  Employees (NSPS)

CURRENT
9
Civil Service ModernizationPerformance
Management DHS/NSPS

• Common Performance Management Elements
• Overall System requirements (Alignment, etc.)
• Expectations Need Not Be In Writing, but Must Be
  Communicated
• Expectations Include Appropriate Conduct, SOPs,
  Daily Assignments
• Monitoring, Feedback, Interim Reviews Required
• Performance Improvement Period (PIP) Optional
• No Pass/FailGenerally
• No Forced Distribution or Ratings Quotas
• Unique Features
• Pass/Fail Permitted for Trainees, Other Special
  Circumstances (DHS)
• Provision for Minimally Satisfactory Rating
  (NSPS)
• Grievance, Arbitration of Appraisal Rating (DHS)
• Administrative Process to Review Appraisal Rating
  (NSPS)

CURRENT
10
Civil Service ModernizationLabor Relations
DHS/NSPS

• Common Labor Relations Elements
• No More Bargaining Over
• Agency-Wide Personnel Policies and Regulations
• Implementation and ImpactPrior to Management
  Action
• Procedures Involving Operational Management
  Rights
• Changes that do not have Significant,
  Substantial Adverse Impact
• Continued Bargaining Over
• Personnel Policies, Working Conditions at Level
  of Recognition
• Non-Operational Procedures, such as Discipline,
  Promotion, etc.
• Adverse Impactbut After Implementation (60 Days
  in DHS)
• Time Limits on Term, Mid-Term Bargaining
• Agency-Unique Labor Boards to Resolve Most
  Disputes
• Single, Integrated Process for Bargaining Issues
• Limited FLRA Review Judicial Review
• Unique Features
• Component Personnel Regulations Not Negotiable
  (NSPS)
• National. Multi-Unit Bargaining at Agency
  Discretion (NSPS)
• NSLRB Adjudicates all ULPs (NSPS)
• Performance Ratings Not Grievable (NSPS)

CURRENT
11
Civil Service ModernizationAdverse Actions
DHS/NSPS

• Common Adverse Actions Elements
• Single, Integrated Process for Performance/Conduct
  -Based Actions
• Due Process Preserved
• Notice, Representation, Reply, Decision, Appeal
• Streamlined 15-day Notice/10-Day Concurrent
  Reply Period
• Probationary Periods Extended
• Performance Improvement Period (PIP) Optional
• Initial Service Period of up to 2 Years (DHS)
• Up to 3-Year Probationary Period (NSPS)
• Mandatory Removal Offenses (MROs) Identified by
  Secretary
• Notice in Federal Register
• Annual Employee Notification
• Headquarters Approval
• No MitigationOnly Agency Head Can Mitigate

CURRENT
12
Civil Service ModernizationAppeals DHS/NSPS

• Core Appeals Elements
• Single Agency Burden of Proof Preponderance of
  Evidence
• MSPB Hears All Non-MRO Cases
• Unionized Employees May Elect Grievance/Arbitratio
  n
• Procedures StreamlinedTime Limits
• Summary Judgment, Limited Discovery
• New Mitigation Standard Permitted Only if
  Penalty is
• So Disproportionate to the Offense
• As to be Wholly Without Justification
• Unique Features
• MSPB AJ Decisions Subject to Limited Agency
  Review (NSPS)
• Arbitration Treated as AJ Decision (NSPS)
• Mandatory Removal Cases Adjudicated by
• MSPB (NSPS)
• Agency-Appointed Mandatory Removal Panel, MSPB
  (DHS)

CURRENT