317. Presidential authority to place positions at levels IV and V. 318. Adjustments in rates of pay.

SUBCHAPTER III-GENERAL SCHEDULE PAY RATES

331. Definitions; application.

332. The General Schedule.

333. Minimum rate for new appointments; higher rates for supervisors of

prevailing rate employees.

34. Rate on change of position or type of appointment; regulations.

43.

Prevailing rate determinations; wage schedules; night differentials. 44. Effective date of wage increase; retroactive pay.

45. [Repealed.]

46. Job grading system.

49.

51.

52.

53.

Prevailing rate employees; legislative, judicial, Bureau of Engraving and
Printing, and government of the District of Columbia.

SUBCHAPTER V-STUDENT-EMPLOYEES

Definitions.

Stipends.

Quarters, subsistence, and laundry.

54. Effect of detail or affiliation; travel expenses.

55. Effect on other statutes.

56. Appropriations.

SUBCHAPTER VI-GRADE AND PAY RETENTION

Definitions.

Grade retention following a change of positions or reclassification.
Pay retention.

5361.

5362.

5363.

5364.

5365.

Regulations.

5366. Appeals.

Remedial actions.

5381. 5382.

5383. 5384.

Definitions.

Establishment and adjustment of rates of pay for the Senior Executive
Service.

Setting individual senior executive pay.

Performance awards in the Senior Executive Service.

5385. Regulations.

SUBCHAPTER I-PAY COMPARABILITY SYSTEM

§ 5301. Policy

(a) It is the policy of Congress that Federal pay fixing for employees under statutory pay systems be based on the principles that

(1) there be equal pay for substantially equal work;

(2) pay distinctions be maintained in keeping with work and performance distinctions;

(3) Federal pay rates be comparable with private enterprise pay rates for the same levels of work; and

(4) pay levels for the statutory pay systems be interrelated.

(b) The pay rates of each statutory pay system shall be fixed and adjusted in accordance with the principles under subsection (a) of this section and the provisions of sections 5305, 5306, and 5308 of this title.

(c) For the purpose of this subchapter, "statutory pay system" means a pay system under

(1) subchapter III of this chapter, relating to the General Schedule;

(2) section 403 of the Foreign Service Act of 1980, relating to the Foreign Service of the United States; or

(3) chapter 73 of title 38, relating to the Department of Medicine and Surgery, Veterans' Administration.

(Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 458, amended Pub. L. 91-656, § 2(a), Jan. 8, 1971, 84 Stat. 1946; Pub. L. 96-465, Oct. 17, 1980, 94 Stat. 2167.)

§ 5302. Repealed. Pub. L. 91-656; § 2(b)(1), Jan. 8, 1971, 84 Stat. 1946.

§ 5303. Higher minimum rates; Presidential authority

(a) When the President finds that the pay rates in private enterprise for one or more occupations in one or more areas or locations are so substantially above the pay rates of statutory pay schedules as to handicap significantly the Government's recruitment or retention of well-qualified individuals in positions paid under

(1) section 5332 of this title;

(2) Repealed. Pub. L. 91-375, § 6(c) (10), Aug. 12, 1970, 84 Stat. 776;

(3) the pay scales for physicians, dentists, and nurses in the Department of Medicine and Surgery, Veterans' Administration, under chapter 73 of title 38; or

(4) section 403 of the Foreign Service Act of 1980;

he may establish for the areas or locations higher minimum rates of basic pay for one or more grades or levels, occupational groups, series, classes, or subdivisions thereof, and may make corresponding increases

in all step rates of the pay range for each such grade or level. However, a minimum rate so established may not exceed the maximum pay rate prescribed by statute for the grade or level. The President may authorize the exercise of the authority conferred on him by this section by the Office of Personnel Management or, in the case of individuals not subject to the provisions of this title governing appointment in the competitive service, by such other agency as he may designate.

(b) Within the limitations of subsection (a) of this section, rates of basic pay established under that subsection may be revised from time to time by the President or by such agency as he may designate. The actions and revisions have the force and effect of statute.

(c) An increase in rate of basic pay established under this section is not an equivalent increase in pay within the meaning of section 5335 (a) of this title.

(d) The rate of basic pay established under this section and received by an individual immediately before a statutory increase, which becomes effective prior to, on, or after the date of enactment of the statute, in the pay schedule applicable to such individual of any pay system specified in subsection (a) of this section, shall be initially adjusted, effective on the effective date of the statutory increase, under conversion rules prescribed by the President or by such agency as the President may designate. (Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 458, amended Pub. L. 90-206, § 207, Dec. 16, 1967, 81 Stat. 631; Pub. L. 91-375, § 6(c) (10), Aug. 12, 1970, 84 Stat. 776; Pub. L. 94-183, § 2(16), Dec. 31, 1975, 89 Stat. 1057; amended Pub. L. 95-454, Oct. 13, 1978, 92 Stat. 1224; Pub. L. 96-465, Oct. 17, 1980, 94 Stat. 2167.)

§ 5304. Presidential policies and regulations

The functions, duties, and regulations of the agencies and the Office of Personnel Management with respect to this subchapter, subchapter III of this chapter, chapter 51 of this title, the Foreign Service Act of 1980; and the provisions of chapter 73 of title 38 relating to employees in the Department of Medicine and Surgery, Veterans' Administration, are subject to such policies and regulations as the President may prescribe. Among other things, the policies and regulations of the President may provide for

(1) preparing and reporting to him the annual comparison of Federal pay rates with private enterprise rates;

(2) obtaining and reporting to him the views of employee organizations on the annual comparison, and on other pay matters;

(3) reviewing and reporting to him on the adequacy of the Federal statutory pay structures for the Federal programs to which they apply;

(4) reviewing the relationship of Federal statutory pay rates and private enterprise pay rates in specific occupation and local areas; and

(5) providing step-increases in recognition of high quality performance and providing for properly relating supervisory pay rates paid under one system to those of subordinates paid under another system.

(Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 459, amended Pub. L. 91-375, § (6) (c) (11), Aug. 12, 1970, 84 Stat. 776; amended Pub. L. 95-454, Oct. 13, 1978, 92 Stat. 1224; Pub. L. 96-465, Oct. 17, 1980, 94 Stat. 2168.)

§5305. Annual pay reports and adjustments

(a) In order to carry out the policy stated in section 5301 of this title, the President shall

(1) direct such agent as he considers appropriate to prepare and submit to him annually, after considering such views and recommendations as may be submitted under the provisions of subsection (b) of this section, a report that—

(A) compares the rates of pay of the statutory pay systems with the rates of pay for the same levels of work in private enterprise as determined on the basis of appropriate annual surveys that shall be conducted by the Bureau of Labor Statistics;

(B) makes recommendations for appropriate adjustments in rates of pay; and

(C) includes the views and recommendations submitted under the provisions of subsection (b) of this section; (2) after considering the report of his agent and the findings and recommendations of the Advisory Committee on Federal Pay reported to him under section 5306 (b) (3) of this title, adjust the rates of pay of each statutory pay system in accordance with the principles under section 5301 (a) of this title, effective as of the beginning of the first applicable pay period commencing on or after October 1 of the applicable year; and

(3) transmit to Congress a report of the pay adjustment, together with a copy of the report submitted to him by his agent and the findings and recommendations of the Advisory Committee on Federal Pay reported to him under section 5306(b)(3) of this title.

The report transmitted to the Congress under this subsection shall specify the overall percentage of the adjustment in the rates of pay under the General Schedule and of the adjustment in the rates of pay under the other statutory pay systems.

(b) In carrying out its functions under subsection (a)(1) of this section, the President's agent shall

(1) establish a Federal Employees Pay Council of 5 members who shall not be deemed to be employees of the Government of the United States by reason of appointment to the Council and shall not receive pay by reason of service as members of the Council, who shall be representatives of employee organizations which represent substantial numbers of employees under the statutory pay systems, and who shall be selected with due consideration to such factors as the relative numbers of employees represented by the various organizations, but no more than 3 members of the Council at any one time shall be from a single employee organization, council, federation, alliance, association, or affiliation of employee organizations;

(2) provide for meetings with the Federal Employees Pay Council and give thorough consideration to the views and recom