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B-157753 1 (1971-07-13)

handle is hein.gao/gaobaafii0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING FFICF WASHINGTON, D.C. 205 [IGFIF DEFENSE DIVISION/ B-157753 JUL 1 101 LM095598 Dear Mr. Secretary: The General Accounting Office has made a review of severance payments by selected military installations to separated civilian employees. In October 1969 and March 1970 you announced actions to consol- idate, reduce, realign, or close certain military installations in the United States and Puerto Rico. These actions were expected to result in elimination of about 85,600 civilian positions. Many employ- ees given initial reduction-in-force notices were not involuntarily separated because scme positions scheduled for elimination were vacated by the retirement, voluntary resignation, transfer, or reassignment of employees. The installations were responsible for determining whether those who were involuntarily separated were entitled to severance pay as authorized by law, and for making those payments in accordance with regulations of the Civil Service Commission. In our review of civilian pay and allowances during fiscal year 1970, we made tests of the procedures and controls used in processing severance payments at each military installation visited. More tests are being made in fiscal year 1971. We made a more detailed review of payments to separated employees selected at random at eight Army, Navy and Air Force installations to determine whether the procedures and controls used were adequate to ensure that the payments were in accord- ance with applicable laws and regulations. Entitlement of separated employees to severance pay Section 9 of the Federal Enployees Salary Act of 1965, as amended, 5 U.S.C. 5595, and Civil Service Commission regulations, contained in the Federal Personnel Manual (FPM) and FPM Supplements 990-1 and 99C-2, prescribe the conditions under which an employee is entitled to sever- ance pay. The law and regulations also prescribe the method for comput- ing the total amount of severance pay to which an employee is entitled, called the severance pay fund, and the manner in which payment is to be made. 50TH ANNIVERSARY 1921-1971

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