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GAO-03-793R 1 (2003-05-19)

handle is hein.gao/gaobaamev0001 and id is 1 raw text is: I Accountability * Integrity * Reliability United States General Accounting Office Washington, DC 20548 May 19, 2003 The Honorable Jo Ann Davis Chairwoman Subcommittee on Civil Service and Agency Organization Committee on Government Reform House of Representatives Subject: Posthearing Questions Related to Pay for Performance Dear Madam Chairwoman: On April 1, I testified before your Subcommittee at a hearing on Compensation Reform: How Should the Federal Government Pay Its Employees?' This letter responds to your request that I provide answers to follow-up questions from the hearing. Your questions, along with my responses, follow. 1. What standards must an agency implement to safeguard against a pay-for- performance system that might be abused by managers playing favorites? At the request of Representative Danny Davis, we developed an initial list of possible safeguards for Congress to consider to help ensure that pay for performance systems in the government are fair, effective, and credible. We believe that the following could provide a starting point for developing a set of statutory safeguards in connection with any additional efforts to expand pay for performance systems. Assure that the agency's performance management systems (1) link to the agency's strategic plan, related goals, and desired outcomes and (2) result in meaningful distinctions in individual employee performance. This should include consideration of critical competencies and achievement of concrete results. Involve employees, their representatives, and other stakeholders in the design of the system, including having employees directly involved in validating any related competencies, as appropriate. Assure that certain predecisional internal safeguards exist to help achieve the consistency, equity, nondiscrimination, and nonpoliticization of the performance management process (e.g., independent reasonableness reviews by Human 'U.S. General Accounting Office, Results-Oriented Cultures: Modern Performance Management Systems Are Needed to Effectively Support Pay for Performance, GAO-03-612T (Washington, D.C.: Apr. 1, 2003). GAO-03-793R Pay for Performance

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