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115933 1 (1981-07-21)

handle is hein.gao/gaobadyuq0001 and id is 1 raw text is: 






                U.S. GENERAL ACCOUNTING OFFICE
                    WASHINGTON, D.C. 20548


                                       FOR RELEASE ON DELIVERY
                                       Expected at 9:30 a.m.
                                       Tuesday, July 21, 1981

                        STATEMENT OF

           WILLIAM J. McCORMICK, JR., DEPUTY DIRECTORII            III
           FEDERAL PERSONNEL AND COMPENSATION DIVISION
                                                              115933
                         BEFORE THE

      SUBCOMMITTEE ON COMPENSATION AND EMPLOYEE BENEFITS
    OF THE HOUSE POST OFFICE AND CIVIL SERVICE COMMITTEE

                              ON

               ITHE FEDERAL MERIT PAY PROGRAM
               L

Madam Chair and Members of the Subcommittee:

     We are pleased to be here today to discuss our work on the

Federal Merit Pay Program.

     Under the Civil Service Reform Act of 1978 (CSRA), pay in-

creases for management officials and supervisors in grades GS-13

through 15 are, by October 1, 1981, to be based on their perform-

ance. The Office of Personnel Management (OPM) estimates that

approximately 100 agencies will be required to implement pay-for-

performance systems. These systems could be used to compensate

as many as 152,000 employees.

     Merit pay is a dramatic departure from past compensation

practices. It represents a new, previously untried approach for

the Federal Government and will be watched closely by many ob-

servers, particularly those employees whose livelihoods are

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