About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline

FPCD-81-74 1 (1981-09-21)

handle is hein.gao/gaobabckb0001 and id is 1 raw text is: 



UNITED STATES GENERAL ACCOUNTING OFFICE
        WASHINGTON, D.C. 20548


SEPTEMBER 21, 1981


B-204477


The Honorable Michael Cardenas
Administrator, Small Business
  Administration

Dear Mr. Cardenas:


Subject:


111111111
   116369


Problems with the Small Business Administra-
tion's Merit Appraisal and Compensation System
(FPCD-81-74)


     We reviewed the Small Business Administration's (SBA's)
performance appraisal/merit pay program as part of our review
of agencies that made merit payouts effective October 1980.
We are submitting our findings in a report to the Congress
(FPCD-81-73, Sept. 11, 1981). This letter summarizes specific
concerns which we have discussed with your staff.

     As might be expected, SBA experienced numerous problems
in its initial implementation of merit pay. Some of these
problems appear to be associated principally with implemen-
tation; others appear to be recurring such as

     --difficulties in developing, with employee involvement,
       meaningful performance standards;

     --problems with rating distribution skewness, resulting
       in management's prescribing a distribution of ratings
       contrary to the Office of Personnel Management (OPM)
       regulation; and

     --problems with using preestablished performance objec-
       tives as the basis for performance appraisals leading
       to the substitution of new appraisal criteria after
       the appraisal period contrary to the requirements
       of the Civil Service Reform Act.

                                                      (966032)


FEDERAL PERSONNEL AND
COMPENSATION DIVISION


KSO~,

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Already a HeinOnline Subscriber?

profiles profiles most