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Notice

January 2008 Pay Adjustments

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Information about this document as published in the Federal Register.

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This document has been published in the Federal Register. Use the PDF linked in the document sidebar for the official electronic format.

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AGENCY:

U.S. Office of Personnel Management.

ACTION:

Notice.

SUMMARY:

The President adjusted the rates of basic pay and locality payments for certain categories of Federal employees effective in January 2008. This notice documents those pay adjustments for the public record.

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FOR FURTHER INFORMATION CONTACT:

Carey Johnston, Center for Pay and Leave Administration, Division for Strategic Human Resources Policy, U.S. Office of Personnel Management; (202) 606-2858; FAX (202) 606-0824; or e-mail to pay-performance-policy@opm.gov.

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SUPPLEMENTARY INFORMATION:

On January 4, 2008, the President signed Executive Order 13454 (73 FR 1481), which implemented the January 2008 pay adjustments. The President made these adjustments consistent with Public Law 110-161, December 26, 2007, which authorized an overall average pay increase of 3.5 percent for the “statutory pay systems,” including the General Schedule (GS).

Schedule 1 of Executive Order 13454 provides the rates for the 2008 General Schedule and reflects a 2.5 percent across-the-board increase. Executive Order 13454 also includes the percentage amounts of the 2008 locality payments. (See Section 5 and Schedule 9 of Executive Order 13454.)

The publication of this notice satisfies the requirement in section 5(b) of Executive Order 13454 that the U.S. Office of Personnel Management (OPM) publish appropriate notice of the 2008 locality payments in the Federal Register.

GS employees receive locality payments under 5 U.S.C. 5304. Locality payments apply in the continental United States (as defined in 5 CFR 531.602 to include the several States and the District of Columbia, but not Alaska or Hawaii). In 2008, locality payments ranging from 13.18 percent to 32.53 percent apply to GS employees in 32 locality pay areas. (The 2008 locality pay areas definitions can be found at http://www.opm.gov/​oca/​08tables/​locdef.asp.). These 2008 locality pay percentages, which replaced the 2007 locality pay percentages, became effective on the first day of the first pay period beginning on or after January 1, 2008 (January 6, 2008). An employee's locality rate of pay is computed by increasing his or her scheduled annual rate of pay (as defined in 5 CFR 531.602) by the applicable locality pay percentage. (See 5 CFR 531.604 and 531.609.)

Executive Order 13454 establishes the new Executive Schedule, which incorporates a 2.5 percent increase required under 5 U.S.C. 5318 (rounded to the nearest $100). By law, Executive Schedule officials are not authorized to receive locality payments.

Executive Order 13454 establishes the range of rates of basic pay for senior executives in the Senior Executive Service (SES), as established pursuant to 5 U.S.C. 5382. The minimum rate of basic pay for the SES may not be less than the minimum rate payable under 5 U.S.C. 5376 for senior-level positions ($114,468 in 2008). The maximum rate of the SES rate range is level II of the Executive Schedule ($172,200 in 2008) for SES members covered by a certified Start Printed Page 3760SES performance appraisal system and level III of the Executive Schedule ($158,500 in 2008) for SES members covered by an SES performance appraisal system that has not been certified. By law, SES members are not authorized to receive locality payments. Agencies with certified performance appraisal systems in 2008 for senior executives and/or senior-level (SL) and scientific or professional (ST) positions also must apply a higher aggregate limitation on pay—up to the Vice President's salary ($221,100 in 2008).

The Executive order adjusted the rates of basic pay for administrative law judges (ALJs) by 2.5 percent (rounded to the nearest $100). The maximum rate of basic pay for ALJs is set by law at the rate for level IV of the Executive Schedule, which is now $149,000. The rate of basic pay for AL-2 is $145,400. The rates of basic pay for AL-3/A through 3/F range from $99,500 to $137,600. (See 5 U.S.C. 5372.)

The rates of basic pay for members of Contract Appeals Boards are calculated as a percentage of the rate for level IV of the Executive Schedule. (See 5 U.S.C. 5372a.) Therefore, these rates of basic pay were increased by approximately 2.5 percent.

The maximum rate of basic pay for SL/ST positions was increased by approximately 2.5 percent (to $149,000) because it is tied to the rate for level IV of the Executive Schedule. The minimum rate of basic pay for SL/ST positions is equal to 120 percent of the minimum rate of basic pay for GS-15 and thus was increased by 2.5 percent (to $114,468). (See 5 U.S.C. 5376.)

On November 2, 2007, the President's Pay Agent extended the 2008 locality-based comparability payments to certain categories of non-GS employees. The Governmentwide categories include employees in SL/ST positions, ALJs, and Contract Appeals Board members. The maximum locality rate of pay for these employees is the rate for level III of the Executive Schedule ($158,500 in 2008).

On January 4, 2008, OPM issued a memorandum (CPM 2008-01) on the January 2008 pay adjustments. (See http://www.opm.gov/​oca/​compmemo/​2008/​2008-01.asp) The memorandum transmitted Executive Order 13454 and provided the 2008 salary tables, locality pay areas and percentages, and information on general pay administration matters and other related information. The “2008 Salary Tables” posted on OPM's Web site at http://www.opm.gov/​oca/​08tables/​index.asp are the official rates of pay for affected employees and are hereby incorporated as part of this notice.

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Office of Personnel Management.

Linda M. Springer,

Director.

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[FR Doc. E8-1032 Filed 1-18-08; 8:45 am]

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