ELM Revision: Change to Lower Grade in RIF-Related Circumstances

Effective October 22, 2009, Employee and Labor Rela­tions Manual (ELM) 415.1, Rate Retention Types, and 415.2, Changes to Lower Grade, are revised to reflect cur­rent policy as defined in the memo “PCES and EAS Employees Impacted by Organizational Change/Reduc­tion-in-Force; Change in Pay and Benefits Policy,” Post­master General John E. Potter, April 2, 2004. ELM revisions are as follows:

n The section defining the term “saved grade” adds language to clarify the term and to change the refer­ence for RIF-related periods.

n The sections concerning various RIF-related circum­stances are deleted to remove old policy.

n A single new section is added to reflect the new pol­icy for RIF-related circumstances.

Under this new policy, employees in all RIF circum­stances, veterans’ preference eligible and nonpreference eligible, are treated equally.

Employee and Labor Relations Manual (ELM)

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4 Pay Administration

410 Pay Administration Policy for Nonbargaining Unit Employees

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415 Rate Retention and Change to Lower Grade for Career Nonbargaining Unit Employees

415.1 Rate Retention Types

415.11 Saved Grade

[Revise 415.11 as follows:]

Under “saved grade”, an employee assigned to a lower grade is treated as being in the higher grade for pay increases and benefit purposes during the saved grade period. Nonbargaining unit employees, except for those assigned to lower grades during RIF-related periods (see 415.21), may be granted saved grade only in accordance with the terms and conditions issued for special situations by the vice president, Employee Resource Management (ERM).

[Delete 415.12. Renumber 415.13, Saved Salary, as 415.12.]

[Delete 415.2 through 415.4.]

[Renumber 415.5 as 415.2 and revise title as follows:]

415.2 Changes to Lower Grade

[Add 415.21 as follows:]

415.21 Change to Lower Grade During a RIF Avoidance Period, Specific RIF Notice Period, or a RIF

Nonbargaining employees who are changed to a lower grade career nonbargaining position during RIF-related periods — RIF avoidance, specific RIF notice, and RIF — retain their current grade and pay for a period not to exceed 2 years from the effective date of the change to the lower grade position. On expiration of the saved grade period, they are automatically reduced to the grade of their current position and receive saved salary indefinitely subject to ELM 415.41. This applies not only for changes to lower grade positions within the EAS pay schedule, but also when changes occur within or between other nonbargain­ing pay schedules. (For further information, see 354.2.)

[Renumber 415.51 through 415.55 as 415.22 through 415.26. Renumber 415.6 as 415.3 and 415.7 as 415.4. Change references in new 415.3a to reflect revised num­bering, and delete 415.42]

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