Effective April 13, 2017, the Postal Service™ is revising the Employee and Labor Relations Manual (ELM), subchapter 410, to update numerous obsolete sections. This includes updates to the Supervisor Differential Adjustment (SDA) table and to the Non-Bargaining Unit promotional pay policy.
Employee and Labor Relations Manuals (ELM)
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4 Pay Administration
410 Pay Administration Policy for Nonbargaining Unit Employees
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411.3 Responsibility
411.31 Assignment of Positions
[Revise the text of 411.31 to read as follows:]
The chief Human Resources officer (CHRO) is responsible for determining the appropriate Non-Bargaining Unit Grade for each position covered by 410. Salary ranges are determined by Compensation through market value research and consultations with the Management Associations.
411.32 Policy and Procedural Changes
[Revise the text of 411.32 to read as follows:]
The CHRO directs the evaluation and development of recommendations concerning compensation policy and procedural matters. Exceptions to the policies contained in this subchapter require approval by the CHRO or designee.
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[Revise the title and text of 411.333 to read as follows:]
411.333 Part-Time Postmaster Rates — Part-Time Post Office and Remotely Managed Post Office
The Postal Service pays part-time Postmasters (Part-Time Post Office (PTPO) and Remotely Managed Post Office (RMPO)) at hourly rates for less than a 40-hour week (see Rate Schedule F).
[Delete 411.4 in its entirety.]
412 New Appointment
412.1 Career Appointment
[Add new 412.11 and 412.12 to read as follows:]
412.11 Applicability
This section applies to newly hired EAS employees only. For bargaining unit to EAS promotional rules, see 413.22.
412.12 New Career Appointment
A new employee hired into the EAS schedule is paid the minimum salary for the grade of the position to which hired. The appointing official has the flexibility to set the starting salary up to the midpoint of the grade. Further variation may occur in the following circumstances:
a. Exceptional Qualifications. If the person has exceptional qualifications, the appointing official may request an exception to set the salary over the midpoint of the grade. Per current pay policy, the functional vice president must approve the exception.
b. Supervision of Bargaining Unit Employees. When an appointment is to an exempt EAS-15 through EAS-19 grade position that involves directly supervising two or more full-time equivalent bargaining unit employees, current supervisor differential adjustment (SDA) pay policies will apply as described in Exhibit 412.12b.
[Renumber Exhibit 412.1b as Exhibit 412.12b and revise the title and text to read as follows:]
Exhibit 412.12b Position Groups Eligible for Supervisory Differential Adjustment Rate
412.2 Noncareer Appointment
[Revise the text of 412.2 to read as follows:]
The Postal Service hires noncareer, nonbargaining employees in accordance with the provisions in 419.
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413.2 Promotion Increase
413.21 Nonbargaining Unit Employees
[Revise the text of 413.21 to read as follows:]
Nonbargaining unit employees may receive promotion increases based on the distance from the maximum of the new grade as follows:
Factor #1
Factor #2
In addition to the eligible promotion increases described in Factor #1, nonbargaining unit employees will automatically receive a percent increase for promotions that are 3 or more grades.
For additional information, you can find the Promotional Calculator Table on the Compensation website.
Management should consider the full applicable percent range in determining the amount of a promotion increase, considering such factors as:
a. Responsibility and complexity of the job.
b. Skill requirements.
c. The employee’s experience, credentials, and salary history.
The conditions and exceptions described below apply to promotional increases:
a. An increase cannot result in a salary that is below the minimum or exceed the maximum of the new grade.
b. An increase of more than the eligible percent is given if necessary to bring the salary to the minimum of the new grade or the minimum salary rate for certain supervisory positions as described in Exhibit 412.12b.
c. If an employee is promoted more than once within 52 weeks, the total promotional increases may not exceed 25 percent.
d. For promotions to positions at grades 15 through 19 that require supervising two or more full-time equivalent bargaining unit employees, the amount of the increase must result in a salary that is no less than the minimum salary rate for those employees promoted to positions as described in Exhibit 412.12b.
413.22 Bargaining Unit Employees
[Revise the text of item b. to read as follows:]
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b. An increase of more than 5 percent is given if necessary to bring the employee’s salary to the minimum of the new grade or the minimum salary for certain supervisory positions as described in Exhibit 412.12b.
413.3 Position Upgrade
[Revise the text of 413.3 to read as follows:]
When an employee’s position is upgraded through the Workload Credit or job evaluation process, a 2 percent basic salary increase is provided. The increase is adjusted higher if necessary to bring the salary to the minimum of the new grade or the minimum salary for certain supervisory positions as described in Exhibit 412.12b.
The increase is adjusted lower if necessary, to keep the salary from exceeding the maximum of the higher grade.
[Revise the title and text of 413.4 to read as follows:]
413.4 Part-Time Postmasters (PTPO and RMPO)
When a Postmaster in a PTPO or RMPO Post Office is promoted to a position in a grade higher than the PTPO or RMPO Postmaster grade, the following occurs to the Postmaster’s hourly rate:
a. It is converted to the full-time annual salary equivalent to that hourly rate (hourly rate x 2080).
b. Then it is further adjusted in accordance with the promotion procedures in 413.21 – Factor #1 only.
414 Reassignment
414.1 Reassignment to Nonbargaining Unit Positions
414.11 Definition
[Revise the last sentence of 414.11 to read as follows:]
***(For changes between pay schedules, see Exhibit 418.)
414.12 Rate Adjustment
414.121 Nonbargaining Unit Employees
[Revise the last sentence of 414.121 to read as follows:]
***In this case, the salary must be no less than the supervisory differential adjustment (SDA) rate, as described in Exhibit 412.12b.
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[Deleted 414.13 in its entirety.]
414.2 Reassignment to Bargaining Unit Positions
414.21 Definition
[Revise the text of 414.21 to read as follows:]
A reassignment from a nonbargaining unit position to a bargaining unit position is the permanent change, with or without relocation, of a nonbargaining unit employee to an established bargaining unit position with an equivalent grade (see Exhibit 418).
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415.2 Changes to Lower Grade
415.21 Change to Lower Grade During a RIF Avoidance Period, Specific RIF Notice Period, RIF-Related 30-Day Nonduty, Nonpay Status Period, or a RIF
[Revise the text of 415.21 to read as follows:]
Nonbargaining employees who are changed to a lower grade career nonbargaining position during RIF-related periods — RIF avoidance; specific RIF notice; 30-day nonduty, nonpay status; 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. If upon expiration of the saved grade period the employee’s salary is within the salary range for the lower grade, the salary is continued. However, if the salary exceeds the maximum of the new grade, the salary is immediately reduced to the grade maximum. This applies to the following:
a. Changes to lower grade positions within the EAS pay schedule.
b. When changes occur within or between other nonbargaining pay schedules. (For more information, see 354.2.)
415.22 Voluntary Change to Lower Grade
[Revise the text of 415.22 to read as follows:]
An employee who voluntarily changes to a lower grade position is reduced to the lower grade immediately. But the salary remains the same as that in the higher grade position, provided it is not above the maximum in the lower position’s salary range. The salary cannot be set above the maximum for the new grade or above the employee’s salary immediately before the change. If the employee has a form of rate retention, it is terminated (see 415.4). However, if an employee was promoted to his or her current position less than one (1) year before the request for voluntary change to lower grade, the employee’s salary will be reduced by the dollar amount of the promotion.
415.23 Position Reclassified to a Lower Grade
[Revise the text of 415.23 to read as follows:]
When a position is reclassified to a lower grade, the employee is reduced to this grade immediately. The employee’s salary is handled in one of two ways:
a. If the employee’s salary is within the salary range for the lower grade, the salary is continued and there is no saved salary.
b. If the employee’s salary exceeds the maximum salary of the lower grade, saved salary is granted for a period not to exceed 2 years. At the end of the 2-year period, if the salary exceeds the maximum of the new grade, the salary is reduced immediately to the grade maximum.
Any management-initiated involuntary change to a lower grade must be effected according to the grievance and appeals procedures in 650.
In cases where full-time Postmaster positions are reclassified to part-time positions for 104 weeks, the Postmaster receives an hourly rate that produces the annual salary in effect before the change (full-time annual salary divided by the annual service hours for the part-time position). At the end of 104 weeks, the affected Postmaster’s hourly rate is reduced to the maximum hourly rate for the RMPO or PTPO (RSC F) salary schedule.
415.24 Management-Initiated Action Where Employee Voluntarily Accepts a Lower Grade Nonbargaining Unit Position
[Revise the last sentence of 415.24 to read as follows:]
***At the end of the 2-year period, the employee’s salary is reduced immediately to the maximum of the lower grade position.
415.25 Refusal of a Reasonable Assignment to a Higher Grade Position During a Rate Retention Period
[Revise the text of 415.25 to read as follows:]
An employee in a lower grade position with rate retention who refuses a reasonable assignment to a higher grade position is reduced immediately to the lower grade, and the salary is reduced by the dollar amount of the most recent promotion or upgrade received.
415.26 Change to Lower Level Due to Demotion for Cause
[Revise the text of 415.26 to read as follows:]
An employee who is changed to a lower grade position because of a demotion for cause is reduced immediately to the lower grade, and the salary is reduced by 10 percent or placed at the maximum of the lower grade, whichever is lower.
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415.4 Termination of Salary Retention
415.41 Reason for Terminating
[Revise the text of 415.41 to read as follows:]
A saved grade, retained rate, or both, ceases at the beginning of the pay period following a determination that the employee is no longer entitled to saved grade, rate retention, or both, for any one of the following reasons:
a. A break in service of one workday or more.
b. A demotion or employee-initiated change to a lower grade position.
c. A promotion or assignment change to a rate in a grade or range equal to or above the saved grade, retained rate, or both.
d. A change in compensation of the employee, for any reason, to a rate equal to or higher than the retained rate.
e. The employee refuses a reasonable assignment to a higher grade position.
f. A change from nonbargaining unit to a bargaining unit schedule. Note: Item 415.41f terminates nonbargaining unit saved grade, saved salary, or both; however, an eligible employee may continue to receive rate retention subject to bargaining unit rules.
[Revise the title of 416 to read as follows:]
416 Pay for Performance Program
416.1 Policy
[Revise the text of 416.1 to read as follows:]
EAS employees are eligible for an annual pay for performance (PFP) salary increase and/or lump sum payment based on a fiscal year performance evaluation. The Postal Service conducts these evaluations in accordance with established performance appraisal instructions. PFP adjustments are made in accordance with guidelines issued annually.
[Delete 416.2 and 416.21, then renumber current 416.22 as new 416.2 and revise the title to read as follows:]
416.2 Management Association Officials Eligibility Requirements
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[Delete 416.23 in its entirety.]
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417.334 Higher Level Pay Conditions
[Revise the text of 417.334 to read as follows:]
Conditions for higher level pay are as follows:
a. EAS Employees. Higher level pay is authorized — via approved PS Form 1723, Assignment Order — to eligible EAS employees during each temporary assignment to higher level EAS positions in Headquarters, Headquarters-related units, area offices, and field installations for all such service beginning after 5 consecutive workdays, excluding breaks for normal days off, and continuing for the duration of the assignment. In situations where an employee is assigned from one higher level assignment to another higher level assignment, a new 5-day waiting period is not required. Different employees are not to be assigned consecutively to the same vacancy solely to avoid the higher level pay requirements.
b. Bargaining Unit Employees. Bargaining unit employees, both career and eligible non-career, are authorized higher level pay — via approved PS Form 1723 — for all time worked on higher level assignments. They receive certain bargaining unit pay premiums according to their bargaining unit agreement when temporarily assigned to a nonbargaining position. However, they are not also eligible for supervisory differential adjustment (SDA) or the Pay for Performance Program.
417.335 Payment Amount
[Revise the last sentence of item b. to read as follows:]
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***The salary is then adjusted in accordance with 417.335a.
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[Revise the title of 417.4 to read as follows:]
417.4 Officer in Charge
[Delete 417.41 and 417.42, then renumber current 417.411 and 417.412 as new 417.41and 417.42.]
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[Revise the title and text of 418 to read as follows:]
418 Assignment to a Different Salary Schedule — Equivalent Grades
When an employee is reassigned, reduced in grade, promoted, or otherwise permanently or temporarily changed to a position in another salary schedule, see Exhibit 418 for grades that are equivalent for pay purposes. This chart determines the appropriate Nature of Action (NOA) triggered when processing a PS Form 50, Notification of Personnel Action. Special salary handling during an involuntary reduction in grade involving bargaining unit employees is performed in accordance with the applicable collective bargaining agreement.
[Delete 418.1 in its entirety, then renumber current Exhibit 418.1 as new Exhibit 418 and revise the text to read as follows: (see page 15).]
Exhibit 418 Equivalent Grades
EQUIVALENT GRADE DETERMINATION —To use the chart:
Step 1. In the horizontal list at the top, locate the salary schedule and grade of the employee’s position before the change action.
Step 2. Cross over to the salary schedule into which the employee is being assigned.
Step 3. Determine the nature of the placement action from the following:
[Delete 418.2, 418.3, and 418.4 in their entirety.]
419 Supplemental EAS Noncareer Workface
419.1 Casual Employee
[Revise the text of 419.1 to read as follows:]
Casual employees are nonbargaining unit, noncareer employees with limited-term appointments. These employees are employed as a supplemental workforce, as described in collective bargaining agreements, to perform duties assigned to bargaining unit positions.
[Delete 419.11 and 419.12 in their entirety.]
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419.3 Postmaster Relief/Leave Replacements
419.31 Definition
[Revise the text of 419.31 to read as follows:]
A Postmaster Relief/Leave Replacement (PMR) is a noncareer hourly rate employee who performs as a relief or leave replacement during the absence of a Postmaster in a Part-Time Post Office (PTPO), or as assigned to a 2-Hour Remotely Managed Post Office (RMPO).
419.32 Salary Grades
[Revise the text of 419.32 to read as follows:]
The Postal Service employs PMRs at the Noncareer Temporary Rate schedule and pays them in accordance with the Postmaster Relief/Leave Replacements schedule.
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We will incorporate these revisions into the next online update of the ELM, which is available on the Postal Service PolicyNet website:
n Go to blue.usps.gov.
n In the left-hand column under “Essential Links,” click PolicyNet.
n Click Manuals.
The direct URL for the Postal Service PolicyNet website is blue.usps.gov/cpim.
— Compensation and Benefits,
Human Resources, 4-13-17