
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 5USC5301]

 
             TITLE 5--GOVERNMENT ORGANIZATION AND EMPLOYEES
 
                           PART III--EMPLOYEES
 
                      Subpart D--Pay and Allowances
 
                    CHAPTER 53--PAY RATES AND SYSTEMS
 
                 SUBCHAPTER I--PAY COMPARABILITY SYSTEM
 
Sec. 5301. Policy

    It is the policy of Congress that Federal pay fixing for employees 
under the General Schedule be based on the principles that--
        (1) there be equal pay for substantially equal work within each 
    local pay area;
        (2) within each local pay area, pay distinctions be maintained 
    in keeping with work and performance distinctions;
        (3) Federal pay rates be comparable with non-Federal pay rates 
    for the same levels of work within the same local pay area; and
        (4) any existing pay disparities between Federal and non-Federal 
    employees should be completely eliminated.

(Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 458; Pub. L. 91-656, Sec. 2(a), 
Jan. 8, 1971, 84 Stat. 1946; Pub. L. 96-465, title II, Sec. 2314(c)(1), 
Oct. 17, 1980, 94 Stat. 2167; Pub. L. 101-509, title V, Sec. 529 [title 
I, Sec. 101(a)(1)], Nov. 5, 1990, 104 Stat. 1427, 1429.)

                      Historical and Revision Notes
------------------------------------------------------------------------
                                                    Revised Statutes and
     Derivation                U.S. Code             Statutes at Large
------------------------------------------------------------------------
                     5 U.S.C. 1171.                Oct. 11, 1962, Pub.
                                                    L. 87-793, Sec.
                                                    502, 76 Stat. 841.
------------------------------------------------------------------------

    The words ``It is the policy of Congress'' are substituted for ``The 
Congress hereby declares''. The words ``whereas the functions of a 
Federal salary system are to fix salary rates for the services rendered 
by Federal employees so as to make possible the employment of persons 
well qualified to conduct the Government's programs and to control 
expenditures of public funds for personal services with equity to the 
employee and to the taxpayer, and whereas fulfillment of these functions 
is essential to the development and maintenance of maximum proficiency 
in the civilian services of Government, then, accordingly'' are omitted 
as unnecessary.
    In the last sentence, the words ``and henceforth'' are omitted as 
executed.
    Standard changes are made to conform with the definitions applicable 
and the style of this title as outlined in the preface to the report.


                               Amendments

    1990--Pub. L. 101-509 amended section generally. Prior to amendment, 
section read as follows:
    ``(a) It is the policy of Congress that Federal pay fixing for 
employees under statutory pay systems be based on the principles that--
        ``(1) there be equal pay for substantially equal work;
        ``(2) pay distinctions be maintained in keeping with work and 
    performance distinctions;
        ``(3) Federal pay rates be comparable with private enterprise 
    pay rates for the same levels of work; and
        ``(4) pay levels for the statutory pay systems be interrelated.
    ``(b) The pay rates of each statutory pay system shall be fixed and 
adjusted in accordance with the principles under subsection (a) of this 
section and the provisions of sections 5305, 5306, and 5308 of this 
title.
    ``(c) For the purpose of this subchapter, `statutory pay system' 
means a pay system under--
        ``(1) subchapter III of this chapter, relating to the General 
    Schedule;
        ``(2) section 403 of the Foreign Service Act of 1980, relating 
    to the Foreign Service of the United States; or
        ``(3) chapter 73 of title 38, relating to the Department of 
    Medicine and Surgery, Veterans' Administration.''
    1980--Subsec. (c)(2). Pub. L. 96-465 substituted ``section 403 of 
the Foreign Service Act of 1980'' for ``subchapter IV of chapter 14 of 
title 22''.
    1971--Pub. L. 91-656 designated provisions of first sentence as 
subsec. (a), incorporating former cl. (1) in cls. (1) and (2), and 
former cl. (2) in cl. (3), and inserted ``for employees under statutory 
pay systems'' after ``Federal pay fixing''; substituted subsec. (b) 
reading ``The pay rates of each statutory pay system shall be fixed and 
adjusted in accordance with the principles under subsection (a) of this 
section and the provisions of sections 5305, 5306, and 5308 of this 
title'' for former second sentence providing ``Pay levels for the 
several Federal statutory pay systems shall be interrelated, and pay 
levels shall be set and adjusted in accordance with these principles''; 
and added subsec. (c).


                    Effective Date of 1990 Amendment

    Section 529 [title III, Sec. 305] of Pub. L. 101-509 provided that:
    ``(a) Generally.--Except as otherwise provided in this Act, this Act 
and the amendments made by this Act [this Act means section 529 [titles 
I-III, Secs. 1-306] of Pub. L. 101-509, but does not include section 529 
[title IV, Secs. 401-412] of Pub. L. 101-509, see Short Title of 1990 
Amendment; Rules of Construction note below, and see Tables for 
classification] shall take effect on such date as the President shall 
determine [see Ex. Ord. No. 12748, Feb. 1, 1991, 56 F.R. 4521, set out 
below], but not earlier than 90 days, and not later than 180 days, after 
the date of enactment of this Act [Nov. 5, 1990].
    ``(b) Special Rule.--The first calendar year in which comparability 
payments under section 5304 of title 5, United States Code (as amended 
by this Act), are paid shall be the calendar year beginning on January 
1, 1994.''


                    Effective Date of 1980 Amendment

    Amendment by Pub. L. 96-465 effective Feb. 15, 1981, except as 
otherwise provided, see section 2403 of Pub. L. 96-465, set out as an 
Effective Date note under section 3901 of Title 22, Foreign Relations 
and Intercourse.


                      Short Title of 2000 Amendment

    Pub. L. 106-554, Sec. 1(a)(4) [div. B, title IX, Sec. 901], Dec. 21, 
2000, 114 Stat. 2763, 2763A-303, provided that: ``This title [enacting 
provisions set out as notes under sections 5304 and 5305 of this title 
and section 204 of Title 3, The President, and amending provisions set 
out as a note under section 5305 of this title] may be cited as the `Law 
Enforcement Pay Equity Act of 2000'.''


                      Short Title of 1993 Amendment

    Pub. L. 103-89, Sec. 1, Sept. 30, 1993, 107 Stat. 981, provided 
that: ``This Act [amending sections 3372, 4501, 4502, 5302, 5332, 5334 
to 5336, 5361 to 5363, 5410, 5948, and 8473 of this title, sections 
1602, 1732, and 1733 of Title 10, Armed Forces, and section 731 of Title 
31, Money and Finance, repealing sections 4302a and 5401 to 5410 of this 
title, enacting provisions set out as notes under sections 3372, 5335, 
5401, and 5410 of this title, and amending provisions set out as a note 
under section 5304 of this title] may be cited as the `Performance 
Management and Recognition System Termination Act'.''


          Short Title of 1990 Amendment; Rules of Construction

    Section 529 [Sec. 1] of Pub. L. 101-509 provided that:
    ``(a) Short Title.--This section, and the sections immediately 
following this section through section 412, inclusive [section 529 
[Secs. 1-412] of Pub. L. 101-509, see Tables for classification], may be 
cited as the `Federal Employees Pay Comparability Act of 1990' 
(hereinafter in this section referred to as `FEPCA').
    ``(b) Rules of Construction.--(1) Except as otherwise expressly 
provided, any reference (actual or implicit) in FEPCA (outside of this 
section) to `this Act' (or to any title, section, or other designated 
provision of `this Act') shall be construed to be a reference to FEPCA 
(or the corresponding provision within FEPCA).
    ``(2) Except as otherwise expressly provided, any reference (actual 
or implicit) in any provision of this Act outside of FEPCA to `this Act' 
(or to any title, section, or other designated provision of `this Act'), 
and any reference made in any provision of law outside of this Act to 
the `Treasury, Postal Service and General Government Appropriations Act, 
1991' [Pub. L. 101-509] (or to any title, section, or other designated 
provision of such Act), shall be construed disregarding the provisions 
of FEPCA.''
    Section 529 [title III, Sec. 306] of Pub. L. 101-509 provided that: 
``Notwithstanding section 1(b) [section 529 [Sec. 1(b)] of Pub. L. 101-
509, set out above], a reference in any of the preceding provisions of 
this title [section 529 [title III, Secs. 301-305] of Pub. L. 101-509, 
enacting section 237 of Title 42, The Public Health and Welfare, 
amending section 212 of Title 42, and enacting provisions set out as 
notes under this section, section 5304 of this title, and section 212 of 
Title 42] to `this Act' [section 529 of Pub. L. 101-509] (other than a 
reference in section 301) [section 529 [title III, Sec. 301] of Pub. L. 
101-509, set out below] shall not be considered to include any provision 
of title IV [section 529 [title IV, Secs. 401-412] of Pub. L. 101-509, 
enacting sections 4521 to 4523 of this title, amending sections 5541, 
5542, 5547, 8335, and 8425 of this title, enacting provisions set out as 
notes under sections 4521, 5305, 5541, and 8335 of this title, and 
amending provisions set out as a note under section 5541 of this 
title].''


                               Short Title

    Section 1 of Pub. L. 91-656 provided that: ``This Act [enacting 
sections 5305 to 5308 and 5947 of this title, amending this section, 
sections 5108 and 5942 of this title, and section 410 of Title 39, 
Postal Service, repealing section 5302 of this title, and enacting 
provisions set out as notes under sections 5303 and 5942 of this title, 
section 60a of Title 2, The Congress, and section 410 of Title 39] may 
be cited as the `Federal Pay Comparability Act of 1970'.''


             Pay-for-Performance Labor-Management Committee

    Section 529 [title I, Sec. 111] of Pub. L. 101-509 provided that:
    ``(a) Policy.--It is the policy of Congress that--
        ``(1) the Federal Government should institute systems for 
    determining pay for its General Schedule employees under which the 
    linkage between their performance and their pay will be 
    strengthened;
        ``(2) the design of such systems should be developed by the 
    Office of Personnel Management, in conjunction with the Pay-for-
    Performance Labor-Management Committee;
        ``(3) the systems should provide flexibility to adapt to the 
    different needs of different agencies and organizational components 
    in the Federal Government; and
        ``(4) any legislation needed to implement the systems should be 
    enacted in a timely fashion so as to permit implementation of the 
    system by October 1, 1993.
    ``(b) Establishment.--The Office of Personnel Management shall 
establish a Pay-for-Performance Labor-Management Committee to advise the 
Office on the design and establishment of systems for strengthening the 
linkage between the performance of General Schedule employees and their 
pay.
    ``(c) Membership.--The members of the Committee shall be--
        ``(1) a Chairman, who shall be appointed by the Director of the 
    Office of Personnel Management on the basis of the appointee's 
    education, training, and experience as an expert in compensation 
    practices, and after consultation with the Committee on Governmental 
    Affairs of the Senate and the Committee on Post Office and Civil 
    Service of the House of Representatives, respectively;
        ``(2) an employee of the Office of Personnel Management, 
    designated by the Director of such Office;
        ``(3) an employee of the Department of Defense, designated by 
    the Secretary of Defense;
        ``(4) 3 individuals, each of whom shall be an employee 
    designated by the head of each of 3 other departments or agencies 
    selected by the Director of the Office of Personnel Management from 
    among departments and agencies having substantial numbers of General 
    Schedule employees; and
        ``(5) 6 individuals appointed by the Director of the Office of 
    Personnel Management to serve as representatives of employee 
    organizations which represent substantial numbers of General 
    Schedule employees, and who shall be selected with due consideration 
    to such factors as the relative numbers of General Schedule 
    employees represented by the various organizations, except that not 
    more than 3 members of the Committee at any one time shall be from a 
    single employee organization, council, federation, alliance, 
    association, or affiliation of employee organizations.
    ``(d) Pay for Members.--The Chairman shall be paid at a rate of 
basic pay for the Senior Executive Service, to be determined by the 
Director of the Office of Personnel Management. The members of the 
Committee who are otherwise employees of the Federal Government shall 
not receive any additional pay by reason of their service on the 
Committee. The members of the Committee who are not otherwise employees 
of the Federal Government shall not be paid for their service on the 
Committee and shall not be considered employees of the Federal 
Government for any purpose by reason of their service on the Committee.
    ``(e) Administrative Support.--The Office of Personnel Management 
may provide staff and administrative support for the Committee.
    ``(f) Functions.--The Committee shall review available reports and 
studies on performance evaluation and performance-based pay systems 
(including a report to be prepared by the National Academy of Sciences) 
and any other pertinent information.
    ``(g) Report to the Office of Personnel Management.--No later than 1 
year after the date of enactment of this Act [Nov. 5, 1990], the 
Committee shall submit a report to the Director of the Office of 
Personnel Management, which shall include recommendations as to--
        ``(1) the types of pay raises to be covered;
        ``(2) guidelines for pay-for-performance systems, including the 
    criteria to be used in determining eligibility for and the amount of 
    increases in basic pay above the midpoint of the pay range;
        ``(3) the role organization performance should play in pay-for-
    performance systems;
        ``(4) any differences in pay-for-performance systems for 
    different categories of employees;
        ``(5) the role for employee organizations in the implementation 
    and operation of pay-for-performance systems; and
        ``(6) whether demonstration projects on pay-for-performance are 
    desirable.''


                          Budget Act Compliance

    Section 529 [title III, Sec. 301] of Pub. L. 101-509 provided that: 
``For purposes of the Congressional Budget Act of 1974 [titles I through 
IX, of Pub. L. 93-344, July 12, 1974, 88 Stat. 297, see Tables for 
classification], any authority to make payments under this Act or any 
amendment made by this Act [see Short Title of 1990 Amendment note 
above] shall be effective only to the extent provided for in advance in 
appropriation Acts.''


                     Pay Rates for Current Employees

    Section 529 [title III, Sec. 303] of Pub. L. 101-509 provided that: 
``Nothing in this Act or in any amendment made by this Act [see Short 
Title of 1990 Amendment note above] shall have the effect of diminishing 
the rate of basic pay payable to any individual employed by the United 
States on the date of the enactment of this Act [Nov. 5, 1990] to a rate 
below the rate payable to such individual on such date, so long as that 
individual continues in such position without a break in service.''

      Ex. Ord. No. 12748. Providing for Federal Pay Administration

    Ex. Ord. No. 12748, Feb. 1, 1991, 56 F.R. 4521, as amended by Ex. 
Ord. No. 12883, Nov. 29, 1993, 58 F.R. 63281; Ex. Ord. No. 13106, 
Sec. 8, Dec. 7, 1998, 63 F.R. 68152, provided:
    By the authority vested in me as President by the Constitution and 
the laws of the United States of America, including the Federal 
Employees Pay Comparability Act of 1990 (hereinafter ``FEPCA''), as 
incorporated in section 529 of Public Law 101-509 [see Short Title of 
1990 Amendment note above], and sections 3301 and 3302 of title 5, 
United States Code, it is hereby ordered as follows:
    Section 1. Annual Adjustments to Pay Schedules. The following 
agencies are designated under section 5303(g) of title 5, United States 
Code, as amended by FEPCA, to prescribe conversion rules for the initial 
adjustment of rates of pay to be applied during each annual adjustment 
of pay schedules under section 5303 of title 5, United Stated Code:
    (a) the Office of Personnel Management, for the General Schedule;
    (b) the Department of State, for the Foreign Service Schedule; and
    (c) the Department of Veterans Affairs, for the Veterans Health 
Services and Research Administration Schedules.
    Sec. 2. Locality-based Comparability Payments. (a) The Secretary of 
Labor, the Director of the Office of Management and Budget, and the 
Director of the Office of Personnel Management are hereby designated 
under section 5304(d)(1) of title 5, United States Code, as amended by 
FEPCA, to serve jointly as the President's agent under section 5304 of 
title 5, United States Code, and shall be known in this capacity as the 
President's Pay Agent.
    (b) The head of each executive agency employing personnel under a 
statutory pay system, as defined in section 5302(1) of title 5, United 
States Code, as amended by FEPCA, shall provide such information and 
assistance as may be requested by the President's Pay Agent in carrying 
out the provisions of section 5304 of title 5, United States Code.
    (c) The President's Pay Agent, as designated in subsection (a), is 
hereby authorized and designated to exercise the authorities of the 
President under section 5304(g)-(h) [5 U.S.C. 5304(g), (h)] concerning 
the extension of locality-based comparability payments to certain 
categories of positions not otherwise covered.
    Sec. 3. Special Pay Authority. (a) The Office of Personnel 
Management is hereby authorized and designated, pursuant to section 
5305(a) of title 5, United States Code, as amended by section 101 of 
FEPCA, to exercise the authorities of the President under section 5305 
of title 5, United States Code, concerning higher rates of pay.
    (b) Before exercising the delegated authorities under subsection (a) 
regarding employees in positions other than those covered by the General 
Schedule, the Office of Personnel Management shall consult with the head 
of the agency employing such employees.
    Sec. 4. Previous Order Revoked. Executive Order No. 11721, as 
amended, is revoked.
    Sec. 5. Advance Payments for New Appointees. Section 2(b) of 
Executive Order No. 10982, as amended [5 U.S.C. 5527 note], is further 
amended to read as follows:
    ``(b) The Office of Personnel Management is hereby designated and 
empowered to perform the functions conferred upon the President by the 
provisions of section 5527 of title 5, United States Code, with respect 
to allotments and assignments authorized by section 5525 of title 5, 
United States Code, and advance payments to new appointees authorized by 
section 5524a of title 5, United States Code, as added by section 107(a) 
of the Federal Employees Pay Comparability Act of 1990, as incorporated 
in section 529 of Public Law 101-509.''
    Sec. 6. Extension of Cash Awards, Recruitment and Relocation 
Bonuses, and Retention Allowances. The Office of Personnel Management is 
hereby designated and empowered to exercise the authority of the 
President under:
    (a) section 4505a(d) of title 5, United States Code, as added by 
section 207(a) of FEPCA, concerning the application of performance-based 
cash awards to noncovered categories of employees;
    (b) section 5753(e) of title 5, United States Code, as added by 
section 208 of FEPCA, concerning the application of recruitment and 
relocation bonuses to noncovered categories of employees; and
    (c) section 5754(e) of title 5, United States Code, as added by 
section 208 of FEPCA, concerning the application of retention allowances 
to noncovered categories of employees.
    Sec. 7. Staffing Differentials. The Office of Personnel Management 
is hereby designated and empowered to exercise the authority of the 
President under section 209 of FEPCA [5 U.S.C. 5305 note] to establish 
staffing differentials.
    Sec. 8. Executive Assignment System. (a) Civil Service Rule 9 (5 CFR 
Part 9), as established by Executive Order No. 11315, as amended [5 
U.S.C. 3301 note], is revoked.
    (b) The Office of Personnel Management shall take such actions as 
the Office may determine to be necessary to provide for the orderly 
termination of the Executive Assignment System.
    Sec. 9. Effective Dates. (a) Except as otherwise provided by Public 
Law 101-509, the provisions of subchapter I of chapter 53 of title 5, 
United States Code, as amended by section 101 of FEPCA [this 
subchapter], and the provisions of sections 1 through 4 of this order 
shall take effect on February 3, 1991.
    (b) Except as otherwise provided by Public Law 101-509, the 
remaining provisions of FEPCA and of this order shall take effect on May 
4, 1991, except that the Office of Personnel Management may establish an 
earlier effective date, but not earlier than February 3, 1991, for any 
such provisions with respect to which the Office determines an earlier 
effective date is appropriate. [For effective dates of certain 
provisions of FEPCA as established by the Office of Personnel 
Management, see notices and rules issued by the Office of Personnel 
Management and published in the Federal Register at 56 F.R. 6212, 11059, 
12833, 20339, and 20343.]

                    Act Referred to in Other Sections

    The Federal Pay Comparability Act of 1970 is referred to in title 19 
sections 2075, 2171.

                  Section Referred to in Other Sections

    This section is referred to in title 31 section 732; title 42 
section 12651f.
