
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 5USC5363]

 
             TITLE 5--GOVERNMENT ORGANIZATION AND EMPLOYEES
 
                           PART III--EMPLOYEES
 
                      Subpart D--Pay and Allowances
 
                    CHAPTER 53--PAY RATES AND SYSTEMS
 
                 SUBCHAPTER VI--GRADE AND PAY RETENTION
 
Sec. 5363. Pay retention

    (a) Any employee--
        (1) who ceases to be entitled to the benefits of section 5362 of 
    this title by reason of the expiration of the 2-year period of 
    coverage provided under such section;
        (2) who is in a position subject to this subchapter and who is 
    subject to a reduction or termination of a special rate of pay 
    established under section 5305 of this title (or corresponding prior 
    provision of this title);
        (3) who is in a position subject to this subchapter and who (but 
    for this section) would be subject to a reduction in pay under 
    circumstances prescribed by the Office of Personnel Management by 
    regulation to warrant the application of this section; or
        (4) who is in a position subject to this subchapter and who is 
    subject to a reduction or termination of a rate of pay established 
    under subchapter IX of chapter 53;

is entitled to basic pay at a rate equal to (A) the employee's allowable 
former rate of basic pay, plus (B) 50 percent of the amount of each 
increase in the maximum rate of basic pay payable for the grade of the 
employee's position immediately after such reduction in pay if such 
allowable former rate exceeds such maximum rate for such grade.
    (b) For the purpose of subsection (a) of this section, ``allowable 
former rate of basic pay'' means the lower of--
        (1) the rate of basic pay payable to the employee immediately 
    before the reduction in pay; or
        (2) 150 percent of the maximum rate of basic pay payable for the 
    grade of the employee's position immediately after such reduction in 
    pay.

    (c) The preceding provisions of this section shall cease to apply to 
an employee who--
        (1) has a break in service of one workday or more;
        (2) is entitled by operation of this subchapter or chapter 51 or 
    53 of this title to a rate of basic pay which is equal to or higher 
    than, or declines a reasonable offer of a position the rate of basic 
    pay for which is equal to or higher than, the rate to which the 
    employee is entitled under this section; or
        (3) is demoted for personal cause or at the employee's request.

(Added Pub. L. 95-454, title VIII, Sec. 801(a)(1), Oct. 13, 1978, 92 
Stat. 1219; amended Pub. L. 101-509, title V, Sec. 529 [title I, 
Secs. 101(b)(3)(B), 105(b)(2)], Nov. 5, 1990, 104 Stat. 1427, 1439, 
1448; Pub. L. 103-89, Sec. 3(b)(1)(L), Sept. 30, 1993, 107 Stat. 982.)


                            Prior Provisions

    A prior section 5363, Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 473, 
which related to limitation on pay fixed by administrative action, was 
renumbered section 5373 of this title by Pub. L. 95-454, title VIII, 
Sec. 801(a)(3)(A)(ii), Oct. 13, 1978, 92 Stat. 1221.


                               Amendments

    1993--Subsec. (c)(2). Pub. L. 103-89 substituted ``chapter 51 or 
53'' for ``chapter 51, 53, or 54''.
    1990--Subsec. (a)(2) to (4). Pub. L. 101-509 substituted ``5305 of 
this title (or corresponding prior provision of this title);'' for 
``5303 of this title; or'' in par. (2), inserted ``or'' at end of par. 
(3), and added par. (4).


                    Effective Date of 1993 Amendment

    Amendment by Pub. L. 103-89 effective Nov. 1, 1993, see section 3(c) 
of Pub. L. 103-89, set out as a note under section 3372 of this title.


                    Effective Date of 1990 Amendment

    Amendment by Pub. L. 101-509 effective on such date as the President 
shall determine, but not earlier than 90 days, and not later than 180 
days, after Nov. 5, 1990, see section 529 [title III, Sec. 305] of Pub. 
L. 101-509, set out as a note under section 5301 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 5302, 5364 of this title.
