Homeland Security and Governmental Affairs Committee
Introduced
In Committee
On Floor
Passed Chamber
Enacted
This bill establishes a 5-year pilot program to implement a performance-based pay structure for certain federal employees, aiming to enhance productivity, accountability, and employee satisfaction in public service. The program targets eligible employees at the GS-11 through GS-15 levels and senior-level positions, specifically those with clearly measurable performance criteria such as project management, IT specialists, or leadership roles. Each Executive agency must ensure that between 1% and 10% of its eligible employees participate, though an agency head may opt out if participation poses risks to national security or public safety. Participating agencies must establish annual, agency-specific performance metrics for employees, focusing on productivity, quality, and timeliness, and implement a standardized, objective evaluation system. Based on these evaluations, a tiered salary adjustment system will be applied: employees significantly exceeding metrics receive a 15% pay increase, those meeting expectations receive no adjustment, and those below expectations face a 15% pay reduction along with mandatory training. Top performers may also receive discretionary bonuses and non-monetary benefits like flexible scheduling or telework options, but participating employees become ineligible for other Title 5 pay adjustments. The program includes robust reporting and accountability , requiring agencies to submit annual reports on outcomes to the Director of the Office of Management and Budget (OMB). OMB will review these reports, recommend adjustments, and conduct annual assessments on the program's impact on productivity, budgetary effects, and employee satisfaction, reporting findings to Congress. A final review by the Comptroller General and OMB will occur after the program's conclusion, with all activities funded through existing agency appropriations.
Congressional oversightEmployment and training programsGovernment employee pay, benefits, personnel managementGovernment information and archivesPerformance measurementWages and earnings
Federal Employee Performance and Accountability Act of 2025
USA119th CongressS-359| Senate
| Updated: 2/3/2025
This bill establishes a 5-year pilot program to implement a performance-based pay structure for certain federal employees, aiming to enhance productivity, accountability, and employee satisfaction in public service. The program targets eligible employees at the GS-11 through GS-15 levels and senior-level positions, specifically those with clearly measurable performance criteria such as project management, IT specialists, or leadership roles. Each Executive agency must ensure that between 1% and 10% of its eligible employees participate, though an agency head may opt out if participation poses risks to national security or public safety. Participating agencies must establish annual, agency-specific performance metrics for employees, focusing on productivity, quality, and timeliness, and implement a standardized, objective evaluation system. Based on these evaluations, a tiered salary adjustment system will be applied: employees significantly exceeding metrics receive a 15% pay increase, those meeting expectations receive no adjustment, and those below expectations face a 15% pay reduction along with mandatory training. Top performers may also receive discretionary bonuses and non-monetary benefits like flexible scheduling or telework options, but participating employees become ineligible for other Title 5 pay adjustments. The program includes robust reporting and accountability , requiring agencies to submit annual reports on outcomes to the Director of the Office of Management and Budget (OMB). OMB will review these reports, recommend adjustments, and conduct annual assessments on the program's impact on productivity, budgetary effects, and employee satisfaction, reporting findings to Congress. A final review by the Comptroller General and OMB will occur after the program's conclusion, with all activities funded through existing agency appropriations.
Congressional oversightEmployment and training programsGovernment employee pay, benefits, personnel managementGovernment information and archivesPerformance measurementWages and earnings