OPM ISSUES CONSTRUCTION PERMIT TO AGENCIES TO BUILD
EMPLOYEE EVALUATION SYSTEMS

Washington, D.C. -- Construction of new evaluation systems to measure the performance of employees may begin under final rules issued by the Office of Personnel Management. The new rules give federal departments the authority to build agency-specific, or even office-specific, performance management programs allowing improved methods for evaluating the work of employees.

The final rules will appear in the August 23 Federal Register.

Under the new rules, agencies may design broad performance management programs to be used throughout the department or customize programs for specific offices or jobs. By narrowing the breadth of audience graded under any one program, evaluation of an employee's on-the-job performance can more accurately measure the degree to which that employee meets critical elements of the job.

Performance management programs contain standards under which employees are evaluated and given a summary rating. The summary, or over-all, rating affects the pace of an employee's advancement from one pay grade or step to another.

"The old 'one-size-fits-all' no longer gets results in today's workplace where employees perform diverse technical, administrative and professional functions, and where an agency's mission can vary from one floor to the next," said OPM Director Jim King. "Thanks to support from the Clinton/Gore White House, we will have flexible evaluation systems that adjust to the varied contours of the workplace and where employees receive a more accurate appraisal of their performance and of their efforts to make a difference in the lives of all Americans."

The Administration's National Performance Review (NPR) recommended that agencies be given the authority to create their own performance management systems. OPM is available to provide

agencies with general or technical guidance during construction stages.

By law, OPM must approve any new agency-designed system. In adhering to the spirit of the Administration's labor-management partnership efforts, agencies are encouraged to include employee unions and other appropriate employee or management groups in the design phase.

Under the new performance management regulations, agencies may design programs that use from two ("pass/fail") to five rating levels. Five rating levels had been mandated by previous regulation.

The new rules also encourage agencies to evaluate employees, where appropriate, on "team performance" and to consider factors other than individual ratings to grant monetary awards. And the new rules encourage agencies to provide training or make other attempts to improve the work product of employees who are performing at marginal levels.

Persons to be rated under new performance management programs are non-SES employees under the General Schedule, including supervisors and employees previously evaluated under the now-defunct Performance Management and Recognition System. Prevailing rate employees also will be evaluated under the system.

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