CPM 2005-24

December 9, 2005

MEMORANDUM FOR CHIEF HUMAN CAPITAL OFFICERS

Section 101(c) of the Federal Workforce Flexibility Act of 2004 (Public Law 108-411, October 30, 2004) requires the Office of Personnel Management (OPM) to submit an annual report to Congress on agencies’ use of the recruitment, relocation, and retention incentive authorities in 5 U.S.C. 5753 and 5754 during calendar years 2005-2009.  We request that agencies submit their calendar year report for 2005 by March 31, 2006.  (See 5 CFR 575.113(b), 575.213(b), and 575.313(b).)

Agencies may use the recruitment and relocation incentive authorities in 5 U.S.C. 5753 and 5 CFR part 575, subparts A and B, to help recruit new employees and relocate current employees to positions that would be difficult to fill in the absence of an incentive.  Agencies may use the retention incentive authority in 5 U.S.C. 5754 and 5 CFR part 575, subpart C, to help retain employees with unusually high or unique qualifications or who are fulfilling a special agency need that makes it essential to retain the employee when the employee would be likely to leave the Federal service in the absence of an incentive.

Each agency report on the use of the recruitment, relocation, and retention incentive authorities must include—

• A description of how each authority was used by the agency between May 13, 2005, and December 31, 2005, including information on whether (and, if so, how) the use of these authorities improved your recruitment and retention efforts; and

• The number and dollar amount of each category of incentive (recruitment, relocation, and retention) paid between May 13, 2005, and December 31, 2005, by pay plan, occupational series, and grade, pay band, or other work-level designator.

In addition, you may wish to comment on any barriers your agency is facing in using the recruitment, relocation, and retention incentive authorities as human capital management flexibilities.

If your agency has not made use of the recruitment, relocation, or retention incentive authorities since May 13, 2005, please submit a report indicating this.  Do not include any data or information on your agency’s use of the former recruitment and relocation bonus and retention allowance authorities in effect prior to May 1, 2005.

Each report must cover an entire department or independent agency.  Therefore, departments must consolidate information from components or bureaus before forwarding a report to OPM.

Please submit your report by email to pay-performance-policy@opm.gov or by fax at
(202) 606-0824.  You also may submit your report by mail to: 

Office of Personnel Management
Division for Strategic Human Resources Policy
Center for Pay and Performance Policy
Pay and Leave Administration  Group
1900 E Street, NW., Room 7H31
Washington, DC 20415-8200
Attn:  Doris Rippey

Please include in your report the name of a point of contact and his or her phone number and email address.  If you have any questions regarding this request, please contact Doris Rippey of OPM’s Pay and Leave Administration Group at (202) 606-2858.

cc:  Human Resources Directors