MINUTES OF THE EXECUTIVE COMMITTEE MEETING, 1 OCTOBER 1980 (MERIT PAY)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85-00988R000500050016-6
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: December 14, 2016
• Document Release Date: June 5, 2003
• Sequence Number: 16
• Publication Date: October 10, 1980
• Content Type: MF

10 OCT 3380
STAT
MEMORANDUM FOR: Executive Committee Members
FROM
Appro i E4W i R6 - z*000500050016-6
SA/DDCI
SUBJECT Minutes of the Executive Committee Meeting,
1 October 1980 (Merit Pay)
1. The Executive Committee met on 1 October 1980 to consider
OPPPM's recommendation on Merit Pay: that the Agency not adopt
Merit Pay at this time but that OPPPM monitor Merit Pay systems
in other government agencies to give Agency management a basis for
later reconsideration of this issue. Participants included the DCI,
DDCI, and Messrs. Hart (ADDDA)., Stein (ADDO), Taylor ADDS&T
Ware (D/EEO), Clarke (D/NFAC) (D/Compt.), I Chairman/
E Career Service), Briggs (IG), and Fitzwater (D/OPPPM).
2, Mr. Fitzwater reviewed the major purposes and features of
the Merit Pay provisions of the Civil Service Reform Act of 1978.
In responding to questions, he clarified the following:
- Merit payments would be constrained by available
funds,, not by quotas.
- Payments are included in the base salary for
retirement computation.
- Merit Pay increases are limited to the ceiling
of the employee's current grade level.
Supervisors recommend the level of Merit Pay
increases; the next level of supervision is
responsible for approving the recommendations.
Most Agencies' formulas for computing Merit Pay increases
tend to award lower amounts to employees in the higher
ranges of the grade level.
Employees who leave GS-13-15 supervisory/managerial
positions for nonsupervisory positions revert to the
General Pay Schedule.
3. Committee members recognized the general opposition that exists
to the Merit Pay provision placing 50 percent of comparability pay
raises into the Merit Pay pool of funds. Other areas of concern
included the potential necessity to develop a more sophisticated
?TAT
4.6 8 0
'i~ 't:~lz ?a L+ S17 3..}iSelab.dw R.
App oved' or Release 2003/06/26 : CIA=RDP85-009888000500050016-6
 Appro aM ? 7t 114N jIRIk-0 6- f 000500050016-6
performance appraisal report; the need to develop evaluation criteria
based on job analyses; the question of where the decision levels for
merit payments should be -- branch, division, directorate; and the
various concerns that were addressed in designing the SIS system, such
as ensuring equity for employees serving on rotation.
4. Noting that CIA was exempt from the Civil Service Reform Act,
Mr. Silver emphasized that if the Agency thought the benefits would
outweigh the costs, it could develop a Merit Pay system to meet its
own needs. Mr. Hart explained his understanding that Merit Pay was
designed to substitute achievement for longevity as the criterion for
Periodic Step Increases. Other. government agencies, however, are
concerned about their ability to develop appropriate criteria for
Merit Pay increases.
5. After further: discussion, the DCI expressed the consensus
that.the Agency should not. consider a system that would reduce
employees' comparability pay increases. He requested, however, that
OPPPM develop a Merit Pay system proposal for Executive Committee
consideration that would use funds presently allocated for
Periodic Step Increases and Quality Step Increases to
recognize achievement. He emphasized that such a system could be
a tremendous managerial tool that would give managers significantly
more authority than they have had to date. The proposed system should
ensure that affected employees are treated equitably.. Like the SIS
system, the Agency's adaptation of Merit Pay could incl
GS-13-15s, not just supervisors and managers. T concluding,
the DCI requested that members get the word out to employees that the
Agency does plan to consider the possibility of a Merit Pay system,
but not one that would reduce anyone's comparability pay increases.
STAT
cc: IG
Chairman/E Career Service
D/OPPPM
Appro e R Iea i6666& 6iA-R6FY8-6-00988R000500050016-6