OPM will not set special pay rate increase for tech workers

Federal information technology workers will receive the same across-the-board pay raise as the rest of the General Schedule workforce next year, despite recent efforts to develop separate, targeted rate adjustments for IT employees.

Although several categories of technology employees are paid under a separate pay rate, they have previously received the same annual salary adjustment as the rest of the government workforce. The Office of Personnel Management is conducting a study on how to set special pay adjustments for certain IT employment categories.

But in a Dec. 13 memo, OPM Director Kay Coles James notified agencies that there would not be a separate pay rate increase for technology workers in 2005.

"The Chief Human Capital Officers Council has held several discussions regarding special rate adjustments," James wrote. "Based on our latest discussions and input from those who have begun collecting data, I have reached the conclusion that the only viable option for calendar year 2005 is to increase IT special rates by the same percentage as the General Schedule (GS) across-the-board increase."

The GS increase has not yet been determined by the White House. Congress has approved an average 3.5 percent pay raise for federal civilian workers. The Bush administration must decide how much of that will take the form of an across-the-board base pay increase and how much will come in locality pay differentials.

According to the OPM memo, the agency lacked sufficient information to implement a special IT pay increase.

"We considered various options regarding how IT special rates might be adjusted in January 2005 and made plans to attempt to collect the data necessary for me to make a decision," James wrote.

James suggested that efforts would be made in the future to set IT special rate adjustments.

"I continue to believe it is time for the federal human resources community to take a more strategic view and approach to compensation matters," James wrote. "Where we have administrative flexibility in setting pay levels, we should exercise that flexibility to maximize the accomplishment of mission priorities and to make more effective use of taxpayer dollars."