Managing the Maze: Your Guide to Position Classification and Position Management

Introduction to Position Classification

Federal agencies are created by law and Executive Order to accomplish specific missions in the furtherance of national goals. Federal managers and supervisors who have delegated authority have the obligation to structure the agency in a manner which will assure that assigned missions are legally, efficiently, and effectively accomplished. The structuring process involves the assignment of missions and functions to major organizational elements. Eventual subdivision of missions and functions into systems, processes, and tasks brings the organizational process to the basic unit - the position. Positions are classified based on the guidance and direction of the Office of Personnel Management (OPM), and agency guidance on specific occupations and series.

Learning Objectives

This book will provide you with experience, case studies and recommendations that will help you address the following:

- Understand the legal basis, structure and primary tools of the General Schedule System

- Understand the legal basis, structure and primary tools of the Federal Wage System, including job family standards and guides

- Illustrate the rules applicable to classifying mixed grade/series and the interdisciplinary positions

- Identify the preparation and interview procedures required for a position audit

- Leverage position management and organizational design tools to facilitate your agency’s mission

- Provide effective supervision and program management of the position classification and position management function

- Understand the basic law and concepts of the Fair Labor Standards Act (FLSA), and make appropriate FLSA determinations

- Provide knowledge and application of a variety of analytical and evaluation tools to support robust position classification decisions

How to Use this Book

This book was designed and written to help you in the day-to-day work of an HR office. Classification and its fellow program areas of position management and compensation are critical to the success of the agency and organization, since it drives the organizational design, salary, benefits, qualifications, performance and training requirements of any position.

The positions used in this book were identified, based on the Office of Personnel Management’s list of the twenty largest white-collar occupations in the Federal government, and its matching list of blue-collar occupations. Additionally, we looked at the positions and occupations that will continue to grow within the government.

This book was not developed to replace guidance or direction from OPM or agencies in the classification of positions, but was developed to enhance the tools and support that is already in place from these agencies. Most importantly, the information, recommendations and specific tools provided in this book will enhance your work as a classifier, and provide support and new ideas into the creation and execution of agency classification programs.

Why do we have a position classification system?

The General Schedule position classification system is a tool to implement a compensation system that helps ensure equal pay for substantially equal work and IT'S THE LAW. The following are reasons for the position classification system:

- Codified in the United State Code, Title 5, chapter 51;

- Established by the Classification Act of 1949;

- Establishes principle of equal pay for substantially equal work;

- Provides definition of each grade in the General Schedule (GS-1 to GS-15);

- Directs the Office of Personnel Management to prepare classification standards;

- Assists in organizing the work and identifying the knowledge and skills needed to accomplish the mission of the organization; and

- Provides a basis for recruiting, placing, compensating, training, reassigning, promoting, and separating employees.

- Classification creates a framework for performance management and measurement.

Definitions

Note: Definitions specific to the Fair Labor Standards Act (FLSA) can be found in Chapter 8 of this book.

Classification Act: The Classification Act of 1944, as amended, established the General Schedule, originally set up 18 grade levels (since changed to 15 grade levels, Senior Leader (SL), Senior Technical (ST) and Senior Executive Service (SES) positions). The Classification Act also established OPM’s responsibility to prepare standards for placing positions in their proper classes and grades.

Classification: The systematic process of assigning the proper titles, occupational series codes, and grades to positions. The Federal Government has two main classification systems: the General Schedule (GS) classification and basic pay system, and the Federal Wage System (FWS) for trades and crafts occupations.

Classification Appeal: An employee’s request to the agency’s human resources organization, or OPM to review the classification decision of the position to which the employee is currently assigned.

Classification Audit: A review of the duties and responsibilities assigned to a position; normally a face-to-face discussion or telephone conversation between the servicing Human Resources Specialist and the incumbent and the incumbent’s supervisor.

Classification Standard (or Guide): A set of criteria developed by OPM relating different grade levels (as defined by law) to specific work situations, thereby providing the basis for determining the appropriate title, series, and grade for a given position.

Classifier’s Note: A classifier’s note is very similar to an evaluation statement, but less comprehensive; therefore shorter and less formal. While brief (usually about a page), the note will contain enough information to form the basis for a full evaluation statement, if the writing of such a statement should ever become necessary (e.g., in the event of an appeal). The note should include the Factor Evaluation System (FES) factor level points, the total points and the grade level must be included.

Consultant: A person who serves as an advisor to an individual or organizational unit.

Employee: A person filling all appointive positions in an executive agency (5 U.S.C. 105). It does not refer to private contractors hired by the agencies.

Evaluation Statement: A written narrative explaining why the position was placed in a specific series and why it was assessed at a certain grade. The statement will normally include some structured comparison matching the position against the criteria provided in the standard(s).

Expert: A person with high qualifications in a professional, scientific, or technical field.

Factor Evaluation System (FES): A method of assigning grades to nonsupervisory General

Schedule positions using nine evaluation factors which are assigned points weighted for different levels. The individual reviewing the work selects the proper level for each factor. The total points associated with the position after evaluation determines its grade.

Fair Labor Standards Act (FLSA): The Fair Labor Standards Act (5 USC Part 551) establishes minimum wage, overtime pay, recordkeeping, and child labor standards affecting full-time and part-time workers in the private sector and in Federal, State, and local governments. The Office of Personnel Management is responsible for administration of the FLSA within the Federal government.

Federal Wage System (FWS): A job grading and pay system that applies to most trade, craft, and labor positions. Under this system, pay is adjusted according to the rates paid by private industry for similar jobs in the same geographic area; commonly referred to as Wage Grade.

Full Performance Level: The highest grade level assignable to a particular position; the full performance level is reached when all the duties and responsibilities that the organization needs to be performed by a given position are, in fact, being accomplished with the degree of independence desired by management.

Functional Statement: The overall responsibilities and requirements of an organization, and/or its subcomponents. Functional statements are good tools to use in both position management and position classification to assess the effectiveness and organization of programs, duties and responsibilities within an organization.

General Schedule (GS): The broadest subdivision of the Federal classification system covered by Title 5, and includes a range of levels of difficulty and responsibility for covered positions from grades GS-1 to GS-15. The General Schedule is the basic pay schedule established under Title 5 and adjusted by the President. A position falls under the General Schedule if its primary duties require knowledge and experience in a line of work or discipline unrelated to trade, craft, or manual labor occupations.

Grievance: A request by an employee or group of employees for personal relief in a matter of concern relating to their employment. The issue grieved must be subject to the control of agency management.

Human Capital Assessment and Accountability Framework (HCAAF): A system led by senior management, typically the Chief Human Capital Officer (CHCO), that promotes alignment of human capital management strategies with agency mission, goals, and objectives through analysis, planning, investment, measurement, and management of human capital programs.

Human Resources Management Evaluation (HRME): An inspection of an organizational unit conducted to assess the overall effectiveness of the unit’s personnel management program.

Impact of the Person on the Job: Change(s) in the duties and responsibilities of a position resulting from the unique achievements, capabilities, experience, or knowledge a particular employee brings to the job. In such cases, the performance of the employee broadens the nature or scope and effect of the work being performed, such as through the attraction of especially difficult work assignments, unusual freedom from supervision, special authority to speak for and commit the Agency, continuing contribution to organizational efficiency or economy, recognition as an expert sought by peers, or similar considerations.

Identical/Additional (I/A) position: A position to which more than one employee may be assigned. All employees assigned to an I/A position have the same duties and responsibilities.

Maintenance review: A periodic review of all position descriptions in an organization to ensure that position descriptions remain accurate, that all previous classification determinations remain valid, and that all positions on record for an organization are required to accomplish the mission of the organization.

Major Duties: Work assignments which represent the primary reason for a position’s existence and which govern qualification requirements. In most cases, major duties are those tasks that occupy at least 25 percent of an employee’s time.

Manager: An employee in a position whose duties require the individual to formulate, determine, or influence the policies of the agency.

Narrative Format: A way of designing or organizing classification standards and position descriptions which focuses primarily on the nature of the work and the level of responsibility, and invites the reviewer to treat the position as a whole and select the most appropriate overall grade (in contrast, FES focuses on nine separate factors).

Occupational Group: A major subdivision of the General Schedule, embracing a group of associated or related occupations; e.g., the Accounting and Budget Group, GS-500; the Engineering and Architecture Group, GS-800.

Office of Personnel Management (OPM): The organizational unit within the Federal Government responsible for developing classification standards, establishing classification policy, and adjudicating appeals.

PATCOB (Professional, Administrative, Technical, Clerical, Other white collar and Blue collar): Occupational categories established by the Equal Employment Opportunity Commission (EEOC).

Pay Plan: Pay system or pay schedule under which an employee’s rate of pay is determined (e.g. General Schedule, Federal Wage System).

Position: The individual position is the basic unit of organization.

Position Description (PD): An official written statement of the major duties, responsibilities, and knowledge required to perform the work, and supervisory relationships of a given position. It briefly outlines what an employee in a specific job is expected to do and how the work is supervised. If the position is supervisory, the PD will also address the type and scope of supervision exercised. Position descriptions are the basis for performance standards.

Position Classification Review: The process of examining and analyzing positions in order to identify the appropriate pay plan, series, title, and grade for each position.

Position Management: The continuous and systematic process of assuring that organizations and positions are structured efficiently and economically. It is the series of steps that managers and supervisors go through to determine the type of organizational structure that is required to fulfill the function(s) assigned to a particular unit, how many positions are needed, and how positions should be designed.

Primary Standard: The nine FES factors described in very broad, general terms, unrelated to any specific series or occupation. It serves as a basic reference for other FES standards, thereby supporting a certain consistency in the development of FES standards and in the application of FES criteria.

Senior Executive Service (SES): A personnel system for senior executives whose duties and responsibilities exceed the GS-15 level of the General Schedule (GS) pursuant to 5 U.S.C. 5108, or an equivalent position, which is not required to be filled by the President and with the advice and consent of the Senate. The SES system provides for a uniform, government-wide system for developing, selecting, rewarding, and managing an effective team of high-level executive management personnel.

Senior Foreign Service (SFS): A segment of the Foreign Service (FS) which parallels the flag-officer ranks of the military (i.e., Generals and Admirals) and the SES system, and offers an effective framework to foster greater development of leadership and policymaking capabilities at both the national and international levels.

Series: A subdivision of an occupational group consisting of positions similar as to a specialized type of work and qualifications requirements, and number such as the Accounting Series, GS−510; the Secretary Series, GS−318; the Microbiology Series, GS−403.

Servicing Human Resources Specialist: A human resource specialist assigned to provide classification and/or staffing services on a continuing basis to a specific organizational unit.

Statement of Difference (SOD): A succinct description of the differences between the duties, responsibilities, or working conditions set forth in a currently established position description, and those of the position being described. When a position being described is substantially similar to an existing position in the same organizational unit and classified with the same series and title, it may not be necessary to draft an entirely new PD. In many cases, the already classified and approved PD may be used along with a brief statement describing how the two positions differ.

Supervisor: A position or employee who accomplishes work through other people by directing, planning, and reviewing their assignments and activities.

Supervisory certification: A statement on the Optional Form 8, Position Description (OF-8), signed by the supervisor of the position, certifying that the duties, responsibilities, and organizational relationships described in the PD are complete and accurate, and that the position is necessary to carry out government functions for which the supervisor is responsible. This certification obligates payment of public funds at the level appropriate for the series and grade level assigned by the classifier to the PD as described therein.

Note: Not all agencies use the OF-8. Supervisory certification may also be done in the agency’s human resource management system.

Title 5, United States Code: The basic law addressing issues related to Government and employees.

Classification History

This guide is focused on using the basic position classification structures and processes that have been in place for over 50 years. The Federal classification system is a broad and complex compensation system which applies to positions in the General Schedule and the Federal Wage System. Both of these systems are covered under Title 5 of the U.S. Code, the statute which contains the federal personnel laws from which most of the federal personnel system is developed and executed.

The Federal Position Classification Plan designates all the controls, guides and aids which are used in classifying General Schedule positions in the Federal government. The plan was originally based on the Classification Act of 1923 with additional changes and increasing complexity through the Classification Act of 1949 (codified and modified as Chapter 51 of Title 5, USC), the Civil Service Reform Act of 1978, and other legislation forming the basis of classification in the Federal government. The Classification Act of 1949 established the General Schedule (GS) system for white-collar work and defined eighteen grade levels (5 USC §5103). The law required what is now the Office of Personnel Management (OPM) to define federal occupations and their official titles, and describe the grades of various levels of work.

Blue-collar jobs remained in a separate Wage Grade (or WG) system. Thirty years later, senior executives, who previously held jobs at grades 16 to 18, were re-classified in a separate system called the Senior Executive Service by the Civil Service Reform Act of 1978. The design of the Federal classification system has minimized managerial discretion, supported equal pay for equal work, and established a merit system for selection and advancement.

The history of classification continues to evolve with salary demonstration projects and the National Security Personnel System (NSPS), which have been attempts to reform the Federal government’s classification system. At the time of this writing, NSPS has been cancelled and the Chief Human Capital Officers’ Council continues to evaluate potential changes to the classification system.

In understanding and applying position classification elements, it is important that you understand the connection between classification and other human capital functions – and especially comprehend the linkage between classification and compensation. Under the Equal Pay Act and Title 5, the Federal human resource management system is focused on equitable pay for equitable work.

Impacts of Classification on Other HR Functions

Figure 1-1

As a classifier, it is extremely important to