CAREER
TRANSITION ASSISTANCE AND SPECIAL SELECTION PRIORITY
Competitive service employees in Groups I and II who have received a specific
notice of separation by a RIF are eligible for placement assistance in finding
other positions.
On September 12, 1995, President Clinton directed all Executive Departments and
Agencies to provide career transition assistance for their surplus displaced
Federal employees, including policies that require the selection of well-
qualified displaced employees for other positions in the Federal Government. As
a result of that memorandum, OPM, in conjunction with the Interagency Advisory
Group of Personnel Directors, and in partnership with labor unions, developed
and issued career transition regulations to implement the President's
directive.
Two types of career transition programs now exist. One is for employees before
they separate, called the Career Transition Assistance Plan (CTAP). The other
is for interagency assistance before and afterseparation, called the
Interagency Career Transition Assistance Plan (ICTAP). These two procedures are
currently in effect through September of 2001.
Under CTAP, if an employee receives a reduction in force notice, a certificate
of expected separation, or notice of proposed removal for declining a directed
reassignment or transfer of function outside the commuting area, and the
employee is still on the agency's rolls, the employee is considered a surplus
or displaced employee, which entitles the individual to selection priority for
vacancies within his/her agency. Selection priority extends only to positions
which are at or below the grade level from which the employee is being
separated. As a surplus or displaced employee, if the employee is found well-
qualified for a job they apply for in the local commuting area, the agency is
required to select the employee for the vacant position. CTAP eligibility ends
on the earliest of either the RIF separation date, the cancellation of the RIF
notice, or subsequent Federal employment (in another career, career conditional
or excepted appointment without a time limit, in any agency).
The ICTAP covers displaced Federal employees who are seeking employment in
other Federal agencies. Individuals are eligible for selection priority under
ICTAP if they were separated from a career or career conditional position by
reduction in force or because the employee declined a transfer or directed
reassignment to another commuting area. Eligibility for special selection
priority ends one year after separation, or when the employee receives a
career-conditional, career or excepted appointment with no time limit.
Displaced employees may exercise selection priority only in the local commuting
area from which they were separated.
Under both programs, when an employee identifies a vacancy announcement
advertised by the agency, which is in the local commuting area, the employee
must apply by the closing date of the announcement, providing proof that he/she
is a surplus or displaced employee. Proof of eligibility must be attached to
each application. For CTAP, proof is a RIF separation notice, notice of
proposed removal for declining a directed reassignment or transfer of function
outside the local commuting area, certification of expected separation; or
other official notice from the agency indicating that the employee is surplus
or eligible for discontinued service retirement. For ICTAP, proof is a RIF
separation notice, notice of proposed removal for declining a directed
reassignment or transfer of function outside the local commuting area, or
documentation showing separation occurred as a result of reduction in force.
The Standard Form 50, Notification of Personnel Action, would also be
acceptable proof/documentation which shows any of the above actions. In
addition, both programs require proof of the most recent performance rating at
fully successful or better. It is incumbent upon the applicant to supply this
information with his or her application.
Reemployment Priority List (RPL). The RPL is primarily a post-RIF program
administered by individual agencies that gives separated employees priority
consideration over outside applicants for positions filled by their agency.
Provided that the separated employee submits a timely RPL application and did
not refuse a RIF offer of assignment to a position at the same grade, a
separated career employee is placed on the RPL for 2 years, while a separated
career-conditional or probationary employee is placed on the RPL for 1 year.
Excepted service employees who are eligible for veterans' preference and who
are separated by a RIF are eligible to have their names placed on a
reemployment list that gives them future consideration for excepted positions
filled by their former agency. Further information on the reemployment list for
excepted employees is found in Part 302 of Title 5, Code of Federal
Regulations.
Department of Defense (DoD), Priority Placement Program (PPP). DoD administers
an internal agency Priority Placement Program for its displaced employees. As
this is an internal DoD program, information regarding the PPP may be obtained
through an employee's local civilian personnel office, the appropriate DoD PPP
Zone Coordinator, or the DOD Civilian Assistance in Re-Employment (CARE)
Office. OPM does not have information on this program.
Repromotion Priority
Agencies are authorized to provide in their internal placement plans that those
employees who are downgraded because of a RIF may receive priority
consideration for promotion to positions up to their former grade level. The
specific policies and procedures for such consideration are established by each
agency.
Grade and Pay Retention
An employee in a permanent position who is placed in a lower-graded position in
his or her agency as the result of RIF procedures is entitled to retain the
same grade for 2 years. The employee's retained grade is considered for most
purposes (including pay and pay administration, retirement, life insurance,
eligibility for training, promotions, and within-grade increases, but not for
future RIF competition) as the grade of the position the employee holds after
downgrading because of a RIF. (For example, an employee who holds a GS-12
position and is downgraded because of a RIF to a GS-9 position is still
considered to be a GS-12 for most pay-related purposes.)
An employee who is downgraded during a RIF is eligible for grade retention only
after first completing at least 52 consecutive weeks at a higher grade than the
position into which he or she is placed. An employee has a right to grade
retention if he or she has received a specific RIF notice, and receives a
written offer of a position that is offered at management's initiative.
After grade retention expires, the employee is eligible for indefinite pay
retention. An employee who is downgraded because of a RIF, but who does not
meet the 52-week eligibility requirement for grade retention, is also eligible
for indefinite pay retention. If an employee's former rate of basic pay fits in
the pay range for the lower-graded position, the employee is placed in the pay
range without a reduction in pay and pay retention ceases. If an employee's
former rate of basic pay is greater than the maximum rate of the pay range, the
former rate is continued as a "retained rate" (not to exceed 150% of the
maximum rate for the grade in which the employee is placed). The employee then
receives 50% of any adjustments (e.g., an annual increase) in the maximum rate
for the grade to which he or she was reduced until the maximum rate equals or
exceeds the employee's retained rate and pay retention ceases.
Part 536 of Title 5, Code of Federal Regulations, contains more information on
grade and pay retention.
Severance Pay
An employee is eligible to receive severance pay after separation by a RIF, or
by adverse action procedures after declining to transfer with his or her
function, provided that the employee has not declined to accept a reasonable
offer of a position within two actual grades of the employee's current grade
level in the same commuting area and agency. Also, the separated employee must
have served at least 12 continuous months in an appointment without a time
limitation (or in a time-limited appointment that follows an appointment
without time limitation by not more than 3 days), and must not be eligible for
an immediate annuity as a Federal employee or as a retired member of the armed
forces.
Severance pay is computed at the rate of one week's basic pay for each of the
first 10 years of civilian service (no credit is allowed for service in the
armed forces unless it interrupts otherwise creditable civilian service) plus
two week's basic pay for each year of creditable service over 10 years. An age
adjustment allowance of 10% is added for each year the employee is over 40
years of age.
The total amount of severance pay which can be paid to an employee is limited
to 1 year's salary (e.g., if an employee receives severance pay for a time,
then returns to Federal employment and is separated again, the employee is
entitled to further severance pay, but not to exceed a combined period of 1
year).
Part 550 of Title 5, Code of Federal Regulations, contains more information
about severance pay.
Unemployment Insurance
The U.S. Department of Labor, through agreements with State governments,
administers the unemployment insurance program for Federal employees. The
States (including the District of Columbia) determine eligibility for benefits
as well as the amounts paid to separated employees. The unemployment insurance
program provides a weekly income for a limited period of time to separated
Federal civilian workers who are eligible for benefits.
An employee who wishes to file a claim for benefits should go to the
appropriate State employment service office or unemployment insurance claims
office to register for work and file a claim. The employee should take his or
her social security card, official notice of separation or non-pay status
(SF50), and notice about unemployment insurance (SF8).
Information concerning unemployment insurance is available from the local
office of the State employment service.
Unused Leave
Except for certain statutory limitations, all civilian employees covered by the
annual leave laws or other authorized leave systems are, upon separation from
the Federal service, entitled to receive a lump-sum payment for accumulated and
current accrued annual leave.
An employee may not receive payment for unused sick leave. However, an employee
who is separated from the Federal government is entitled to have his or her
sick leave recredited if the individual is reemployed in the Federal service.
Also, unused sick leave is added to the total service of an employee who is
eligible for annuity benefits under the Civil Service Retirement System.
Retirement
Federal employees first hired before January 1, 1984, who were eligible for
retirement coverage, were covered by the Civil Service Retirement System
(CSRS). Employees first hired on or after January 1, 1984, were automatically
covered by the Federal Employees Retirement System (FERS). Some employees
transferred from CSRS to FERS during a one-time open season period.
Refunds
Employees who are separated from Federal employment before completing a minimum
of 5 years of creditable civilian service have no title to annuity benefits
under CSRS or FERS. An employee who has received a refund of retirement
deductions under CSRS may, after reemployment, make a redeposit (consisting of
the amount refunded to the employee plus interest) so that the period of
service covered by the refund may be included in the computation of annuity
benefits. However, while an employee who is covered by FERS may also receive a
refund of retirement contributions, a FERS employee will not be eligible to
receive annuity benefits based on service covered by the refund if the employee
is reemployed in the Federal government. There is no provision in law which
permits individuals to make a redeposit of FERS contributions that have been
refunded.
Deferred Annuity
An employee who is separated from the Federal government after completing at
least 5 years of creditable civilian service, but not before becoming eligible
for an immediate annuity, is entitled to a deferred annuity at age 62 under
both CSRS and FERS. (Under certain conditions, a FERS employee may be eligible
for a deferred annuity before age 62). An employee who is eligible for a
deferred annuity may elect to forego the deferred annuity and to receive a
refund of his or her retirement contributions provided that the employee is not
eligible to receive an annuity within 31 days after filing a refund
application.
Immediate Annuity
An employee may retire under the following conditions and receive an immediate
annuity. An employee serving under CSRS must have served in a position covered
by the appropriate retirement system for at least 1 of the 2 last years
preceding the separation on which the retirement is based.
Eligibility under the Civil Service Retirement System:
Type of Retirement Minimum Age Minimum Service
(Years)
Optional . . . 62 5
60 20
55 30
Major RIF and Discontinued
Service Involuntary . . . Any Age* 25
50* 20
Disability . . . Any age* 5
* he annuity is reduced 1/6 of 1% for each full month (e.g., 2% for each year)
the individual is under age 55.
Eligibility under the Federal Employees Retirement
System:
Type of Retirement Minimum Age Minimum Service
(Years)
Optional . . . 62 5
60 20
55* 10**
Major RIF and Discontinued
Service Involuntary . . . Any Age 25
50 20
Disability . . . Any age 1 «
* Increasing to age 57 for employees born between 1948 and 1970.
** The annuity is reduced by 5/12 of 1% for each month (e.g., 5% for each year)
the individual is under age 62, unless the employee had 30 or more years of
service.
For assistance in determining retirement plan coverage and for specific
information concerning benefits under CSRS and FERS, employees should contact
their agency's retirement officer.
Health Benefits
Employees who retire on an immediate annuity may continue their enrollment in
the Federal Employee's Health Benefits Program if the employee has been
continuously enrolled or covered as a family member for the 5 years of service
immediately preceding the commencing date of annuity payments, or for all
service since the first opportunity to enroll. After retirement, the government
continues to pay the same contribution that is paid for active employees.
Employees who are separated or leave the Federal government and are not
eligible for an immediate annuity may convert their health insurance to an
individual coverage, for which the former employee pays the full cost. Specific
answers to health benefits questions are available from the employee benefits
specialist in the employing agency.
Life Insurance
Employees who retire on an immediate annuity are eligible to continue their
basic life insurance under the Federal Employees Group Life Insurance program
if the employee has been insured for the basic coverage during the entire
period the coverage was available, or for the last 5 years of service
immediately preceding the commencing date of annuity payments. At retirement,
employees can also elect a percentage of basic coverage they wish to retain
after age 65. Any one or all three types of optional insurance can also be
continued into retirement.
Employees who are separated or leave the Federal Government and are not
eligible for an immediate annuity may convert all or part of their life
insurance to an individual policy without having to take a medical examination.
The individual policy may be purchased from any eligible insurance company
selected by the employee as a private transaction between the employee and the
company. The employee pays the entire amount of the conversion policy. Specific
questions on life insurance matters should be referred to the employee benefits
specialist in the employing agency.
FEDERAL EMPLOYMENT INFORMATION SYSTEM
As part of the President's initiative on providing transition assistance, the
OPM developed USAJOBS, the governmentwide automated employment Information
System, to assist employees in their job search efforts. USAJOBS is accessible
from a number of user friendly mediums.
WORLD WIDE WEB: The worldwide web site at
www.usajobs.opm.gov provides access to the Federal Jobs Data base; full text
job announcements; answers to frequently asked Federal employment questions via
deliver of Employment Info Line fact sheets; and access to electronic and hard
copy application forms.
AUTOMATED TELEPHONE SYSTEM: 703-724-1850 or TDD 978-461-8404. This automated phone system provides information 24 hours a day, 7
days a week on current employment opportunities (nationwide and worldwide),
special programs for students, veterans, and people with disabilities, the
President Management Intern Program, salaries and benefits, and application
requests services. Complete vacancy announcements may be ordered by fax
delivery during your phone call. For a listing of local USAJOBS phone numbers
use any of our other methods to request fact sheet "Federal Employment
Information Sources," EI-42.
Additional information concerning entitlement to benefits can be obtained by
contacting your servicing personnel office.
Federal Employment Info Line, EI-31, "Reduction In Force," provides information
on available outplacement assistance.
AS OF: 10-30-00
REDUCTION IN FORCE BENEFITS GUIDE can be
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