Details of 2008 pay adjustments for FAA employees

Core Plan employees. Eligible Core Plan employees (i.e., those meeting the minimum service, performance, and conduct requirements), including employees in most bargaining units under the Core Plan, will receive an Organizational Success Increase (OSI) of 3.08 percent. Employees who currently receive locality pay will also see an average increase in their locality pay percentage of 1.0 percent. In addition, approximately 65 percent of Core Plan employees who have been designated to receive a Superior Contribution Increase (SCI) will receive an additional increase of 0.6 percent for SCI-2, or 1.8 percent for SCI-1. The OSI and SCI adjustments and new locality pay percentages will all be effective January 6, 2008, and will first appear in employees’ paychecks issued on January 29, 2008.

How the OSI amount is computed: The OSI funding pool consists of the amount of the general increase for General Schedule (GS) employees in other Federal agencies plus an additional 1 percent, which reflects a portion of the funds previously spent on within-grade increases. For this year, GS employees will receive a 2.5 percent general increase. This results in a total OSI pool of 3.5 percent (2.5 percent general increase plus 1 percent). Note that in this calculation, both the general increase and the 1% represent the entire OSI pool. The general increase is not an automatic increase for FAA employees. The OSI for this year will be 88 percent of the total pool, which results in 3.08 percent. Employees also receive an average locality pay increase of 1.0 percent.

Core Compensation Pay Bands. There will be a 2.5% increase in Core Pay Bands which is slightly more than the variance to market.

NAGE 2154 bargaining unit employees. Eligible employees in the NAGE 2154 bargaining unit (those meeting minimum service and performance requirements) will receive an OSI of 3.08% plus an additional 0.6% in lieu of the SCI, and an average locality pay increase of 1.0 percent. The OSI and locality pay adjustments will be effective January 6, 2008, and will first appear in employees’ paychecks issued on January 29, 2008.