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Reduction-In-Force Overview for Managers

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The Words No One Wants To Hear

• When people hear the word "RIF" the first thought is their job will be abolished and they will be unemployed, but a RIF is in fact an orderly and systematic process of making organizational changes.

• Actions leading up to, and during, the RIF process can actually keep people from losing their jobs.

Our organization will be undergoing a RIF!

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Reasons for a Reduction In Force

Virtually all RIF actions are a result of reshaping or reorganization. • A few potential reasons why an organization will conduct a RIF:

- Restructuring to gain efficiency

- Budget Cuts

- Furlough for More Than 30 Consecutive Days or 22 Non-Consecutive Workdays

- Lack of work or movement of mission work to another organization

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Alternatives to RIF

A RIF is not always required. Management, with

assistance of the servicing Civilian PersonnelAdvisory Center (CPAC), should look into alternatives.

Alternatives to RIF – Voluntary Actions

Organizations can encourage employees to take voluntary actions. Some examples include:

- Early or Regular Retirement- Leave With Pay (LWOP) in lieu of Furlough

- Reduction in work schedule (e.g. full time to part time)

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Alternatives to RIF (Continued)

Alternatives to RIF – Organization Actions

Organizations, coordinating with their servicing CPAC, can take other actions as required.Some examples include:

- Furlough for less than 30 consecutive days - Limit work hours of intermittent employees

- Establish outplacement programs to assist employees to find jobs elsewhere

- Freeze all hiring activity

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Preparing for a RIF

Organizations must take several steps once the decision is made that there will be a RIF.

STEPS include:

- Working with the servicing CPAC to develop a plan and

a timeline to effect the RIF - Coordinating with the CPAC and CHRA Region to

establish a RIF team - Asking all employees in the RIF affected area to ensure their personnel records are up-to-date

- Follow additional steps available on the OPM RIF Portal in the Workforce Reshaping Operations Handbook - http://www.opm.gov/reduction_in_force/

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Competitive Area

Organizations work with their servicing CPAC to ensure the “Competitive Area” establishes the geographic and organization limits that define the boundaries within which employees will compete for retention under the RIF regulations.

Employees compete for retention only with other employees in the same competitive area.

Normally, competitive areas should be already established. If the organization wants to change or establish a new competitive area within 90 days of the RIF, the organization must coordinate with the CPAC, who will elevate to OPM for approval.

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Competitive Levels

Once the Competitive Area is established, the “Competitive Levels” have to be grouped together.

Some examples of competitive levels may include:

- Positions in the same occupational series and grade

- Positions with similar duties, qualification requirements, pay schedules, and working conditions to successfully perform critical elements of the job

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Regulatory Factors

The servicing CPAC will create a retention register for each Competitive Level.

Retention registers are lists of employees who occupy positions in the same competitive level. At the top of the list is the employee with the highest retention standing, and at the bottom is the employee with the lowest retention standing in the competitive level.

Retention registers have these characteristics: • There is one retention register for each competitive level • Each retention register lists all the employees in that competitive level • A retention register may have hundreds of names or just one • Employees must be listed in a specified retention order • The retention register shows the retention standing of employees as of the RIF effective date

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Regulatory Factors

Your servicing CPAC follows 4 regulatory factors when establishing the final retention registers:

1. Tenure 2. Veterans' Preference 3. Reduction in Force Service Computation Date (RIF-SCD)

as determined by Service Credit* and Performance Rating 4. Performance Ratings

*includes all Federal service and creditable active duty service.

Organizations should encourage employees to check their personnel records and work with the CPAC to make corrections when necessary!

The next 4 slides explain each of these factors in detail

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TenureThe first regulatory factor that must be considered is the tenure group of each employee: Examples:

Includes all career employees not serving probation andemployees on excepted service permanent appointmentswithout restriction or condition

Includes career conditional and career employees serving a probationary period and excepted service employees serving a trial period or on an appointment equivalent to career conditional

Includes employees on indefinite or term appointments, excepted service temporary appointments over 1 year, temporary appointments pending establishment of a register, status quo appointments, and provisional appointments

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Veterans’ Preference The second regulatory factor that must be considered is the

veterans' preference status of each employee*:

* Check OPM’s Vet Guide and Section 3501, Title 5, USC, or the Guide to Processing Personnel Actions (GPPA) chapter 7, for more information.

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Service Credit The third regulatory factor that must be considered is the total

retention service credit of each employee* (includes all creditable Federal civilian and military service):

* While CPACs review all personnel records in the area affected by RIF, organizations should encourage employees to be proactive in correct their own personnel record using MyBiz.

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Performance Ratings• The fourth and final regulatory factor that must be considered is

the performance ratings of each employee.

• Employees receive extra retention service credit for performance based on the average of their last three performance ratings of record received during the 4 year period prior to the date the agency either issues RIF notices or freezes ratings prior to issuing RIF notices.

This additional service credit is added to the total years of retention service credit to calculate a RIF Service Computation Date (SCD). Example: Employee's SCD for service is 03/28/94. The employee's performance ratings give her an additional 20 years of service credit, making her RIF-SCD 03/28/74.

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Retention Order

Retention standing is designated first by the tenure group (I, II or III) then by the veterans' preference sub- group (AD, A or B).

Service credit and performance ratings determine the standing within the group/subgroup combination.

Click here to see an example of a retention register.

III-B

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GS-0343, Full TimeGroup/Subgroup Employee Name SCD RIF SCD

I-AD Smith, Joseph O. 4/2/1973 4/2/1957

I-A Brown, Nathanial T. 11/14/1966 11/14/1950

Wilson, Chelsea A. 7/31/1965 7/31/1953

I-B Downs, Christopher 6/17/1964 6/17/1944

Wright, Mary S. 3/28/1994 3/28/1974

Finn, Charles N. 4/15/1993 3/28/1977

White, Beatrice L. 8/22/1995 8/22/1979

II-A Robinson, John H. 8/21/2001 8/21/1981

II-B Keane, Susan M. 3/13/2002 3/13/1982

Sample Retention Register

Employees are placed in order by Group/Subgroup, and in order within each grouping by RIF SDC, which is the adjusted date after including performance ratings.

Actual registers are formatted by the agency and would also contain the position information, and any other information the agency thought was relevant.

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RIF Competition

There are 2 rounds of RIF competition:

In the “First Round RIF Competition”, the organization applies the four retention factors to a competitive level to identify which employee

has the lowest retention standing. The organization may now use RIF procedures to release the lowest standing employee from the competitive level.

In the “Second Round RIF Competition”, the organization again applies the four retention factors, this time to determine whether a released employee has a bump or retreat right to a position in a different competitive level that is held by an employee with an even lower retention standing.

Note: Excepted Service employees have only one round of RIF competition to determinewho will be released from the competitive level and be separated; they have no bump orretreat rights.

GS-0343-11

Group/Subgroup Employee Name SCD RIF SCD

I-AD Smith, Joseph O. 4/2/1973 4/2/1957

I-A Brown, Nathanial T. 11/4/1966 11/14/1950

Wilson, William A. 7/31/1965 7/31/1953

I-B Downs, Christopher 6/17/1964 6/17/1944

Wright, Mary S. 3/28/1994 3/28/1974

Finn, Charles N. 4/15/1993 4/15/1977

White, Beatrice 8/22/1995 8/22/1979

II-A Robinson, John H. 8/21/2001

8/21/1981

II-B Keane, Susan M. 3/13/2002

3/13/1982

GS-0343-09 FULL TIME

Group/Subgroup Employee Name SCD RIF SCD

I-A Murae, Itz A 4/2/1973 4/2/1957

Sup, Was 11/14/1966 11/14/1950

Stickmaker, Cand L. 7/31/1965 7/31/1953

I-B Tale, Know D. 6/17/1964 6/17/1944

Cent, Imin O. 3/28/1994 3/28/1974

Aight, Henry D. 4/15/1993 4/15/1977

Diggett, Canue 8/22/1995 8/22/1982

II-B Banks, Robyn 1/13/2002 1/13/1990

GS-0343-11 FULL TIME

Group/Subgroup Employee Name SCD RIF SCD

I-AD Smith, Joseph O. 4/2/1973 4/2/1957

I-A Brown, Nathanial T. 11/4/1966 11/14/1950

Wilson, Chelsea 7/31/1965 7/31/1953

I-B Downs, Christopher 6/17/1964 6/17/1944

Wright, Mary S. 3/28/1994 3/28/1974

Finn, Charles N. 4/15/1993 4/15/1977

White, Beatrice 8/22/1995 8/22/1979

II-A Robinson, John H. 8/21/2001

8/21/1981

II-B Keane, Susan M. 3/13/2002

3/13/1982

“Bumping” means displacing an employee on a different competitive level who is in a lowertenure group, or in a lower subgroup within the released employee’s own tenure group.

Round 1: Two positions in the competitive level have been abolished, so John Robinson and Susan Keane are released.Round 2: John Robinson can “bump” Robyn Banks (John is a group II-A on hisregister while Robyn is the only II-B on the register) Susan Keane was in the lowest position on the retention register. Robyn Banks and Susan Keane are separated as a result of the 2 positions being abolished. 18

GS-0343-09

Group/Subgroup Employee Name SCD RIF SCD

I-A Murae, Itz A 4/2/1973 4/2/1957

Sup, Was 11/14/1966 11/14/1950

Stickmaker, Cand L. 7/31/1965 7/31/1953

I-B Tale, Know D. 6/17/1964 6/17/1944

Cent, Imin O. 3/28/1994 3/28/1974

Aight, Henry D. 4/15/1993 4/15/1977

Diggett, Canue 8/22/1995 8/22/1982

GS-0343-11

Group/Subgroup Employee Name SCD RIF SCD

I-AD Smith, Joseph O. 4/2/1973 4/2/1957

I-A Brown, Nathanial T. 11/4/1966 11/14/1950

Wilson, Chelsea 7/31/1965 7/31/1953

I-B Downs, Christopher 6/17/1964 6/17/1944

Wright, Mary S. 3/28/1994 3/28/1974

Finn, Charles N. 4/15/1993 4/15/1977

White, Beatrice 8/22/1995

8/22/1979

Round 1: Beatrice White has been released.Round 2: Beatrice can “retreat” to Canue Diggett’s position because BeatriceEither previously held a GS-343-09 position, or a position that was essentially identical. (they are both in I-B, but Beatrice has an earlier RIF SCD.

“Retreating” means displacing an employee on a different competitive level with less service within the released employee’s own tenure group and subgroup.

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RIF Notices An agency must give an employee at least 60 days specific

written notice before the employee is released from the competitive level by a RIF action.

If there is an unforeseeable situation (e.g., a natural disaster,

the Agency may, with OPM approval, give the employee a specific RIF notice of less than 60 days but at least 30 days, before the effective date of the RIF.)

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RIF Appeals and Grievances

An employee who has been separated, downgraded, or furloughed for more than 30 days by RIF has the right to appeal the Merit Systems Protection Board (MSPB) if the employee believes that the agency did not properly follow the RIF regulations.

The employee must file the appeal during the 30-day period beginning the

day after the effective date of the RIF action.

An employee in a bargaining unit covered by a negotiated grievance procedure that does not exclude RIF must use the negotiated grievance procedure. The employee may not appeal to the Board unless the employee alleges the action was based on discrimination.

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E-250: Commander Decision to RIF; Start Pre-RIF work: engage CPAC assistance to develop pre-RIF strategy, negotiate notice period, RIF & VSIP ground rules, processes, & milestones w/ management and union, identify abolishments; conduct mock RIF process to determine impact to workforce and make VERA/VSIP decisions

RIF

E-180: Submit RIF/VERA/VSIP Request; Submit RIF package to HQDA

E-Date: RIF effective

E-105: Mandatory Congressional notification E-95: Freeze discretionary personnel actions; offer VSIP

E-70: Terminate reemployed Annuitants & Temp employees; Conduct RIF process

E-60: Mandatory RIF notice; may be delivered earlier

E-59: Conduct mandatory PPP Registration

RIF ACTIONS/TIMELINE

Recommended timeline based on the statutory 60-day employee notice period.

*Minimum 180 Day advance time required because ALL packages must be coordinated through Employment Policy Division (EPD), OTJAG, AG1CP, G-1, ASA M&RA, OGC, SA and DoD prior to going to Congress.

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E-165: Mandatory Congressional notification

E-310: Commander Decision to RIF; Start Pre-RIF work: engage CPAC assistance to develop pre-RIF strategy, negotiate notice period, RIF & VSIP ground rules, processes, & milestones w/ management and union, identify abolishments; conduct mock RIF process to determine impact to workforce and make VERA/VSIP decisions

E-155: Freeze discretionary personnel actions; offer VSIP

RIF

E-130: Terminate reemployed Annuitants & Temporary employees; Conduct RIF process

E-120: Mandatory RIF notice; may be delivered earlier E-119: Conduct mandatory PPP Registration

E-Date: RIF effective

E-240: Submit RIF / VERA / VSIP Request; Submit RIF package to DA*

RIF ACTIONS/TIMELINE

Recommended timeline based on 120-day employee notice period.

*Minimum 180 Day advance time required because ALL packages must be coordinated through Employment Policy Division (EPD), OTJAG, AG1CP, G-1, ASA M&RA, OGC, SA and DoD prior to going to Congress.