The Nation - News from Dec. 17, 1986
The White House will propose in its fiscal 1988 budget to eliminate pay increases based on seniority for 1.2 million civilian federal workers and to replace these “within-grade” or “step” increases with “performance,” or merit, pay, Office of Management and Budget Director James C. Miller III said. About $700 million now earmarked for “within-grade” increases would provide a “pot of money to use as raises for good performance,” he said. A pay-for-performance system could not be implemented without congressional approval.
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