Establishment of Separation Date

The Office of Personnel Management (OPM) requested an opinion concerning the Air Force's authority to approve a retroactive separation date for one of its employees. The employee served in a career reserved senior executive service (SES) position, and expressed his desire to retire effective February 29, 1980, so that he could take advantage of a cost of living increase payable to Federal retirees on March 1, 1980. However, he chose to remain in a pay status beyond February 29, 1980, because of uncertainty as to whether he could return to his SES position as a reemployed annuitant. The employee submitted his retirement application on March 11, 1980, whereupon his supervisor asked that action be initiated which would allow the employee to officially retire as of February 29, 1980, and return as an annuitant on March 1, 1980. According to OPM, the Civil Service Retirement Act does not authorize the Air Force to approve a retroactive separation date for an employee. However, it believed the Back Pay Act would allow a retroactive separation based on the conflicting advice from OPM concerning eligibility for reemployment in the SES which prevented the employee from making an informed retirement decision prior to March 1, 1980. The general rule that once an employee's separation is an accomplished fact the date of separation may not be changed, supported the conclusion that the employee's retirement date could not be established retroactively. GAO could find no basis under the Civil Service Retirement Act for a retroactive change in the employee's pay status. With regard to the Back Pay Act, GAO has made exceptions to the general rule against retroactive personnel actions where administrative error has prevented a personnel action from being effected as originally intended. However, in this case, it was unable to conclude that either OPM or the Air Force committed an unwarranted personnel action under the Back Pay Act so as to provide a basis for allowing a retroactive separation date. Accordingly, it was concluded that the employee's retirement date could not be made retroactive.