B-66992, JUNE 18, 1947, 26 COMP. GEN. 939

B-66992: Jun 18, 1947

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1947: I HAVE YOUR LETTER OF JUNE 10. AS FOLLOWS: THERE ARE ATTACHED PAYROLL BUREAU VOUCHER NUMBER 205. MISS TAYLOR WAS GIVEN A NOTICE OF SEPARATION BY REDUCTION IN FORCE ON MAY 2. ADVICE OF PERSONNEL ACTION WAS PREPARED WHICH SHOWS THE RESIGNATION TO HAVE BEEN IN ANTICIPATION OF REDUCTION IN FORCE. THERE WAS TO HER CREDIT 12 HOURS OF ANNUAL LEAVE AND THAT SHE WAS INDEBTED FOR 73 HOURS OF SICK LEAVE. SINCE THERE WAS DUE TO MISS TAYLOR 64 HOURS OF PAY FOR THE PERIOD MAY 4-14. SHE WAS INDEBTED FOR 73 HOURS OF ADVANCED SICK LEAVE. A PAYROLL FOR 3 HOURS SALARY WAS CERTIFIED FOR PAYMENT. IN CASE OF THE SEPARATION OF AN EMPLOYEE WHO IS INDEBTED FOR UNEARNED LEAVE. OR IN CASE AN EMPLOYEE IS UNABLE TO RETURN TO DUTY BECAUSE OF DISABILITY.

B-66992, JUNE 18, 1947, 26 COMP. GEN. 939

LEAVES OF ABSENCE - SICK - COMPENSATION ADJUSTMENTS FOR EXCESS - RESIGNATION IN ANTICIPATION OF REDUCTION IN FORCE AN EMPLOYEE WHO, AFTER THE RECEIPT OF NOTICE OF SEPARATION BY REDUCTION IN FORCE BUT PRIOR TO THE EFFECTIVE DATE THEREOF, SUBMITTED HER RESIGNATION FROM THE SERVICE BECAUSE OF REDUCTION IN FORCE WITHIN THE MEANING OF SECTION 4.6 OF THE ANNUAL AND SICK LEAVE REGULATIONS, SO THAT THE COMPENSATION REPRESENTING SICK LEAVE GRANTED IN EXCESS OF THAT EARNED NEED NOT BE REFUNDED OR DEDUCTED FROM THE SALARY OTHERWISE DUE SUCH EMPLOYEE.

COMPTROLLER GENERAL WARREN TO EUGENE LOVE, DEPARTMENT OF LABOR, JUNE 18, 1947:

I HAVE YOUR LETTER OF JUNE 10, 1947, AS FOLLOWS:

THERE ARE ATTACHED PAYROLL BUREAU VOUCHER NUMBER 205, SUPPORTED BY CHANGE SLIP NUMBER 1203, AND RELATED FILE, IN FAVOR OF CREDELLA D. TAYLOR.

MISS TAYLOR WAS GIVEN A NOTICE OF SEPARATION BY REDUCTION IN FORCE ON MAY 2, 1947. THE NOTICE PROVIDED THAT SHE WOULD REMAIN IN AN ACTIVE DUTY STATUS THROUGH MAY 17, 1947, AND ON ANNUAL LEAVE OR, IN THE ABSENCE OF ANNUAL LEAVE TO HER CREDIT, ON LEAVE WITHOUT PAY UNTIL THE CLOSE OF BUSINESS ON JUNE 2, 1947.

ON MAY 6, 1947, MISS TAYLOR SUBMITTED HER RESIGNATION EFFECTIVE AT THE CLOSE OF BUSINESS MAY 14, GIVING AS HER REASON REDUCTION IN FORCE. ADVICE OF PERSONNEL ACTION WAS PREPARED WHICH SHOWS THE RESIGNATION TO HAVE BEEN IN ANTICIPATION OF REDUCTION IN FORCE.

AN ANALYSIS OF MISS TAYLOR'S LEAVE RECORD CARD SHOWS THAT ON MAY 14, 1947, THERE WAS TO HER CREDIT 12 HOURS OF ANNUAL LEAVE AND THAT SHE WAS INDEBTED FOR 73 HOURS OF SICK LEAVE. SINCE THERE WAS DUE TO MISS TAYLOR 64 HOURS OF PAY FOR THE PERIOD MAY 4-14, 1947, AND SHE HAD 12 HOURS OF ANNUAL LEAVE TO HER CREDIT, TOTAL 76 HOURS, AND SHE WAS INDEBTED FOR 73 HOURS OF ADVANCED SICK LEAVE, A PAYROLL FOR 3 HOURS SALARY WAS CERTIFIED FOR PAYMENT.

CHAPTER Z1, PART 30.406 OF THE FEDERAL PERSONNEL MANUAL PROVIDES AS FOLLOWS:

"30.406 SEPARATION OF EMPLOYEES INDEBTED FOR UNEARNED LEAVE. IN CASE OF THE SEPARATION OF AN EMPLOYEE WHO IS INDEBTED FOR UNEARNED LEAVE, THE EMPLOYEE SHALL REFUND THE AMOUNT PAID HIM FOR THE PERIOD OF SUCH EXCESS, OR DEDUCTION THEREFOR SHALL BE MADE FROM ANY SALARY DUE HIM. THIS SECTION SHALL NOT APPLY IN CASES OF DEATH, RETIREMENT FOR DISABILITY, OR REDUCTION OF FORCE, OR IN CASE AN EMPLOYEE IS UNABLE TO RETURN TO DUTY BECAUSE OF DISABILITY, EVIDENCE OF WHICH SHALL BE SUPPORTED BY AN ACCEPTABLE MEDICAL CERTIFICATE.'

PAGE R3-44 OF THE FEDERAL PERSONNEL MANUAL, UNDER " REPORTS OF PERSONNEL ACTIONS," READS AS FOLLOWS:

"IF AN EMPLOYEE RESIGNS AFTER HE HAS RECEIVED HIS FORMAL NOTICE OF PROPOSED SEPARATION BY REDUCTION IN FORCE, THE ACTION SHOULD BE REPORTED AS A "RESIGNATION" AND REMARKS SHOULD CARRY THE NOTATION "REDUCTION IN FORCE NOTICE ISSUED.' FORM 2806 SHOULD BE NOTED: " RES. RIF.' RESIGNATIONS OF THIS TYPE, REPORTED IN THIS WAY, WILL BE CONSIDERED AS INVOLUNTARY SEPARATIONS WITHOUT CAUSE FOR THE PURPOSES OF THE RETIREMENT ACT.'

THE QUESTION AT ISSUE IN THE INSTANT CASE IS WHETHER AN EMPLOYEE WHO HAS BEEN GIVEN A REDUCTION IN FORCE NOTICE AND RESIGNS BEFORE THE EFFECTIVE DATE OF THE PROPOSED SEPARATION, MAY BE CONSIDERED AS HAVING BEEN SEPARATED DUE TO REDUCTION IN FORCE, WITHIN THE MEANING OF THE ANNUAL AND SICK LEAVE REGULATIONS, SO THAT ADVANCED SICK LEAVE NEED NOT BE REFUNDED OR OFFSET.

YOUR EARLY ADVICE AS TO WHETHER THIS VOUCHER MAY BE CERTIFIED WILL BE APPRECIATED, SINCE IT IS REPRESENTATIVE OF OTHERS NOW BEFORE ME FOR CERTIFICATION.

AS THE RESIGNATION OF THE EMPLOYEE, IN THE CIRCUMSTANCES STATED IN YOUR SUBMISSION, WAS EFFECTIVE AFTER THE RECEIPT OF NOTICE OF SEPARATION BY REDUCTION IN FORCE, AND WAS STATED AS FILED FOR THAT REASON, HER SEPARATION FROM THE SERVICE UPON THE EFFECTIVE DATE OF HER RESIGNATION MAY BE CONSIDERED AS A SEPARATION DUE TO REDUCTION IN FORCE WITHIN THE PURVIEW OF SECTION 30.406, CHAPTER Z1, FEDERAL PERSONNEL MANUAL; ACCORDINGLY, THERE IS NO REQUIREMENT THAT SHE REFUND THE COMPENSATION COVERING THE EXCESS SICK LEAVE GRANTED TO HER. THEREFORE, THE WITHHOLDING OF SUCH AMOUNT OF SALARY AND COMPENSATION FOR ACCRUED ANNUAL LEAVE AS WOULD EQUAL THE COMPENSATION FOR THE EXCESS SICK LEAVE WAS NOT AUTHORIZED. ACCORDINGLY, THE PAYMENT TO THE EMPLOYEE OF THE AMOUNT SO ERRONEOUSLY WITHHELD APPEARS TO BE LAWFUL AND IN ACCORDANCE WITH THE CITED CIVIL SERVICE REGULATION.

THE VOUCHER WHICH IS RETURNED HEREWITH, MAY BE CERTIFIED FOR PAYMENT, IF OTHERWISE CORRECT.