Authority To Grant Retroactive Quality Step Increase

The Commissioner of Food and Drugs at the Department of Health, Education, and Welfare has requested an advance decision on whether the Food and Drug Administration (FDA) has authority to grant a retroactive quality step increase (QSI) with backpay to an FDA employee who was recommended for a QSI by his immediate supervisor. Although the recommendation should have been acted upon within 30 days according to agency procedures, it was not approved until almost a year later. An investigation by the Special Counsel disclosed that the delay was based on inappropriate considerations rather than on the employee's performance of his duties. A special FDA Task Force endorsed the employee's recommendation and requested that the QSI be made retroactive. Since both the Special Counsel and the FDA Task Force have found the delay was improper, GAO holds that there appears to have been an abuse of discretion by the approving official which constituted an unjustified personnel action. The employee is entitled to a retroactive QSI. Payment of interest on retroactive awards of backpay may not be awarded, however, since interest may not accrue on claims against the government.