Claim for Salary Adjustment and Backpay for Error in Pay Rate
Highlights
A Selective Service System employee in grade GS-4 voluntarily transferred to grade GS-3 in the Forest Service. During the interview for the GS-3 position, the employee was informed that funding constraints would not permit her to be hired at a level higher than the GS-3. However, the relevant justification statement was not inserted in her personnel folder and the employee subsequently claimed a salary adjustment and backpay contending that her pay rate was set in error. The claim was disallowed by both the Forest Service and GAO. Upon reconsideration of the disallowance, it was held that the funding constraints constituted compelling administrative reasons for not applying the highest previous rate rule and that the failure to place the justification statement in the employee's folder was only procedural since she had been personally informed of the constraints. Accordingly, the disallowance was sustained.