Claim for Retroactive Salary Adjustment and Backpay

An Air Force employee appealed a decision which disallowed his claim for a retroactive salary adjustment and backpay. The employee received a reduction in force (RIF) notice which offered him a position at a grade one level below his position at the time. He accepted this position. The RIF notice was withdrawn and a second notice was issued which lowered his grade level even further. Two years later, the employee appealed his grade classification to the Civil Service Commission which denied his appeal. Two years after this, he filed a claim with GAO for an adjustment in his base pay and backpay for the period of his reduction in grade. The claim was denied. In his appeal, the employee contended that the government was bound by his acceptance of its offer of a one level grade reduction, and that the withdrawal of that offer was improper. He contended that a later decision by the Air Force to upgrade the position was an admission of the error. GAO held that the agency followed proper RIF procedures. The subsequent upward reclassification of the position to which the employee was downgraded did not create an entitlement to backpay since classification actions are prospective in effect. Accordingly, the earlier decision was sustained.