[Decision Concerning Entitlement of Navy Employee to Higher Rate of Basic Pay]

The Navy requested a decision regarding a civilian employee's entitlement to a higher rate of basic pay after his transfer from an Army position. The employee contended that the rate should be higher under the highest-previous-rate rule, since the Army had approved the highest rate, which became effective shortly after his transfer. GAO noted that the: (1) rule applied only to the salary that the employee actually earned; and (2) employee's pay in his new position exceeded his previous pay. Accordingly, the claim was denied.