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Federal Workforce: Federal Suggestion Programs Could Be Enhanced

GGD-89-71 Published: Aug 23, 1989. Publicly Released: Aug 31, 1989.
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Highlights

Pursuant to a congressional request, GAO provided information on private firms' and federal agencies' employee suggestion programs, focusing on the program characteristics that contributed to high employee participation and savings.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Office of Personnel Management To motivate federal employees to participate more actively, the Director, OPM, should adopt a fixed-percentage formula for tangible benefit awards of not less than 10 percent, which as shown by NASS data as the typical industry practice. OPM and other agencies should be aware that the potential benefits of this change may not be realized unless the other key factors in a successful program also are emphasized.
Closed – Implemented
OPM issued FPM Letter 451-11 (Nonmonetary and Monetary Incentive Awards) which adopts the intent of the GAO recommendation. Modification of the GAO-proposed payment formula does not appear to be major, and gives latitude to the agencies.

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AwardsComparative analysisCost controlEmployee incentivesFederal agenciesFederal employeesFringe benefit costsLabor relationsPersonnel managementPrivate sector