Pay Administration

Agencies should use the standard method, since the employee is covered by the same pay schedules (i.e., locality rate schedules) before and after promotion. Pay schedule is defined in 5 CFR 531.203 as “a set of rate ranges established for GS employees under a single authority—i.e., the General Schedule, an LEO special base rate schedule (for grades GS-3 through 10), a locality rate schedule based on GS rates, a locality rate schedule based on LEO special base rates (for grades GS-3 through 10), or a special rate schedule.” Since LEO special base rates apply only at grades GS-3 through 10, the locality rates at the other grades on the LEO locality rate schedules are based on GS rates. Therefore, the same locality rate schedules apply before, and after the promotion, and the agency should apply the standard method.