Did you know members of the Senior Executive Service (SES) do not get locality pay and have been on a Pay-for-Performance system since 2004?

A recent Office of Personnel Management (OPM) survey to assess the implementation of the SES pay-for-performance system and to obtain information related to executive development was e-mailed to 6,745 career, non-career and term appointment SES members in 2008.  A total of 4,386 completed the survey, which identified some startling figures regarding government's top leadership.

Of significant concern was the troubling finding that over 60 percent of senior executives surveyed stated that they plan to leave in the next 5 years and only 61 percent of executives were satisfied with pay.  Recent increases to SES pay have, on average, lagged behind those of the General Schedule, possibly contributing to the significant numbers of dissatisfaction with pay.

Currently the rates for basic pay for members of the SES in agencies without a Certified SES Performance Appraisal System ranged from $114,468 to a maximum of $158,500 per annum. Compare that to a GS-15 in the DC metro area (which is where the vast majority of SES's work) who earns from $115,317 to $149,000 and you'll quickly see why many think it doesn't pay to have more responsibility.

Most telling were the survey responses to pay-for-performance questions among executives.  Although most respondents believed their appraisal was a fair reflection of their performance (68%; down from the 2006 survey rate of 74%), only a third believe pay and bonus distinctions are meaningfully different among executives. 

Of additional concern is that fewer than half (43%) of respondents believe pay-for-performance promotes better organizational performance in their agency. And more than one-third of the respondents stated their agencies aren't doing a good job training them about pay-for-performance.

On a positive note, senior executives as a group are proud to be members of the SES.  Ninety-five percent feel a sense of accomplishment with the work they do and 87% believe their talents are well used. Additionally, many SES members (66%) believe their agency is able to attract and retain high quality executives, however, only half agree SES pay and benefits help with recruitment.

To bring more equity into the system and attempt to correct pay dissatisfaction, Carol Bonosaro, president of the Senior Executives Association, recommends that Congress should reinstate locality pay and boost all SES pay ranges. But with a spiraling debt and two ongoing wars to pay for, Congress will be hesitant to make any changes right now.