DEFENSE CONTRACT MANAGEMENT AGENCY (DCMA) GUIDE

Transcription

1 PHASED RETIREMENT DEFENSE CONTRACT MANAGEMENT AGENCY (DCMA) GUIDE Human Capital Directorate February 2017

2 PHASED RETIREMENT DCMA GUIDE Table of Contents I. Introduction... 3 II. References... 3 III. Eligibility for Phased Retirement... 3 IV. General Provisions... 4 V. Responsibilities... 5 VI. Working Percentages and Established Hours... 7 VII. Mentoring... 8 VIII. Applying for Phased Retirement 9 IX. Time Limitation for Phased Retirement..9 X. Criteria for Approval or Denial 10 XI. Approval or Denial of Extensions for Phased Retirement...11 XII. Outside Employment While on Phased Retirement XIII. Employee Rights..12 Attachment 1 Business Case Justification for Approval of Phased Retirement 13 Attachment 2 Phased Retirement Mentoring Attributes/Qualifications Checklist..16 Attachment 3 Proposed Mentoring Plan Template...17 February 2017 Page 2

3 I. Introduction Public Law , Section authorized phased retirement, a tool designed to assist management with: succession planning; maintaining essential skills and competencies for a temporary period of time; and facilitating mentoring and knowledge transfer. The Phased Retirement Program allows retirement eligible full-time employees to request to work on a part-time basis and receive a portion of their retirement annuity. Phased retirement is designed to assist DoD Components with the transfer of knowledge and the continuity of operations on a short term basis. Participation in the Phased Retirement Program is voluntary and requires the mutual consent of both the employee and an authorized DCMA official. Phased retirement is not an employee entitlement. DCMA may limit the number of employees included in the Phased Retirement Program, as appropriate. Approval of requests for phased retirement must be based on a sound business case and identified criteria. Applications must comply with Office of Personnel Management (OPM) regulations and DoD policy and procedures. II. References a) Moving Ahead for Progress in the 21st Century Act, Public Law , Section b) 5 U.S.C. 8336a, Phased Retirement c) 5 U.S.C. 8412a, Phased Retirement d) 5 CFR Part 848, Phased Retirement e) 5 CFR Part 831, Retirement f) 5 CFR Part 2635, Standards of Ethical Conduct for Employees of the Executive Branch g) DoD Directive-type Memorandum (DTM) Phased Retirement, June 21, 2016 III. Eligibility for Phased Retirement A. Employees must have been employed on full-time basis for at least a three-year period ending on the effective date of entry into phased retirement status. In addition, they must be eligible to retire in accordance with 5 CFR or 5 CFR This includes: February 2017 Page 3

4 (1) Employees covered under the Civil Service Retirement System (CSRS) for an immediate retirement that have at least 30 years of service and are at least 55 years old, or who have at least 20 years of service and are at least 60 years old. (2) Employees covered under the Federal Employees Retirement System (FERS) retirement who have at least 30 years of service and have reached their Minimum Retirement Age (MRA) (between ages 55 and 57, depending on his or her birth year), or who have at least 20 years of service and are at least 60 years old. B. No unused sick leave credit may be used in the computation of the phased retirement annuity. Once the employee enters full retirement, unused sick leave will be adjusted and applied to the overall composite annuity. C. Any unpaid civilian or military deposits must be paid at or before the time a retirement eligible employee enters phased retirement if the employee wants the time to count in calculating eligibility to enter the program. No such deposit may be made, or actuarial adjustment in lieu thereof elected, at the time a phased retiree enters full retirement status. f the deposits are not paid, the time will not be counted and there will be a permanent reduction when the employee enters full retirement. If a phased retiree does not make a deposit such that his or her annuity is actuarially reduced and dies in service as a phased retiree, the amount of any deposit upon which such actuarial reduction was to have been based will be deemed to have been fully paid. IV. General Provisions A. Participation in phased retirement is voluntary and requires the mutual consent of the employee and an authorized Approving Official. All employees approved for phased retirement must execute a signed agreement before entering phased retirement status, with an established end date of one year or less from the date phased retirement begins. B. An employee who wishes to participate in phased retirement is responsible for presenting an application for phased retirement to include a proposal for work and mentoring to convince the approving official that the employee s participation in phased retirement will be advantageous to DCMA. C. Employees may withdraw their applications for phased retirement any time prior to the date that they enter phased retirement, but not thereafter. D. A phased retiree can opt to fully retire at any time during their phased retirement period. February 2017 Page 4

5 E. An employee may request approval for an initial period of phased retirement not to exceed one year. An extension to the originally approved period of up to an additional year may be requested; the total time in phased retirement may not exceed 2 years. The extension must be approved by the Director, DCMA and implemented to include execution of a new agreement, before the end of the original phased retirement period. F. Because phased retirement is intended as a transition to full retirement, a phased retiree should not generally pursue the option of returning to regular employment in DCMA, unless selected for a position in another Federal agency, through normal procedures. A request of a phased retiree to return to regular employment in DCMA should be rare and must be approved by the Director, DCMA. If approved it must be effected prior to the end of the phased retirement period. G. For purposes of Federal Employee Health Benefits (FEHB) and Federal Employees Group Life Insurance (FEGLI), a phased retiree is considered to be a full time employee. For all other purposes, such as pay, leave accrual and holidays, the employee is considered to be a part time employee. A phased retiree will remain subject to the applicable performance management system. V. Responsibilities A. The Director, DCMA shall: 1) Approve or deny requests for extensions to initial phased retirement periods and requests from phased retirees to return to regular employment in DCMA. 2) Approve waivers of the mentoring requirement or other criteria for phased retirement in appropriate circumstances. B. Region Commanders and Headquarters Executive Directors shall: 1) Act as approving officials for applications for phased retirement and consider and decide applications to participate in phased retirement in accordance with the provisions of this business practice and references a - g. 2) With the employee, execute the agreement documenting the terms under which the employee will participate in phased retirement, to include a new or amended agreement if the employee s original phased retirement period is extended. C. CMO Commanders/Directors, Center Directors, and Headquarters Division/Branch Chiefs shall: February 2017 Page 5

6 1) Review the completed application package and ensure that all requirements have been met. 2) Endorse the completed application package and submit it to the appropriate Region Commander or Headquarters Executive Director for final approval. D. Supervisors shall: 1) Consult with their chain of command regarding potential work and mentoring options and other applicable considerations when an employee expresses an interest in phased retirement. 2) Complete the Business Case Justification for Approval of Phased Retirement (Attachment 1) and Phased Retirement Mentoring Attributes/Qualifications Checklist (Attachment 2) for inclusion in the application package. 3) When an employee submits a completed application for phased retirement, forward the application package to the appropriate CMO Commander, Center Director or Headquarters Division/Branch Chief for review and submission to the approving official. 4) Ensure that the phased retiree s work schedule of 40 hours per pay period is properly and accurately recorded in the agency s timekeeping system. 5) Monitor to ensure that the phased retiree is conducting mentoring activities in accordance with the plan and for at least the minimum required 20 percent of their duty time. 6) Update the phased retiree s Individual Performance Plan (IPP) to ensure that a critical job element is included for mentoring work and to make other appropriate adjustments based on changes to the employee s duties. 7) Maintain copies of all documents related to the employee s phased retirement. E. The Army Benefits Center-Civilian (ABC-C) shall: 1) At an employee s request, confirm basic eligibility for regular retirement in accordance with 5 CFR or 5 CFR and phased retirement; provide appropriate retirement estimates and counseling (provided the employee is within 6 months of eligibility). ABC-C will generate a phased retirement estimate for those employees projecting to enter the program within one year only. February 2017 Page 6

7 2) Process all personnel actions related to phased retirement in accordance with decisions issued by the agency. 3) Provide benefits counseling to phased retirees. 4) Process applications and personnel actions for phased retirees entering full retirement. F. Employees shall: 1) Request approval to enter phased retirement in accordance with the procedures set forth in Section VIII of this business practice. 2) Once approved for phased retirement, a) Comply with the work schedule and mentoring requirements described in this implementing business practice, to include properly and accurately recording work and mentoring hours in the agency s timekeeping system. b) Submit requests to extend the initial phased retirement period, return to regular employment or for waiver of any criteria for approval of phased retirement in sufficient time for decisions to be made and required actions resulting from the decisions to be implemented before the end of the initial phased retirement period (normally at least days in advance). VI. Working Percentages and Established Hours A. Working Percentage. The phased retiree will work one-half the number of hours he or she worked as a full-time employee immediately before entering phased retirement. The Region Commander or Headquarters Executive Director may approve a written request to have a phased retiree work in excess of the 50 percent working schedule only in rare and exceptional circumstances when all of the following conditions have been met: 1) The work is necessary to respond to an emergency posing a significant, immediate, and direct threat to life or property. 2) The approving official determines that no other qualified employee is available to perform the required work. 3) The phased retiree is relieved from performing excess work as soon as reasonably possible (e.g., by management assignment of work to other employees). February 2017 Page 7

8 4) When an emergency situation could have been anticipated in advance, management made advance plans to minimize any necessary excess work by the phased retiree. B. Established Hours. The phased retiree s established work schedule is subject to all applicable agency instructions and the provisions of the collective bargaining agreement (CBA). VII. Mentoring. Phased retirees will mentor other employees for at least 20 percent of their working hours. A. Mentoring means activities that transfer the knowledge of the employee in phased retirement to others. This may include, but is not limited to: direct mentoring of the employee s successor or less experienced staff members; developing/conducting training; and developing standard operating procedures, policies and guides. B. The employee s plan and schedule for meeting the mentoring requirement must be prepared in accordance with the Phased Retirement Mentoring Plan template (Attachment 3) included in the application for phased retirement, and must be approved. In developing the mentoring plan, the employee should also utilize the resources available through the DCMA Mentoring Program Initiative. Prior to preparing the mentoring plan, the employee should consider and discuss with the supervisor whether there is a need and a feasible approach for transfer of employee s knowledge. C. The 20 percent requirement must be met each pay period, unless the employee s approved mentoring plan provides for the completion of the requirement on a different schedule. Such a variation is appropriate only for limited circumstances, such as limited availability of individual(s) who will be mentored or when knowledge sharing includes preparing and conducting formal training classes that are not conducted each pay period. D. The Director, DCMA may waive the mentoring requirement in the event of an emergency or other unusual circumstances (e.g., the phased retiree being called up for active duty) that would make it impracticable for a phased retiree to fulfill the mentoring requirements. The waiver must be documented and include the circumstances and the period of time for which the mentoring requirement has been waived. E. If circumstances prevent the phased retiree from continuing to mentor in the manner defined by the plan in the approved application; the phased retiree must February 2017 Page 8

9 promptly propose an updated mentoring plan to the supervisor for approval. The 20 percent mentoring requirement must be met unless waived. VIII. Applying for Phased Retirement A. Employees meeting eligibility for phased retirement will complete and submit the Standard Form 3116, Phased Employment/Phased Retirement Status Elections, and Part 1, Section A of DD Form 3018, Phased Retirement Request and Agreement along with a proposed mentoring plan (Attachment 3), to their supervisor. B. The supervisor will complete Part I, Section B of DD Form 3018, Business Case Justification for Approval of Phased Retirement (Attachment 1) and Phased Retirement Mentoring Attributes/Qualifications Checklist (Attachment 2), and submit the entire package through the appropriate CMO Commander, Center Director or Headquarters Division/Branch Chief to the Region Commander or Headquarters Executive Director for approval. C. The application must be approved in writing and must establish a time limit for the period of phased retirement, using DD Form D. If approved for phased retirement, the employee must complete Section D, Employee Agreement and Acknowledgement of DD Form 3018 and submit it along with the appropriate retirement application to ABC-C to transition into a phased retirement status. E. An employee may withdraw his or her application in writing at any time before the phased retirement becomes effective, but not after. IX. Time Limitation for Phased Retirement A. The DD Form 3018 will document the date the employee s period of phased employment will end. B. The following information about the termination of the employee s phased employment is included in the DD Form 3018: 1) A statement that the employee may request permission from an authorized DoD Component official (Director, DCMA) to return to regular employment status at any time and an explanation of how returning to regular employment status would affect the employee. February 2017 Page 9

10 2) A statement that the employee may elect to fully retire at any time without agency approval. 3) A statement that the employee may accept a new appointment at another agency, with or without the new agency s approval for phased retirement, at any time before the agreement expires, or within 3 days after it expires and a statement that DCMA s agreement will terminate upon the employee s acceptance of an appointment at an outside agency. 4) A statement that when the phased retirement time limit ends, the phased retiree will be separated from employment and that such separation will be considered voluntary. 5) A statement that if the employee is separated from phased employment and is not employed by another federal agency within 3 days (i.e., the employee has a break in service of greater than 3 days), the employee will be deemed to have elected full retirement. C. The approving official and the employee may mutually agree to rescind an existing agreement, or enter into a new agreement to extend or reduce the agreed upon term of phased employment, by entering into a new written agreement before the existing agreement expires. An agreement to extend the term of phased retirement must be approved by the Director, DCMA. X. Criteria for Approval or Denial Any decision to approve or deny a request for phased retirement is at the sole discretion of the approving official and will be based on a sound business case. Considerations will include, but are not limited to: A. Whether the employee s current performance rating is at least Fully Successful or the employee is at least on or within the rails (appropriately compensated) under AcqDemo. B. Whether a part-time work schedule is appropriate for the employee s position. C. Whether the employee is willing and able to meet the mentoring requirement. In making this determination, the approving official should utilize the Phased Retirement Mentoring Attributes/Qualifications Checklist. (Attachment 2) D. Whether management has identified appropriate mentoring activities for the employee to perform. February 2017 Page 10

11 E. How the employee s change in work schedule will affect the work unit s ability to meet goals and objectives. F. Whether operational needs require the employee to work in excess of a 50 percent work schedule. G. Whether the employee holds a mission critical or emergency essential position. H. Whether the employee has knowledge that needs to be transferred. I. As applicable, whether funding is available for both a phased retiree and a newlyhired employee. XI. Approval or Denial of Extensions for Phased Retirement A. A request to extend the original phased retirement period shall be submitted in writing through the employee s chain of command to the Director, DCMA. Extension requests should be submitted at least 60 days before the end date of the original phased retirement period. B. Requests for extensions may be approved when the criteria as set forth in Section X continues to be met and based on an assessment of the employee s initial period of phased retirement. The maximum total time an employee may remain in a phased retirement status is 2 years. C. If approved, the decision will be forwarded to ABC-C for notification and processing. D. When an extension is approved, the approving official and employee shall execute a new agreement, prior to the end date of the original phased retirement period. The new agreement will contain the same provisions as the original agreement to include the employee s commitment to enter full retirement at the end of the approved period. E. An extension must be accomplished prior to the end date of the original phased retirement period. XII. Outside Employment While on Phased Retirement While on phased retirement, an individual remains a DoD employee in accordance with part February 2017 Page 11

12 2635 of Title 5, Code of Federal Regulations (Reference (f)). The employee is bound by ethics rules and any restrictions on outside employment. XIII. Employee Rights Any complaint procedures, including any applicable administrative or negotiated grievance procedures that are available in regular employment, remain available to phased retirees. No new rights are provided. February 2017 Page 12