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10/31/2006: Transition to Pay for Performance Makes Some Federal Employees Anxious (The Washington Post; subscription may be required)
Excerpt: Over time, performance pay may affect a worker's pension. Part of the formula used to set federal pensions involves multiplying years of service by a percentage applied to the 'high-3' -- the average of the three highest-paid years of consecutive service. Under the pay-for-performance systems, the employee with high ratings should have an enhanced high-3, while employees with lower job ratings will see a smaller high-3.
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