ARTICLE 35 PERFORMANCE MANAGEMENT PROGRAM SECTION 1 - GENERAL A. We agree that DFAS Regulation 1426.3 provides the general framework for performance management in the Agency. The following sections provide elaboration and emphasis to areas of concern to the Parties. B. Performance standards must be consistent with the duties and responsibilities of the position. SECTION 2 - PURPOSE AND OBJECTIVES OF PERFORMANCE MANAGEMENT PROGRAM A. The Performance Management Program is to accomplish the following: 1. Provide for periodic appraisals of job performance which are objective, fair and reasonable, and job related; 88 2. Provide for employee participation in establishing performance standards and elements; 3. Provide employees with regular, informal feedback in order to keep employees advised of what is expected of them and how well they are meeting those expectations; 4. Provide information on current performance and assist the employee in improving performance and furthering individual development; and 5. Provide employees recognition and appropriate reward for their accomplishments in executing official duties. SECTION 3 - ESTABLISHMENT/MODIFICATION OF PERFORMANCE ELEMENTS AND PERFORMANCE STANDARDS A. Performance elements and performance standards for each element will be established in writing in accordance with applicable regulations and communicated to the employee at the beginning of each appraisal period. Performance elements and standards will be prepared based on the requirements of the employee's position. Each position must have at least three critical elements. B. Employees will be given the opportunity to participate in the establishment/modification of their performance standards and elements. To this end, the following procedures apply: 1. Before establishing any new or revising existing performance elements or standards, supervisors will so inform affected employees and provide them with a copy of the changes being contemplated. 2. Employees shall be afforded a reasonable opportunity to review the proposed change(s) and to submit their views in writing to the supervisor. Supervisors shall consider the views and opinions submitted by the employees and respond in writing. 3. Employees shall be given a copy of the new or revised performance standards/elements. Any new or revised performance standard/element shall not be applied to affected employees unless the employee has received a copy of the new or revised performance standards/elements. Employees may not be rated on the new or revised standards/elements, i.e., given a rating of record using the new or revised standards/elements, sooner than 90 days after coming under such new or revised standards/elements. C. Employees may request at any time that their performance standards/elements be modified. Supervisors shall consider any such request and, if the supervisor agrees that such a request has merit, he or she shall follow the procedures in subsection B in effecting any revision of performance standards/elements. Employees may not grieve the rejection of any such request. D. Employees on extended temporary assignments/appointments of over 90 days will have elements and standards established for that assignment/appointment. In establishing or modifying such performance standards/elements, supervisors shall follow the procedures in subsection B above. Employees will be given a special appraisal at the conclusion of such temporary assignments. SECTION 4 - RATING PERFORMANCE A. The supervisor will meet with the employee at the beginning of the rating period and ensure the employee understands the job performance elements and job performance standards, has a copy of the elements and standards, and has a current copy of their position description. B. At least quarterly, performance reviews will be summarized in writing. The supervisor will inform the employee that he or she may have a copy of the summary if he or she desires. The original will be placed in the employee's Supervisor's Record of Employee. C. At the end of the annual rating period, the supervisor's evaluation will make allowances, as appropriate, for factors beyond the control of the employee which may have caused the employee not to achieve a specific performance level (e.g., Union official duties, EEO counselor duties, extended illnesses, long-term training, TDY, etc.). Employees will be rated only on the actual time spent functioning against their performance standards. D. Ratings of record are effective on the date approved and remain in effect until replaced by another rating of record. Normally, all annual ratings will be approved on the same date, unless an early annual rating or an extension of that rating is required. In cases where the rating due date has been extended, a memo indicating the reason for the delay and the new rating due date (if known) must be prepared by the supervisor and given to the concerned employee. A copy will also be forwarded to the Human Resources Directorate prior to the original due date. SECTION 5 - IMPROVING UNSATISFACTORY PERFORMANCE AND PERFORMANCE IMPROVEMENT PLAN (PIP) A. If the supervisor, during a performance discussion, anticipates that the employee may receive a rating below fully successful if current performance continues, he or she will inform the employee of what is needed to bring his or her performance to the fully successful level. The supervisor will provide the opportunity for assistance to the employee in improving the employee's performance. B. The performance appraisal process should help identify remedial or developmental training necessary for an employee to meet a specific performance standard. Supervisors will make every effort to determine whether training will assist an employee's performance. Training provided will be documented in the Supervisor's Record of Employee and the entry initialed by the employee. C. If the employee's performance does not improve, the supervisor will develop a comprehensive PIP, in writing, and include whatever measures the supervisor determines are necessary to bring the employee's performance up to the fully successful level. Any improvement plan that is developed will provide for counseling, training, and guidance, as appropriate, prior to considering initiation of adverse action. D. The employee will normally be given 90 calendar days in which to bring their performance up to an acceptable level. If the employee is given less than 90 days, the first-line supervisor will inform the Union. If the Union disagrees with the first-line supervisor and the issue cannot be resolved, the first-line supervisor will be asked to explain his or her position to the Labor-Management Committee. At the end of the PIP period, a written evaluation of the employee's performance will be issued if an annual rating is not due. E. If the employee successfully completes the PIP, but within a year of the onset of the PIP, the employee again becomes unacceptable on the same element(s), the supervisor will formally counsel the employee before issuing a notice of proposed action. This counseling will be documented. SECTION 6 - REMEDIAL ACTIONS BASED ON UNACCEPTABLE PERFORMANCE A. An employee may be reassigned, demoted, or removed from the Federal service because of unacceptable performance in one or more critical job elements. A decision for such action may only be based on instances of unacceptable performance which occurred within a 12-month period ending with the date of the proposed action. However, before it is proposed to remove an employee for unacceptable performance, consideration must be given to the advisability of a reassignment or demotion to another position where it is likely the employee could perform acceptably. B. Demotions and removals due to unacceptable performance are actions subject to the formal job protection procedures. When proposing to take such an action under 5 C.F.R., Part 432, the following procedures will be followed: 1. A minimum of 30 calendar days advance notice must be given. 2. A charge of unacceptable performance will be used. The description of the charge must list the critical job elements and standards of performance that were not met. It must include the basic facts developed, clearly and specifically. 3. The personnel action (reassignment, demotion, or removal) that may result if performance is not improved to above the unacceptable level. 4. Any records or documents relied upon to support the charge will be made available or provided to the employee or the representative for review upon request. Information on this matter must also be provided in the notice of proposed action. 5. Any reply made by the employee must be carefully considered. If it is decided that the proposed action is warranted and supported, the employee will be given a notice of decision. The decision to take the action must be made by the reviewing supervisor. The notice of decision must include information on the employee's appeal or grievance rights, as appropriate, as well as the right of Union representation. 6. The employee will be notified, in writing, when it is decided to cancel the proposed action. C. A performance-based action may also be taken under Part 752 of the Federal Personnel Manual (FPM), and 5 C.F.R., Part 752, when the requirements of these regulations are followed. D. The procedural requirements above do not apply to the separation of employees during their probationary period after competitive appointment. Requirements pertaining to probationers are contained in FPM Chapter 315. E. For any adverse action that is not for personal cause (e.g., physical inability to perform the duties of the position) the decision notice will include a statement of the employee's right to apply for discontinued service retirement.