Appraisal System/Program Transitions

Appraisal System/Program Transitions FAQs

As agencies develop new programs for appraising employee performance, questions arise about procedures for ending old programs and beginning new ones. Some frequently asked questions about transitioning from one program to another include:

List of Questions

How should an agency transition between appraisal programs?

Does an agency have to complete the current appraisal period (or rating cycle) before changing the number of summary levels?

If an agency is in the middle of the appraisal period and decides to change the number of summary levels used in its appraisal program, is it required to end the current period and give employees a rating of record?

An agency has varying performance appraisal cycles. If it gives a rating of record to those employees who have completed their minimum period when a program and summary level pattern change, what happens to those who haven't completed the minimum period?

When situations arise where it is not possible to close out appraisal periods in a normal manner before shifting to a new appraisal program, what advice does the Office of Personnel Management have for how an agency could transition between appraisal programs (i.e., handle appraisal periods, minimum periods, performance ratings, and ratings of record) in the following situations? (See descriptions (a) through (e))

?	How should an agency transition between appraisal programs?
Ideally, an agency would close out the current appraisal period and issue ratings of record at the time specified under the existing appraisal program and then begin the next appraisal period under the terms of the new program.

?	Does an agency have to complete the current appraisal period (or rating cycle) before changing the number of summary levels?
Technically, no. However, agencies need to consider carefully the effect that switching to a different pattern of summary levels, especially the two-level pattern, may have on employee expectations regarding performance appraisal results and their related consequences. Such expectations are established at the beginning of the appraisal period.

No. Regulations do not require that the appraisal period be ended to change appraisal programs. However, agencies need to remember that the regulations permit only a single rating of record in a given appraisal period. When changing programs, agencies may grant a rating of record, grant a performance rating that does not summarize the entire period, or do nothing when changing summary level patterns in the middle of an appraisal period. If an agency provides for neither a rating of record nor a performance rating, it must ensure that an employee's performance prior to conversion is considered when deriving a rating of record under the new program at the end of the appraisal period.

Agencies that choose not to close the appraisal period and grant a rating of record should be aware of the possible demoralizing effects of not using performance levels agreed to at the beginning of the period to assess performance up to the time of conversion. They should particularly anticipate employee concerns over possible implications for assigning additional service credit in a reduction in force.

Agencies may not prepare performance ratings, including ratings of record, for employees who have not completed the minimum period. Therefore, an agency may choose to phase in the implementation of its new program to allow organizations with such employees to wait until the minimum periods are completed. If the agency waits for completion of applicable minimum periods before converting, a rating of record with its summary level could be assigned under the old program. If the agency does not wait, the performance during the period after the employee's last appraisal period and before the program changes must be accounted for in the employee's next rating of record under the new program. Agencies should consider the number of employees close to completing their minimum periods and whether or not they are isolated into different organizations before establishing their policies. If agency conversion decisions appear arbitrary, employees may be concerned about the loss of potential additional service credit they might have been granted in a reduction in force with another rating of record under the old rating pattern. This is yet another reason why employee involvement is so critical in promoting acceptance of program changes.

Few straightforward answers are possible here. Agencies have a lot of flexibility for how mid-period transitions could be handled. At the same time, however, such transitions may stimulate employee complaints and grievances. This is especially true as many agencies seek to implement changes and transitions during a time when the Government is facing serious downsizing. It is only prudent to consider the effect and timing of program changes in light of their possible reduction-in-force implications.

A few simple principles can help guide decisions about program transitions:

The appraisal regulations in part 430 of title 5, Code of Federal Regulations, contemplate only one formal rating of record per appraisal period.
The reduction-in-force regulations in part 351 of title 5, Code of Federal Regulations, defer to ratings of record as defined in part 430.
A sense of fairness and equity is generally not well served by "changing the rules late in the game" unless there is clear evidence that the rule changes are well understood and widely accepted by the affected parties. It's generally a good idea to stick by the "rules" that are in place when the employee's performance plan is communicated, unless program changes are imminent (see (a) below).
It's generally a good idea to let employees get credit for their positive achievements, rather than ignore them.

These principles were applied in developing the following advice about situations (a) through (e) below. Please note that in each situation, the new program would have to be in effect and employees would have to be under their new performance plans for the minimum period before a rating of record could be prepared under the new program. Also, a new program should not be implemented with its performance plans and ratings of record unless management and employees have received appropriate preparation and training.

(a) It's early in a new appraisal period (or rating cycle) and the minimum period has not been completed yet.

This is the simplest case. Because it is not permissible to rate performance under the old program before the minimum period is complete, implementing the new program should not cause serious problems. However, agencies must remember to comply with the requirement to communicate with supervisors and employees about the relevant parts of their appraisal programs.

(b) It's near the end of the current appraisal period and the new appraisal program has fewer summary levels than the old.

This may be the second simplest case. Assuming adequate warning and preparations are made, relevant parties are in agreement, and the agency system allows the flexibility, it should be possible to in effect "shorten" the old appraisal period to close out the old program. Ratings of record would be prepared using the old pattern with more summary levels. The agency could have the discretion to lengthen the next appraisal period so that two ratings of record would be assigned to cover a 24-month period. This approach would be most consistent with giving employees credit for their accomplishments and avoids disadvantaging employees by "changing the rules late in the game."

(c) It's near the end of the current appraisal period and the new appraisal program has more summary levels than the old.

In this situation, it may be more desirable to let the rating of record be assigned under the new program with more summary levels. A performance rating could be prepared (with or without assigning a summary level) to "close out" the old program before implementing the new program. When the appraisal period ends and a rating of record must be prepared, that earlier performance information would be available and applied as appropriate. Of course, an employee could not be rated under the new program or assigned a performance rating or rating of record until the new program's minimum period was completed, which in effect could lengthen the appraisal period. In that event, the agency would have the option of shortening the subsequent appraisal period to end up with two ratings of record covering a 24-month period. Agencies should consider designing their programs to accommodate the need for a transitional appraisal period.

d) It's the middle of the current appraisal period and the new appraisal program has fewer summary levels than the old.

In this situation, unless relevant parties are in agreement and a lot of groundwork has been laid with employees, it may be advisable to delay implementing the new program until the next appraisal period. Closing out the old program with a summary rating of record (as in (b) above) by substantially "shortening" the appraisal period might be more acceptable than just implementing the new program with its fewer summary levels, but it's still "changing the rules" in midstream.

(e) It's the middle of the current appraisal period and the new appraisal program has more summary rating levels than the old.

In this case, the fact that more summary levels would be available under the new program may make shortening the appraisal period less desirable. As in (c) above, the old program could be closed out with a performance rating (with or without a summary level) that "counts" when the rating of record is prepared under the new program at the end of the appraisal period. This presumes the new program is more attractive and there is shared interest in implementing it. If that is not the case, the scenario in (b) above still could be played out.