Pentagon's New Personnel System: Coping with the Challenges of Human Capital

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“NSPS provides an opportunity to improve the effectiveness of our department through a simplified personnel system that will improve the way we hire and assign, as well as compensate and reward our employees.” ¹

- Gordon R. England, Deputy Secretary, US Department of Defense, in April 2005.

“The NSPS is not about national security but about destroying the collective bargaining rights of the employee unions and diminishing the rights of the military veterans in the federal service.”²

- Don Bongo, Vice President, Hawaii Federal Employees Metal Trades Council, in May 2006.

Introduction

In June 2008, Gordon R. England (England), Deputy Secretary, United States Department of Defense3 (DoD), approved the new regulations related to the National Security Personnel System (NSPS). The NSPS was a new civilian personnel management system that aimed to reward employees based on their performance. NSPS''pay for performance'system required the civilian employees to be transferred from the decades-old General Schedule (GS) payment system to the NSPS that featured broader pay scales.

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1] “National Security Personnel System,” www.af.mil, April 2005.

2] Mary Gruenberg, “DoD Goes after Vets'Job Preference Rights,” www.forum.militaryd.com, May 16, 2006.

3] DoD is headquartered in a building located in Arlington, Virginia. The word 'Pentagon'is often used metonymically to refer to the DoD rather than the building itself.

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