OPM Tweaks Pay Caps for Top Government Expert Jobs
Published Date: 4/24/2026
Proposed Rule
Summary
The Office of Personnel Management wants to update rules about special pay for super important government jobs. They’re setting a clear top pay limit but allowing higher pay with approval, cutting confusing rules, and making it easier to manage pay changes without drama. These changes affect agencies hiring top experts and aim to simplify pay rules starting after May 26, 2026.
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Analyzed Economic Effects
5 provisions identified: 1 benefits, 3 costs, 1 mixed.
Default Pay Cap Raised to EX-I
OPM proposes that the default maximum critical position pay rate would be the rate for level I of the Executive Schedule (EX-I). Pay above EX-I would still be allowed, but only with written approval from the Director of OPM (in consultation with OMB).
No Appeal or Grievance Rights for Pay Cuts
The proposed rule says an employee has no right to grieve or appeal a decision to reduce, not increase, or terminate a critical position pay rate. OPM also proposes that reductions or terminations of critical pay (when employees were informed rates are time-limited and subject to annual review) are excluded from adverse action coverage in 5 CFR part 752.
Critical Pay Treated as Non‑GS Basic Pay
The proposed rule clarifies that a critical position pay rate is not a General Schedule (GS) rate of basic pay for applying GS pay administration rules in 5 CFR part 531, subpart B. However, an exception in Sec. 531.221(a)(4) can allow treating a former critical pay rate as a non‑GS rate for applying the GS maximum payable rate rule.
Potential Government Cost Increase Estimate
OPM estimates an illustrative scenario where if about 400 critical positions were approved at pay rates above EX-I with average increases of $50,000 to $100,000 per position, the incremental cost to the government could be roughly $20 million to $40 million per year. The rule also reiterates the statutory caps of no more than 800 positions governmentwide and no more than 30 Executive Schedule positions active at any time.
Agencies May Require Service Agreements
OPM proposes that agencies may require employees to sign written service agreements governing future payments of critical position pay and OPM may require agencies to establish such agreements or notice requirements as a condition of approval. Agreements may specify duties, expected performance, and factors for continuing or terminating critical pay.
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