Title 38, Veterans' BenefitsRelease 119-102

§711 Grade Reductions

Title 38 › PART I — GENERAL PROVISIONS › CHAPTER 7 — EMPLOYEES › SUBCHAPTER I — GENERAL EMPLOYEE MATTERS › § 711

Last updated Aug 21, 2026|Official source

Summary

The Secretary must not cut the number of employees at a particular pay grade to lower average pay costs unless first sending a detailed plan and reasons, plus data showing the Department has too many people at those grades compared to other federal agencies and non-federal employers, to the House and Senate Veterans’ Affairs Committees. The Secretary must wait 90 calendar days after those committees get the report (not counting days when either House is not in session) before the change can start. A "grade reduction" means a planned, systematic drop in the number of employees at a specific pay grade to reduce average salary costs. The rule applies to three groups: health-care staff who provide or support direct patient care; people who meet the federal definition of “professional employee” (5 U.S.C. 7103(a)(15)); and computer specialists. Within 45 days after the report is sent, the Comptroller General must, if either committee asks, tell the committees whether the Secretary followed the rule and whether the data and finding are accurate. For employees not in those three groups, the Secretary may not, in any fiscal year, cut a grade faster than the combined rate of cuts at that grade across all other federal agencies.

Full Legal Text

Title 38, §711

Veterans' Benefits, Source: USLM XML via OLRC

(a)The Secretary may not implement a grade reduction described in subsection (b) unless the Secretary first submits to the Committees on Veterans’ Affairs of the Senate and House of Representatives a report containing a detailed plan for such reduction and a detailed justification for the plan. The report shall include a determination by the Secretary (together with data supporting such determination) that, in the personnel area concerned, the Department has a disproportionate number of employees at the salary grade or grades selected for reduction in comparison to the number of such employees at the salary levels involved who perform comparable functions in other departments and agencies of the Federal Government and in non-Federal entities. Any grade reduction described in such report may not take effect until the end of a period of 90 calendar days (not including any day on which either House of Congress is not in session) after the report is received by the committees.
(b)A grade reduction referred to in subsection (a) is a systematic reduction, for the purpose of reducing the average salary cost for Department employees described in subsection (c), in the number of such Department employees at a specific grade level.
(c)The employees referred to in subsection (b) are—
(1)health-care personnel who are determined by the Secretary to be providing either direct patient-care services or services incident to direct patient-care services;
(2)individuals who meet the definition of professional employee as set forth in section 7103(a)(15) of title 5; and
(3)individuals who are employed as computer specialists.
(d)Not later than the 45th day after the Secretary submits a report under subsection (a), the Comptroller General shall, upon request of either of such Committees, submit to such committees a report on the Secretary’s compliance with such subsection. The Comptroller General shall include in the report the Comptroller General’s opinion as to the accuracy of the Secretary’s determination (and of the data supporting such determination) made under such subsection.
(e)In the case of Department employees not described in subsection (c), the Secretary may not in any fiscal year implement a systematic reduction for the purpose of reducing the average salary cost for such Department employees that will result in a reduction in the number of such Department employees at any specific grade level at a rate greater than the rate of the reductions systematically being made in the numbers of employees at such grade level in all other agencies and departments of the Federal Government combined.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

Prior section 711 was renumbered section 1911 of this title. Provisions similar to those in this section were contained in former section 210(b)(3) of this title prior to repeal by Pub. L. 102–83, § 2(a).

Amendments

1996—Subsec. (d). Pub. L. 104–316 inserted “, upon request of either of such Committees,” after “the Comptroller General shall” in first sentence. 1994—Subsec. (d). Pub. L. 103–446 substituted “committees” for “Committees”.

Reference

Citations & Metadata

Citation

38 U.S.C. § 711

Title 38, Veterans' Benefits

Last Updated

Aug 21, 2026

Release point: 119-102