DoD 1402.3-H
Chapter 10

FOREWORD

The Senior Executive Service Handbook is issued under the authority of DoD Directive 1402.3, "Administration of the Senior Executive Service Program in the Office of the Secretary of Defense and the Defense Agencies," August 16, 1984.

The purpose of this chapter is to provide guidance to members of the Senior Executive Service (SES) and to their supervisors concerning the accumulation of unlimited annual leave and related issues.

This chapter applies to the Office of the Secretary of Defense (OSD), DOD field activities, the Organization of the Joint Chiefs of Staff (OJCS), the Defense Agencies (except the National Security Agency/Central Security Service and the Defense Intelligence Agency), the Office of the Inspector General (OIG), the U.S. Court of Military Appeals (USCOMA), and the U.S. Mission to the North Atlantic Treaty Organization (NATO).

This chapter is effective immediately, and its use is mandatory.

Send recommended changes through channels to the following:

        SES and Classification Division
        Directorate for Personnel and Security
        Washington Headquarters Services
        Room 3B347, The Pentagon
        Washington, D.C.  20301-1155

Copies may be obtained from OSD Publications, Room 3B960, The Pentagon.



REFERENCES

References:  (a)  Section 6304(f) of title 5, United
States Code

(b)  Title 5, Code of Federal Regulations, Section 630.301(a)

(c)  Title 5, Code of Federal Regulations, Section 630.306

(d)  Title 5, Code of Federal Regulations, Section 630.301(c)

(e)  Section 6304(a) of title 5, United States Code

(f)  Section 6304(b) of title 5, United States Code

(g)  Section 5595 of title 5, United States Code (Title
5, Code of Federal Regulations, Section 550.701(b)(8))

(h)  Section 3392(c) of title 5, United States Code

(i)  Comptroller General Decision B-77963, April 14,
1961; 40 Comp. Gen. 579

(j)  Section 5541 of title 5, United States Code

(k)  Section 5550(a) of title 5, United States Code

(l)  Section 5545(d) of title 5, United States Code

C10.  CHAPTER 10

LEAVE AND RELATED ISSUES

C10.1.  INTRODUCTION 

Members of the SES are subject to the same leave policies
as other employees, except that they may accumulate
annual leave without limit.   This Handbook provides
procedural guidance for unlimited accumulation of annual
leave by SES members and for the establishment of personal
leave ceilings upon their separation from the SES, as
well as a discussion of related leave/pay issues.

C10.2.  DEFINITIONS 

C10.2.1.  Presidential Appointee.   An individual appointed
by the President to a civilian position in the Executive
branch with the advice and consent of the Senate at
a rate of basic pay that is equal to or greater than
the rate payable for Executive Level V.   For purposes
of this Handbook, Recess Appointments, which are a constitutionally
sanctioned means of filling positions otherwise requiring
Senate confirmation when the Senate is not in session,
are included in this definition.

C10.2.2.  Premium Pay.   Additional pay for overtime,
night, Sunday, and holiday work, and standby duty.

C10.2.3.  Hazard Pay.   Payment of differentials for
irregular or intermittent duty involving unusual physical
hardship or hazard to employees.

C10.2.4.  Compensatory Time.   Time off (hour-for-hour)
granted an employee in lieu of overtime pay.

C10.3.  LEGAL PROVISIONS 

Title 5, United States Code, Section 6304(f) (reference
(a)) provides that there will not be a maxim limitation
on annual leave accumulated ". . . while serving in
a position in the SES."   Consistent with this statutory
provision, 5 CFR 630.301(a) (reference (b)) provides
that the limitation on accumulation of annual leave
typical of most Civil Service positions will not apply
to leave accrued by an individual while serving in the
SES.   Thus, only the annual leave that accrues while
serving in the SES is protected from forfeiture.   Annual
leave in excess of the employee's maximum accumulation
level that accrues prior to the employee's entry into
the SES, and that has not been used by the beginning
of the leave year immediately following entry into the
SES, is subject to forfeiture and possible restoration
(under certain conditions).   Entry into the SES does
not change the time limit established under 5 CFR 630.306
(reference (c)) during which restored leave must be
used in order to avoid forfeiture.   The annual leave
that is not subject to forfeiture and the annual leave
that accrues while serving in the SES are carried forward
into subsequent years without limitation or forfeiture
as long as the employee remains in the SES.

C10.4.  PRO RATA CREDITING 

Annual leave accrued is prorated during a pay period
when an employee serves only a portion of the pay period
in the SES.   In other words, if an employee is appointed
in, converted to, or separated from the SES without
a break in service at other than the beginning or end
of a pay period, the leave accrued during the part of
the pay period before or after the personnel action
shall be credited to the employee's regular annual leave
account or SES annual leave account on a pro rata basis.

C10.5.  UPON LEAVING SES 

Annual leave that accrues after the employee leaves
the SES is subject, at the beginning of each leave year
following service in the SES, to the personal leave
ceiling established under the provisions of 5 CFR 630.301(c)
(reference (d)).   The established ceiling will be equal
to the accrued and accumulated annual leave to the employee's
credit at the time of separation from the SES (excluding
any restored annual leave, and any unused annual leave
that was accrued prior to entry into the SES and was
in excess of the employee's authorized maximum accumulation
level at the time of entry into the SES).   The personal
leave ceiling will be not less than 30 days or 45 days,
as appropriate, under 5 U.S.C. 6304(a) (reference (e))
or 5 U.S.C. 6304(b) (reference (f)).   The personal
leave ceiling will be reduced at the beginning of the
first full pay period in each leave year by the amount
of annual leave used during the preceding year that
is in excess of the leave accrued during that year until
the accumulated level equals 30 days, or 45 days, as
appropriate.   (Generally speaking, only those employees
who have completed overseas tours of duty are authorized
personal leave ceilings of 45 days.   See reference
(f) for related conditions.)

C10.6.  UPON SEPARATION FROM FEDERAL SERVICE 

Upon separation from the Federal service, the employee
is entitled to receive a lump-sum payment for all the
unused annual leave to his or her credit, including
leave in excess of his or her leave ceiling and restored
leave.   Although severance pay provisions, when applicable,
cover career SES members, noncareer SES members are
excluded from coverage by 5 U.S.C. 5595 and 5 CFR 550.701(b)(8)
(reference (g)).

C10.7.  PRESIDENTIAL APPOINTEES 

As a rule Presidential appointees do not accrue leave.
  However, a Presidential appointee who is converted
from an SES career appointment and elects to retain
leave benefits under 5 U.S.C. 3392(c) (reference (h))
is an exception to the general rule and accrues leave
in the same manner and amount as in the prior SES appointment.
  For an SES member who converts to a Presidential appointment,
leave already accrued is held on account until such
time as the appointee returns to the SES or leaves Federal
employment, in accordance with Comptroller General Decision
B-77963 (reference (i)).   In the event that the appointee
returns to the SES, leave is simply recredited to his/her
account.   Should the employee leave Federal service
altogether, he/she will receive a lump-sum payment for
annual leave, and sick leave will be added to years
of service for retirement/annuity calculation purposes,
if applicable.   Reimbursement for annual leave is made
at the hourly rate of pay of the former SES position,
not at the Presidential appointee rate.

C10.8.  PREMIUM PAY 

Title 5 U.S.C. 5541(2)(C)(xvi) (reference (j)) specifically
excludes SES members from premium pay provisions, i.e.,
paid overtime and compensatory time (other than for
religious observances). 

C10.9.  COMPENSATORY TIME OFF FOR RELIGIOUS OBSERVANCES


In accordance with 5 U.S.C. 5550(a) (reference (k)),
any employee whose personal religious beliefs require
abstention from work during certain periods of time
may elect to engage in overtime work for time lost for
meeting those religious requirements.   Any employee
who elects such overtime work shall be granted equal
compensatory time off from his/her scheduled tour of
duty (in lieu of overtime pay) for such religious reasons,
notwithstanding any other provision of law.   However,
5 U.S.C. 5545(d) (reference (l)) also provides that
an employee's election to work compensatory overtime
or to take compensatory time off to meet religious obligations
may be disapproved by an Agency, if such modifications
in work schedules interfere with the efficient accomplishment
of an Agency's mission.   Therefore, although SES members
are excluded from general premium pay provisions, they
are authorized compensatory time off for religious observances.

C10.10.  HAZARD PAY DIFFERENTIAL 

Since reference (l) applies only to General Schedule
employees, hazard pay differentials are not authorized
for members of the SES.