Local Employment Policy Handbook - ICASS

The LEP allows the Mission to maximum family member employment opportunities. The LEP requires
advertising positions using only the position title (omitting the employment mechanism as previously
included) and listing both the American pay plan and FSN grades. HR determines the appropriate
employment mechanism after the applicant is selected. (See Topic: Advertising Positions)
The principles of fairness, equity and competition apply equally to initial and in-service hiring.
Mission management bases LE Staff compensation upon what the local market requires for the level of
talent and expertise needed for that type of work. All Overseas Employees, regardless of nationality, are
equally compensated and work under the same conditions of employment.
Exception Rate Ranges (ERR) are available when management experiences documented compensationrelated
retention and recruitment difficulties.
Personal Services Agreement (PSA)
The term “PSA” is more appropriate for personnel actions because PSAs are not subject to the Federal
Acquisition Regulations (FAR) and do not require the approval of the contracting officer (e.g., the GSO).
It also clearly separates a GSO procurement action from a HR employment mechanism. PSCs awarded
under other statutory authorities are subject to the FAR.
Individuals hired under a PSA are treated the same as individuals hired under a direct hire appointment.
Consequently, Ordinarily Resident (OR) employees hired under a PSA must follow 3 FAM 7000
regulations the same as OR employees hired under FSN direct hire appointments.
Length of a PSA
A PSA is valid for a total of ten years – one original PSA, plus nine automatic renewals, unless:
A. HR is staffing a fixed-term position (for example, not to exceed six months, or not to exceed two
years); or
B. HR staffs the position using a PSA-Limited (not to exceed 30 work days per calendar year per
employee); or
C. The employee resigns, retires, or is separated; or
D. The employee is selected for another position under the Local Employment Recruitment Policy at
the same, lower, or higher grade. When this happens, HR must process a new PSA with no break in
service.
The employee only has to sign the original PSA, but Mission management must certify the availability of
funds each year before HR processes the renewal using a JF-62A personnel action. After ten years, HR
may process another PSA without advertising and recruiting the position.