Local Employment Policy Handbook - ICASS

LEAVE BALANCES DURING TRANSITION TO
THE LOCAL EMPLOYMENT POLICY
This guidance applies to employees who transitioned to the Local Employment Policy (formerly, PSA-
Plus Policy, or PSA Policy) from 2001-2008.
Transitioning to the Local Employment Policy: Employees Previously Hired under a Family Member
Appointment or Temporary Appointments (formerly known as Part-Time Intermittent Temporary/PIT)
1. HR may not transfer an employee’s annual and sick leave balances from a Family Member
Appointment or Temporary Appointment to a Personal Services Agreement as Not Ordinarily Resident
(PSA/NOR) with compensation from the American pay plan. The annual leave balance is paid out in a
lump sum payment. The sick leave balance is forfeited. There must be a break in service of more than 3
calendar days between the previous Family Member Appointment or Temporary Appointment and the
new Personal Services Agreement.
2. HR may not transfer an employee’s annual and sick leave balance from a Family Member Appointment
or Temporary Appointment to a Personal Services Agreement as Ordinarily Resident (PSA/OR) with
compensation from the Local Compensation Plan. The annual leave balance is paid out in a lump sum
payment. The sick leave balance is forfeited. There must be the required break in service under local
labor law (e.g., more than 3 calendar days, 90 calendar days) between the previous Family Member
Appointment or Temporary Appointment and the new PSA.
If management believes that a continuing arrangement (given the required break in service) will
eventually leave the USG open to possible litigation action due to the previous employment on the Family
Member Appointment or Temporary Appointment, management should recommend that the supervisor
consider selecting another fully qualified applicant.
Employees Previously Hired on US Personal Services Contracts (USPSC, 3 FAM 8100)
1. HR may not transfer an employee’s annual and sick leave balances from a State USPSC to a Personal
Services Agreement as Not Ordinarily Resident (PSA/NOR) with compensation from the American pay
plan. The annual leave balance is paid out in a lump sum payment. The sick leave balance is forfeited.
There must be more than a 3 calendar break in service between the previous USPSC employment and the
new employment under the PSA.
2. HR may not transfer an employee’s annual and sick leave balances from a State USPSC and
compensated by the American FP scale to the new employment under a Personal Services Agreement as
Ordinarily Resident with compensation from a Local Compensation Plan. The annual leave balance is
paid out in a lump sum payment. The sick leave balance is forfeited. There must be the required break in
service in compliance with host country labor law between the previous USPSC employment and the new
employment under the PSA.
If management believes that a continuing arrangement (given the required break in service) will
eventually leave the USG open to possible litigation action due to the previous employment on the
USPSC, management should recommend that the supervisor consider selecting another fully qualified
candidate.