Y’all, I hope I'm wrong as it means a lot of back pay for me and quite a few others. please show your work if you know it to be incorrect.
TLDR:
1. Reinstatement is entitling him to higher pay instead of step 1 pay. It’s an avenue that qualified them for the position in question. Veoa, vra, reinstatement, internal, local commuting area etc (all the little icons we see on USAJOBS). it allows HR to use HPR to determine their GS step level. Because they are a reinstatement, they are entitled to pay setting rules that wouldn't apply to a VEOA/VRA hire straight out the military. When I transferred to the FAA I was considered a Reinstatement even through I had never worked for the FAA.
2. HPR is based on BASIC pay compared to BASIC pay. Basic pay includes locality and special rates.
3. FAA AT Pay with locality compare to DOD SSR. You fall between 2 step and get the higher one. Justification below.
4. There is also a the reverse of this which explains why you lose SSR and add locality when transferring out of a special rate to another agency. But that's not what we're talking about.
Long version from OPM website:
The highest previous rate is-
- The highest rate of basic pay (this is your FAA pay WITH locality) previously received by an individual while employed in a civilian position in any part of the Federal Government (including service with the government of the District of Columbia for employees first employed by that government before October 1, 1987), without regard to whether that position was under the GS pay system; or
- The highest rate of basic pay in effect when a GS employee held his or her highest GS grade and highest step within that grade.
When HPR is based on a rate under a non-GS pay system: (AKA FAA)
When a GS employee's HPR is based on a non-GS rate
(FAA Pay), determine the MPR
(highest GS step they'll give you) as follows:
Step A: Compare the highest previous rate(
Your old FAA pay with locality) to the highest applicable rate range (including a locality rate or special rate range)
(DOD SSR Table) in effect at the time and place where the highest previous rate was earned. The highest applicable rate range is determined as if the employee held the current GS position of record (including the grade in which pay is being set) at that time and place.
Step B: Identify the lowest step rate in that range that was equal to or higher than the highest previous rate (or the step 10 rate if the highest previous rate exceeded the range maximum).
Someone mentioned step 00. That only applies to save pay, retained pay or save/retained grade. different animal used for different circumstances like downgrades and overseas transfers.
Step C: Convert the step rate identified in step B to a corresponding rate (same step) on the current highest applicable rate range for the employee's current GS position of record and official worksite. That step rate is the employee's maximum payable rate of basic pay.
This is assuming you had a break in service and the gs scale changed since you were employed by the FAA.
Step D: After setting the employee's rate of basic pay in the current highest applicable rate range (not to exceed the MPR identified in step C), determine any underlying rate of basic pay to which the employee is entitled at the determined step rate.
TBH I don't know what might be left to add to basic pay.