Federal Employee Performance and Accountability Act of 2025

HR 201, the Federal Employee Performance and Accountability Act of 2025, establishes a 5-year pilot program for federal employees in specific roles (such as managers, IT specialists, or customer service representatives at GS-11 through GS-15 levels or higher). The bill requires participating agencies to implement a performance-based pay system measuring productivity, quality, and timeliness, with tiered pay adjustments: employees exceeding goals may receive up to a 10% pay increase (Tier 1), those meeting goals see no change (Tier 2), and those below goals face a 10% pay reduction plus training (Tier 3). Agencies must provide training and submit annual reports on productivity outcomes, using existing funds without new appropriations. The program excludes employees from other Title 5 pay adjustments and allows agencies to opt out for national security reasons.