Analysis of a Time-in-Grade Pay Table for Military Personnel and Policy Alternatives
Abstract
Federal law mandates that every four years the Secretary of Defense conduct an assessment of the military compensation system, resulting in a Quadrennial Review of Military Compensation (QRMC). In response to a request articulated in Section 603 of the Senate Armed Services Committee version of the National Defense Authorization Act of 2019, the 13th QRMC is providing an assessment of the effects of a time-in-grade pay table for military personnel, particularly on readiness. A time-in-grade pay table would set pay based on pay grade and years of service within a grade, in contrast to the current time-in-service pay table, which sets pay based on pay grade and years of service in the military. While interest in a time-in-grade pay table is not new, and in fact it was assessed by past commissions, including the 10th QRMC, interest in it has been renewed because of efforts at the congressional level and within the services to more flexibly manage military personnel to attract, retain, and promote better performers. The primary means by which military personnel are financially rewarded for superior performance is through faster promotion, so a time-in-grade pay table may increase performance by providing a permanent reward to those who are promoted faster. The current time-in-service pay table provides only temporary financial rewards to those who are promoted faster. The 13th QRMC asked the RAND Corporation to assist in its assessment of a time-in-grade pay table. This report describes the results of these analyses. It should be of interest to those concerned about the setting of military pay and its effects on readiness.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 2020
- Accession Number
- AD1118215
Entities
People
- Beth J. Asch
- Michael G. Mattock
- Patricia K. Tong
Organizations
- RAND Corporation