Sec. 7. Suspension of step increases for Federal employees during a pay-adjustment suspension period
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Section 5335 of title 5, United States Code, is amended by adding at the end the following: Under regulations prescribed by the Office of Personnel Management— the benefit of step-increases under this section shall, in the case of any such increase which would otherwise take effect during a pay-adjustment suspension period, be suspended until the expiration of such period (or, in the case of successive suspension periods, the last of them); and after the end of the pay-adjustment suspension period (or, in the case of successive suspension periods, the last of them)— the rate of pay payable for any service performed after the end of such suspension period (or, if applicable, the last of them) shall be recomputed so as to be equal to the rate that would then be payable if step-increases under this subsection had not been suspended under subparagraph
(A)during such suspension period (or periods); and service performed by an employee before, during, or after a suspension period (or successive suspension periods) shall, for purposes of any determination of eligibility for a step-increase under this section, be computed without regard to subparagraph (A). For purposes of this subsection— the term pay-adjustment suspension period or suspension period means any calendar year in which an annual pay adjustment for statutory pay systems is denied, in its entirety, under authority of section 5303(b) (as determined by the Office); and the term statutory pay system has the meaning given such term by section 5302. . Section 5336 of title 5, United States Code, is amended by adding at the end the following: Under regulations prescribed by the Office of Personnel Management— the benefit of additional step-increases under this section shall, in the case of any such increase which would otherwise take effect during a pay-adjustment suspension period, be suspended until the expiration of such period (or, in the case of successive suspension periods, the last of them); and after end of the pay-adjustment suspension period (or, in the case of successive suspension periods, the last of them)— the rate of pay payable for any service performed after the end of such suspension period (or, if applicable, the last of them) shall be recomputed so as to be equal to the rate that would then be payable if additional step-increases under this subsection had not been suspended under subparagraph
(A)during such suspension period (or periods); and for purposes of the second sentence of subsection (a), an additional step-increase shall be attributed to the 52-week period during which such increase would (but for this subsection) otherwise have taken effect. For purposes of this subsection, the term pay-adjustment suspension period or suspension period means a pay-adjustment suspension period under section 5335(g). .