Director of the U.S. Office of Personnel Management, Scott Kupor, formally proposed a major overhaul of federal performance reviews on February 24. The plan removes longstanding limits that prevented agencies from using forced distributions when assigning ratings.
From fiscal years 2022 through 2024, nearly two-thirds of non-Senior Executive Service federal employees received ratings of four or five on a five-point scale. Only 0.6% earned anything below fully successful, a pattern that turned performance reviews into routine paperwork instead of a serious evaluation. Raises and promotions followed even when output failed to justify them.
Between fiscal years 2022 through 2024, nearly two-thirds of non-Senior Executive Service federal employees received ratings of four or five on a five-point scale, while only 0.6% earned anything below fully successful.
The most prominent change in the proposed rule would involve removing the prohibition on the “forced distribution” of performance ratings, meaning agencies would be permitted to set quotas for how many employees could receive each rating. The administration previously implemented such a change for the Senior Executive Service—the top career officials in government—but the new rule would have a much wider impact, affecting nearly everyone else in the civil service, which comprises more than 2 million individuals.
OPM has long prohibited forced or standardized distribution and has historically said it is antithetical to good performance management. The agency updated its stance, saying the practice would improve accountability for poor performers and enhance organizational performance. The agency proposed similar changes governing the performance management of senior-level and scientific or professional employees in a separate filing in the Federal Register, also set for publication Tuesday.
That pattern turned performance reviews into routine paperwork instead of a serious evaluation. Raises and promotions followed even when output failed to justify them.
The formal proposal now appears in the Federal Register, covering General Schedule employees, prevailing rate employees, and certain other employees across the federal workforce.
Caps arrive for top scores
Kupor's proposal allows agencies to set firm limits on how many employees receive the highest ratings of four or five. Agencies no longer operate under a system in which most workers cluster at the top by default.
The change applies immediately to fiscal 2026 performance cycles, where caps affect only the highest ratings. No rule requires managers to assign a set number of low scores, and managers regain authority to differentiate between strong performance and average output.
The proposal also removes the minimally satisfactory rating level in many systems, allowing supervisors to assign unacceptable ratings when warranted.
Additionally, employees lose the ability to challenge certain poor performance ratings through negotiated grievance procedures.
OPM said a forced distribution system would make performance ratings “more accurate and rigorous,” hold federal employees “accountable,” and better address poor performance across agencies.
“Performance management across the federal workforce has fallen short,” OPM wrote in the Feb. 24 proposed regulations. “Even though there have been many initiatives to reform the performance management of non-SES employees, agencies continue to struggle with ensuring that an employee’s performance is accurately measured and aligns with the agency’s mission.”
Promotions tied to results
Under prior practice, inflated scores often translated into automatic career advancement, with high ratings unlocking pay increases and bonuses and promoting eligibility. When most workers receive top marks, excellence becomes invisible.
Kupor's proposal changes that equation entirely; employees who deliver measurable results stand out, while workers who fail to meet standards may be placed on performance improvement plans or face removal. Agencies gain clearer data about who carries critical missions and who doesn't.
Similar caps already apply to senior professionals and Senior Executive Service members, where the top two rating levels remain limited to 30% for career staff. Extending structured distribution to a broader workforce aligns expectations across federal tiers.
Agency resistance fails
Internal feedback from agency officials criticized earlier drafts of the plan; despite heavy pushback, OPM preserved the proposal's core structure. Kupor signaled that accountability outweighs internal discomfort.
Federal agencies manage over 2 million civilian employees, with programs ranging from veterans' health care to border enforcement to national security operations.
Performance systems that fail to distinguish strong work from weak performance create hidden risk, and leadership can't correct problems it can't see.
The proposal represents one of the most significant shifts in federal performance management in decades. OPM moves federal evaluation practices closer to private-sector standards, where advancement depends on documented results rather than routine scoring.
The most significant change is a shift toward forced or “normalized” rating distributions.
In practice, this means:
- Agencies could limit the number of employees who receive the highest ratings.
- Supervisors may need to spread ratings across the scale rather than rating everyone solely on whether they met their performance standards.
- Many employees who previously received top ratings could receive a mid-level rating instead.
In the past, federal employees have been rated against their performance standards. Under this approach, ratings may also reflect how an employee compares to coworkers. A forced distribution is likely to mean supervisors would assign different ratings to employees who performed similarly.
Accountability returns to center stage
No system, regardless of the marketing, guarantees perfection. However, a structure that routinely awards high marks to nearly everyone undermines credibility within agencies and beyond. Employees who consistently exceed expectations deserve recognition that carries meaning.
Kupor's proposal sends a clear message: ratings must reflect actual performance. Automatic top scores fade, and where promotions need documented achievement, supervisors regain discretion to reward merit and address failure.
Federal service carriers have serious responsibilities, and performance reviews should align with those responsibilities through honest evaluation. Washington's participation trophy era is ending.
Federal workers who perform at a high level should welcome clarity and merit-based recognition. Taxpayers should expect disciplined management across each agency. Scott Kupor and the Office of Personnel Management have placed performance back at the center of federal employment policy.
The outcome now depends on consistent execution across departments.
Editor’s Note: With President Trump back in the White House, the state of our Union is strong once again.
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