U.S. Office of Personnel Management
Speech by Janice R. Lachance, Director

Los Angeles Federal Executive Board
Long Beach Hilton, 2 World Trade Center, Ocean Boulevard
8:30 a.m. March 5, 1998

Thank you, Bill Wythecombe, for that kind introduction.

It is a pleasure to have the opportunity to be with you this morning in Long Beach. I am in the area on this particular day largely because the Office of Personnel Management has won Workforce Magazines Optimas Award for Managing Change, which is being presented later today in Los Angeles.

I consider this notable because it is a recognition -- by one of the leading publications covering human resources issues -- that the federal government is succeeding in its efforts to provide better, more cost-effective services to the American public. I consider it important because it recognizes what we have done together over the past few years. And I appreciate it because it recognizes not so much OPM as an organization, but all federal workers through the agency that administers to them and enables them to accomplish their vital tasks for the nation.

This is the first time Ive been able to visit with you as director of the Office of Personnel Management, and it is a great honor to be able to do so.

The Los Angeles FEB covers an enormous area geographically, and you represent nearly 100,000 federal employees. In many ways you represent a microcosm of the entire federal workforce.

We in the federal workforce face many challenges, but together we are building a new civil service for a new millennium.

One of the great benefits of my new position is getting a front-row seat on history as we close out one century and enter another.

Barely a month ago, I sat in the chamber of the House of Representatives and listened to the President outline his three pillars for a stronger America. As he spoke, I was struck by how the federal workforce is already at work, strengthening the nation along the same lines.

The Presidents vision encompasses an American economy that honors opportunity, a society that demands responsibility and a nation rooted in community.

Our federal community touches many other communities in this nation. And our federal community leads by example, not rhetoric.

Believe me, because I am in a position to know: the President, the Vice President, his Cabinet -- myself especially -- know how much good and how much work you have been doing for our nation.

The federal workforce is also contributing to an economy that honors opportunity.

Less than a year after President Clinton asked the agency heads of the nations largest employer -- the federal government -- to lead by example and take a part in helping Americans move from welfare to work, federal agencies have moved almost 2,500 people from the welfare rolls to payrolls.

In the process, we are training many of them to assume the daytoday responsibility of being part of a workforce, many for the first time.

And responsibility is the Presidents third pillar. For our part, OPM is fulfilling its responsibility to federal workers, and applicants for federal jobs, by refocusing on its core mission of defending the merit systems upon which the civil service is based.

Delivering better customer service is key to the civil service improvements we will continue over the next few years.

Weve all been through a great deal these past five years, most of it good, some of it difficult, but all of it extraordinary. We are making history.

President Clinton, in his State of the Union Address, emphasized the importance of his balanced budget to the nations future.

When he took office in 1993, the deficit for just this year was projected at $357 billion -- and rising. Instead, the fiscal discipline the President brought to Washington spurred an economic boom that has created more than 14.3 million new jobs overall, and the healthiest economy in years.

And the President did what the critics said could not be done, brought the federal budget into balance.

We in this room know that the balanced budget is possible -- in no small measure -- to the federal workforce. Its downsizing reduced the ranks of the federal workforce by almost 15 percent since 1993, creating the smallest Executive Branch in over three decades.

My own agency -- OPM -- is down even more than that. We have reduced by almost 3,000 people, and we are 48 percent smaller today than five years ago.

Thanks to our go-the-extra-mile efforts and the robust overall economy, those leaving federal service almost all landed on their feet. We had to resort to reductions-in-force for less than 10 percent of our downsizing. Buyouts and career transition effectively pared the workforce as painlessly as possible.

Yes, this downsizing process was painful. We did it despite the pain. We did it, because, frankly, the American people demanded that it be done.

And for the first time in our lifetimes, the federal workforce is no longer a political campaign issue, but again a source of pride to all America.

On January 21 -- the Washington Post reported that its most recent national poll found -- and I quote -- that Americans are far more satisfied now than at any time in recent years with .... the performance of the federal government.

The poll showed that even among that group whose members are most dissatisfied with government, the satisfaction rate has increased from 20 percent in 1995 to 44 percent today.

Think of that! In three years, your efforts and the Presidents reinventing government initiatives more than doubled the satisfaction rate among the most severe critics. You deserve a hand for what you have accomplished, and on behalf of the President I congratulate you.

For the first time in our lifetimes, instead of just talking about reforming federal government -- creating a government that costs less and works better -- action has been taken. And that action will continue.

As a result of our smaller workforce, we are all working harder and smarter, which is imperative as we head into a new millennium. The imperative to work smarter is why we are taking a close and long look at new human resources management initiatives -- an area in which I hope you will share your expertise with me during the question and answer session.

In general, we recognize that agencies remain unsatisfied with the degree of change they have seen and want more flexibility and accountability.

Congress itself is examining -- and is expected to propose -- a package of Civil Service initiatives this year.

Clearly, we will all be monitoring those developments and OPM will offer its services to Congress to modify and improve any suggestions to the fullest extent possible.

But, the Office of Personnel Management is working on its own initiatives to create the Civil Service of the future.

I believe it is critical that OPM step out and provide substantive policy leadership in the year ahead. OPM is the governments central human resources management agency.

We believe a rational, systematic approach to changing human resources management policies is necessary.

The goal is to create a system that blends flexibility with consistency; and one that balances that flexibility with accountability.

Based on this foundation, we have come up with a framework of proposals. Many will require legislation, but some will take only administrative action.

This framework sets my agenda for OPM and federal human resources management for 1998 -- and beyond.

I envision an OPM that equips agencies with the flexibilities you need to manage your human resources strategically. Those flexibilities will let you accommodate your different missions, work forces, technologies, and cultures.

At the same time, I see an OPM that continues to serve fundamental, broad interests that the government has as an employer.

These governmentwide interests and values include the merit system, veterans preference, fair treatment, accountability, effective labor-management relations, and providing employee benefits that evolve to meet employee needs.

Through this agenda OPM will continue to accomplish its own strategic objectives, and carry out our mission as a central management agency. OPM will continue to provide policy leadership and technical expertise. We will continue to meet the needs of the public, of the President, of employees and managers, and of agencies.

Youll be hearing and seeing more about this agenda in the future. We will continue to work with you, with your suggestions and experience and ideas, as OPM moves forward.