251.32—Additional remuneration under Panama Canal Treaty.
(a)
(1)
An overseas Panama Area differential for an employee in the category established by § 251.12(b)(2) and who qualifies under the provisions of paragraph (b) of this section shall be fixed by the head of each agency for each position in an amount equal to (i) the rate of basic pay for the same or similar work performed in the continental United States by employees of the Government of the United States plus (ii) an amount equal to 15 percent of that rate, less (iii) the base rate of pay established for the position pursuant to § 251.13. The amount of the differential shall not exceed 25 percent of the rate of pay for the same or similar work performed in the United States by employees of the Government of the United States.
(2)
Notwithstanding the provisions of paragraph (a)(1) of this section, the Panama Area differential for pilots in the category established by § 251.12(b)(2), employed in the navigation of vessels in the waters of the Panama Canal, who qualify under the provisions of paragraph (b) of this section, shall be an amount equal to 15 percent of the base salary established under § 251.13.
(b)
The Panama Area differential prescribed by paragraph (a) of this section shall be paid to each employee who qualifies under the following rules:
(1)
An employee is eligible if recruited from outside the Republic of Panama for placement in Panama.
(2)
The Panama Area differential may be paid only to an individual whose recruitment or retention the agency head determined to be essential.
(c)
The rates of the Panama Area differential prescribed by this section shall be adjusted by heads of agencies with reference to changes in rates of pay for United States Government employees in the continental United States.
(d)
The rules set forth in paragraph (b)(1) of this section shall not disqualify an employee who has been continuously employed as a medical doctor since August 15, 1991, and who on that date was receiving the Panama Area differential.