BOP Program Statement 8060.05 § 1

To establish a gainsharing award plan that rewards each factory or branch based on performance

against measurable standards. Federal Prison Industries (FPI) staff and inmate workers are

eligible for awards under this program. The FPI Chief Executive Officer (CEO), Senior Deputy

Assistant Director, General Managers, General Counsel, Branch Chiefs, and Chief Financial

Officer are not eligible for gainsharing awards.

Participation in gainsharing can be achieved by meeting or exceeding specific performance

objectives established annually through the Operating Plan process and certain criteria identified

in this Program Statement (see also Section 509 of the Program Statement Awards Program,

Incentive Awards).

■ Actual factory performance is compared annually to specific objectives to determine which

factories are eligible.

■ If a factory meets all of its specific criteria, it will earn credits toward award distribution at

the end of the fiscal year.

■ The corporate award pool will be established on an annual basis when the Operating Plan is

established for that fiscal year, generally no later than September 30.

a. Program Objectives. The expected results of this program are:

■ Staff and inmates at factory locations and staff at Central Office will be motivated to

continually improve performance.

■ Cost, quality, on-time delivery, customer satisfaction, and staff and inmate productivity will

improve.

b. Summary of Changes

Policy Rescinded

P8060.04 Factory Gainsharing Award, FPI (7/25/02)

■ Procedures for determining gainsharing awards have been updated to reduce the

administrative burden of this program, reflect changes to FPI’s business groups, expand

eligibility to support staff, and increase overall gainsharing.

■ The maximum amounts allowed for staff cash incentive awards and inmate cash incentive

awards have been increased, and the proportions of the award pool allotted for staff and for

inmates have been adjusted.

c. Institution Supplement. None required. Should local facilities make any changes outside

the required changes in the national policy or establish any local procedures to implement the

national policy, the local Union may invoke to negotiate procedures or appropriate arrangements.