FAA memo on executive bonuses

Subject:
Author: Jane Garvey
Date: 12/13/01 11:26 AM
Dear Fellow Executives:

After much personal deliberation, I have decided not to make the Short Term Incentive (STI) payments for FY 2001. I am convinced this is the right decision in light of the extraordinary events of September 11.

In making this decision, I recognize the superb accomplishments you have made over the past year. We have reduced the number of high risk runway incursions; made good progress in implementing the Aviation Safety Action Program; published final rules to allow us to collect over-flight fees; further improved financial and performance management; and continued our steady accomplishments to improve air traffic services.

The terrorist attacks of September 11 cast a shadow over our country. You responded magnificently to these attacks. FAA employees accomplished an extraordinary feat of getting thousands of planes on the ground safely in such a short time, and then worked tirelessly over the following weeks to bring the system back up in careful coordination with the national security and law enforcement agencies, and the aviation industry.

Still, I know you, like I, have asked yourselves what we could have done better to help prevent the attacks in the first place.

As corporate leaders of the agency, we share a responsibility for achieving the agency's corporate goals and objectives, and one of our three key incentive goals was not met in FY 2001. The impact of September 11 has disrupted the U.S. Air Transportation industry and the personal lives of people throughout the U.S. In this unprecedented time in the history of the FAA, I do not think it would be appropriate to grant incentive payouts. The money saved by not making executive payouts will be used to offset some of the large and unplanned security costs that the FAA is incurring.

You are among the finest group of leaders in government, and my esteem has grown by observing your magnificent performance since September 11. As leaders of a public agency, we must provide a credible example to the public and our own employees.