104 STAT. 1460 PUBLIC LAW 101-509 —NOV. 5, 1990 "(e) At the request of the head of an Executive agency, the President may authorize the appHcation of the preceding provisions of this section with respect to 1 or more categories of employees within such agency who would not otherwise be covered by this section (including authority under subsection (d) to prescribe any necessary regulations).". (b) TABLE OF SECTIONS.— The table of sections for chapter 57 of title 5, United States Code, is amended by adding srfter the item relating to section 5752 the following new items: "5753. Recruitment and relocation bonuses. "5754. Retention allowances. 5 USC 5305 note. SEC. 209. STAFFING DIFFERENTIALS. (a) IN GENERAL.— Effective on the first day of the first applicable pay period beginning on or after January 1, 1991, the President may establish staffing differentials equal to 5 percent of basic pay, which may be paid to each General Schedule employee whose position is in— (1) grade GS-5 or 7 of the General Schedule; or (2) a 2-grade-interval occupational series, as determined by the Office of Personnel Management. (b) MANNER OF PAYMENT; REDUCTION OR ELIMINATION.— A staffing differential under this section— (1) shall be paid in the same manner and at the same time as the employee's basic pay is paid, but may not be considered to be part of basic pay for any purpose; and (2) may be reduced or eliminated by the Office of Personnel Management in its sole discretion as the amendments made by this Act take effect, except that no such reduction or elimination shall have the effect of reducing the total amount of pay (determined by adding basic pay and staffing differential) which any employee is receiving. SEC. 210. PREMIUM PAY AMENDMENTS. Subchapter V of chapter 55 of title 5, United States Code, is amended— (1) in section 5542, by adding at the end the following new subsection: "(c) Subsection (a) shall not apply to an employee who is subject to the overtime pay provisions of section 7 of the Fair labor Standards Act of 1938. In the case of an employee who would, were it not for the preceding sentence, be subject to this section, hours of work in excess of 8 hours in a day shall be deemed to be overtime hours for the purposes of such section 7 and hours in a paid nonwork status shall be deemed to be hours of work."; (2) in section 5543(a)(l), by inserting after **payment" the following: "under section 5542 or section 7 of the Fair Labor Standards Act of 1938"; and (3) in section 5544, by adding at the end of subsection (a) "This section, other than the sixth sentence, shall not be applicable to an employee who is subject to the overtime pay provisions of section 7 of the Fair Labor Standards Act of 1938. In the case of an employee who would, were it not for the preceding sentence, be subject to this section, hours of work in excess of 8 hours in a day shall be deemed to be overtime hours for the purposes of such section 7 and hours in a paid nonwork status shall be deemed to be hours of work.".