Hi! I was wondering, if I'm receiving locality pay (DC area), And then move to an overseas post with a hardship differential, will my salary entail my last domestic post pay plus the additional hardship differential or will my domestic locality percentage (DC=24%) be dropped and the post hardship differential percentage will kick in?
Washington DC locality pay only applies to Washington, D.C. Overseas your salary will be adjusted by whatever hardship/danger/COLA/etc differential specific to that post as well as the approximately 16% for Overseas Comparability Pay, intended to put Foreign Service employee's pay on par with that of a Civil Servant serving overseas.
Correction--It is not to put FSOs on par with Civil Servants serving overseas, but rather to put them on par with USG employees in Washington. In fact, many agencies decided not to follow the foreign service in giving their overseas staff the ca. 16% locality pay. Since post allowance is based on the cost differential between post and DC, many logically felt that overseas pay should be equal to that in DC as a starting point. Congress finally agreed and in 2010 allowed the foreign service to phase in DC locality pay for overseas staff over a period of three years. Unfortunately, the financial meltdown happened before the third tranche was implemented, and it was put on hold. That explains why it is around 16% rather than 24% as in DC.