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Pay grades [1] are used by the eight structurally organized uniformed services of the United States [2] (Army, Marine Corps, Navy, Air Force, Space Force, Coast Guard, Public Health Service Commissioned Corps, and NOAA Commissioned Officer Corps), as well as the Maritime Service, to determine wages and benefits based on the corresponding military rank of a member of the services.
The law specified what percentage of the enlisted strength of the army were allowed in each of the seven grades. The first grade would contain .6% of the army's enlisted men, the second grade 1.8%, the third grade 2%, the fourth and fifth grades 9.5%, the sixth grade 25% and the remaining 51.6% in the seventh grade.
The fiscal year 2010 president's budget request for a 2.9% military pay raise was consistent with this formula. However, Congress, in fiscal years 2004, 2005, 2006, 2008, and 2009 approved the pay raise as the ECI increase plus 0.5%. The 2007 pay raise was equal to the ECI. A military pay raise larger than the permanent formula is not uncommon.
[1] - US DoD, The United States Military Rank Insignia All Warrant Officer grades are authorized, but not used by the Air Force [2] - Office of the Law Revision Counsel. "U.S. Code TITLE 42-THE PUBLIC HEALTH AND WELFARE, section 207(a)-Grades, ranks, and titles of commissioned corps (2006)" (PDF).
An analysis of NSPS by Federal Times, a branch of the Defense News Media Group, in August 2008 found that the January 2008 issuance of performance-based pay raises and bonuses, the first large-scale payout under the new system, was filled with inequalities. The analysis found that white employees received higher average performance ratings ...
pay grade Special grade [a] O-10 O-9 O-8 O-7 O-6 O-5 O-4 O-3 O-2 O-1 NATO code OF-10 OF-9 OF-8 OF-7 OF-6 OF-5 OF-4 OF-3 OF-2 OF-1 Insignia Army Green Service Uniform Army Blue Service Uniform Army Combat Uniform Title General of the Army: General: Lieutenant general: Major general: Brigadier general: Colonel: Lieutenant colonel: Major: Captain ...
Confederate Army during the civil war; Confederate Navy during the civil war; Military ranks of the Ottoman Empire; Rank insignia of the Austro-Hungarian armed forces; Ranks in the Austro-Hungarian Navy; Royal Navy during the 18th and 19th centuries; South Vietnamese military ranks and insignia; United States (Union) Army during the civil war
The main difference is in the commissioned officer ranks, where the US system recognizes two grades at OF-1 level (O-1 and O-2), meaning that all O-x numbers after O-1 are one point higher on the US scale than they are on the NATO scale (e.g. a major is OF-3 on the NATO scale and O-4 on the US scale).