Summary: GAO discussed issues affecting its career level staff, focusing on: (1) the effect of GAO budget reductions on the staff's ability to do their work; (2) staff performance assessments; and (3) organizational matters. GAO noted that: (1) GAO budget reductions have limited the resources available for career level staff to do their work; (2) continued GAO downsizing could lead to reductions in force, increased workloads for remaining staff, and an erosion of staff technical skills; (3) career advancement is uncertain due to GAO downsizing and hiring freezes; (4) GAO has improved its technical capabilities and efficiency through new telephone and video conferencing systems, but most GAO computers are outdated and cannot support analytical software; (5) shortfalls in computer resources have changed the focus of GAO work; (6) reduced travel funds could impair work quality and data collection, and limit staff development; (7) the GAO pay-for-performance system is impaired because of the difficulty in quantifying and comparing individual staff performance; and (8) GAO has implemented initiatives that address staff concerns about lengthy report processing time, the lack of communication within GAO, and total quality management.