In cooperation with authorities, the director shall establish, and may from time to time amend, standards of performance and output for employees in each class of positions in the classified service or for groups of classes, and a system of service ratings based upon such standards. In such manner and with such weight as shall be provided in the rules, unsatisfactory service ratings shall be considered in determining the salary increases and decreases within the limits established by the pay plan; as a factor in promotion tests; as a factor in determining the order of layoffs when forces must be reduced because of lack of funds or work, and the order in which names are to be placed on reemployment lists; and as a means of discovering employees who should be promoted, transferred, or dismissed. In the manner and at the time as the rules may require, each appointing authority shall report to the director the service ratings of employees in his or her division or information as the director may request as a basis for determining the service ratings.
Ala. Code § 45-49-120.19 (1975)