(a) General rule.--Except as otherwise provided in this chapter, the appointment of an individual entering the classified service or promoted in the classified service shall be from an eligible list established as the result of examinations given by the Office of Administration to determine the relative merit of candidates. Examinations may be written and shall be competitive and open to each individual who may be lawfully appointed to the position within the class for which the examinations are held. An individual in an unskilled position shall enter the classified service by promotion without examination in accordance with the following:

(1) The individual shall enter the classified service if:

(i) The promotion is into a classified position immediately above the individual's own position.

(ii) The promotion is based on seniority and meritorious service.

(iii) The individual meets the minimum requirements for that position.

(iv) The individual satisfactorily completes a six-month probationary period in the classified position.

(2) If no individuals in the unskilled positions meet the requirements under paragraph (1), the vacant position may be filled under this chapter.

(b) Requirements.--The following apply:

(1) An individual applying for a position or promotion in the classified service shall be a resident of this Commonwealth or former resident of this Commonwealth who meets the requirements of this subsection and, if applicable, of the district.

(2) A former resident of this Commonwealth shall be eligible if the individual:

(i) relocated out of State for academic or employment purposes;

(ii) plans to establish Commonwealth residency within six months of beginning employment in the classified service; and

(iii) has done one of the following:

(A) Graduated from a public, private or nonpublic secondary school in this Commonwealth or satisfied the requirements of sections 1327 and 1327.1 of the act of March 10, 1949 (P.L.30, No.14), known as the Public School Code of 1949, within five years of applying for a position in the classified service.

(B) Satisfied the requirements of sections 1327 and 1327.1 of the Public School Code of 1949 or attended a public, private or nonpublic school in the Commonwealth at least 80% of the time while enrolled in grades one through twelve and attended the school within five years of applying for a position in the classified service.

(C) Graduated or attended a public, private or nonpublic secondary school in the Commonwealth or satisfied the requirements of sections 1327 and 1327.1 of the Public School Code of 1949 and graduated from a postsecondary institution in the Commonwealth within five years of applying for a position in the classified service.

(3) Notwithstanding any other provision of this chapter, if an appointing authority finds a lack of qualified individuals available for appointment to a particular class or classes of positions, the appointing authority may present evidence of the lack of qualified personnel to the Office of Administration, which may waive the residence requirements for the class or classes of positions.

(c) Eligible lists.--The Office of Administration shall prepare the proper State and district eligible lists. If, after an examination has been conducted for a class of positions, there is no individual with legal residence in a district remaining on the register, the Office of Administration shall certify and the appointing authority may make the appointment or promotion from the names of individuals on an appropriate eligible list for the same class of positions of other districts. Qualifications as permitted by law may be specified in the regulations and in the announcements of the examinations. All applications for positions in the classified service shall be subject to the penalties of 18 Pa.C.S. § 4904 (relating to unsworn falsification to authorities).

(d) Limitation of competition.--The Office of Administration may limit competition in promotion examinations to employees in the classified service who have completed a probationary period in a class or classes designated in the public notice of the examinations and may permit promotions to be accomplished by any one of the following plans:

(1) Appointment from open competitive lists.

(2) Achieving a place on an eligible list after a promotional examination given at the request of the appointing authority.

(3) Promotion based upon meritorious service and seniority to be accomplished by appointment without examination if the individual has completed the probationary period in the next lower position and meets the minimum requirements for the higher position.

(e) Preference.--To the extent permitted by law, when all applicants for appointment and promotion to a position in the classified service are equally qualified, preference shall be shown to applicants who are United States citizens over those who are not United States citizens.