Performance measurements for a network, such as delay, delay variation, and loss, are performed over layer-2. A PM frame is sent from a source MEP (Maintenance End Point) to a destination MEP. The PM frame is timestamped immediately prior to transmission, and the local clock at the destination MEP is noted immediately upon arrival. MIPs (Maintenance Intermediate Points) may also time stamp the PM frame. Preferably, each PM frame has an interval (session) identifier and a sequence number within the interval. The PM frames are received by and sent by PM modules within the nodes of the network. The PM modules include a Sender function for sending an interval of one or more PM frames and a Receiver function for receiving PM frames and computing measurements.