Director’s Desk: January 23, 2013

Kenneth Gold | January 23, 2013

Despite the postponement of H.R. 273 (see accompanying newsletter), some fiscal hawks are unlikely to abandon their assault on federal pay. During the last Congress Republicans proposed several bills that would have extended the federal pay freeze up to five years, as well as proposals to prohibit feds from receiving within-grade step increases. Just this week, Representative Mick Mulvaney (R-SC) proposed an amendment to the Sandy disaster relief bill that would have paid for $17 billion in assistance with a 1.63 percent across-the-board cut in FY13 discretionary federal spending, and an end to mass transit benefits for feds. The Congressional Budget Office (CBO) estimates that the .5% pay increase that was proposed in the President’s executive order late last year would cost $11 billion. Although House and Senate Democrats have opposed extending the pay freeze, attempts to cut federal pay will no doubt continue to be included in attempts to rein in the deficit for some time to come.

Categories: Director's Desk, Updates