White House Denounces House Pay Freeze Bill

By on February 14, 2013 in Pay & Benefits with 37 Comments

The White House’s Office of Management and Budget issued a statement this week denouncing H.R. 273, the legislation currently pending vote in the House that would block the 0.5% pay increase for federal workers.

The House is expected to vote on the legislation this week.

The statement said that the two year pay freeze was one of several steps the White House took to put the nation on a sustainable fiscal path and is expected to ultimately save $60 billion over ten years.

The full statement is included below.

The Administration opposes H.R. 273, which would extend the current Federal civilian pay freeze through December 31, 2013. This extension would mean that Federal civilian employeesˈ across-the-board pay freeze would last for a third consecutive year. In 2010, as one of several steps the Administration took to put the Nation on a sustainable fiscal path, the President proposed and the Congress enacted an unprecedented two-year freeze on across-the-board pay adjustments for civilian Federal employees. This freeze already is expected to save more than $60 billion over 10 years. Federal civilian employees are central to the Federal Governmentˈs success in serving the American people. They assure the safety of this countryˈs food and airways, defend the homeland, provide health care to the Nationˈs veterans, search for cures to devastating diseases, and provide vital support to our troops at home and abroad.

The Presidentˈs Fiscal Year (FY) 2013 Budget proposed a pay increase equal to one-half of one percent of the current pay for most Federal civilian employees beginning on January 1, 2013. However, the FY 2013 Continuing Appropriations Resolution (Public Law 112-75) extended the pay freeze through March 27, 2013. The President issued Executive Order 13635 to ensure that when this pay freeze expires, Federal employees would receive the increase proposed by the President without triggering the higher increase that would otherwise take place under statute. This modest pay increase will help ensure that the Government remains competitive in attracting and retaining the Nationˈs best and brightest individuals for public service.

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Ian Smith is one of the co-founders of FedSmith.com. He enjoys writing about current topics that affect the federal workforce. Ian also has a background in web development and does the technical work for the FedSmith.com web site and its sibling sites.

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