Federal Democrats Propose 4.3% Across-the-Board Salary Increase for Federal Employees in 2026, and a Unification of Pension Cost-of-Living Adjustments for Retirees
Senator Brian Schatz and Representative Gerry Connolly have reintroduced two bills aimed at addressing the pay and retirement benefits of federal workers.
The Federal Adjustment of Income Rates Act calls for an average pay raise of 4.3% for federal workers, according to Connolly. This proposed pay raise would be an increase from the 2.0% average raise federal workers received this month. The National Treasury Employees Union National President, Doreen Greenwald, has endorsed this act.
Greenwald, along with Schatz and Connolly, believes that federal workers deserve fair compensation and respect. Last year, federal employees earned on average 24.72% less than their private sector counterparts, highlighting the need for increased pay.
The Equal COLA Act, also reintroduced by Connolly, aims to standardize annual cost-of-living adjustments for federal retirees' defined benefit annuity payments. Currently, the Civil Service Retirement System (CSRS) calculates cost of living adjustments differently from the Federal Employees Retirement System (FERS), leading to discrepancies in retiree income.
Under the Equal COLA Act, enrollees in both CSRS and FERS would receive the same cost-of-living increase. Connolly argues that federal retirees, regardless of retirement system, should receive equal cost-of-living adjustments. The act would correct what federal employee groups argue unfairly deflates retirees' incomes, particularly during periods of high inflation.
However, the chance of the passage of these bills under the GOP's control is slim. The federal workforce has faced challenges such as pay freezes, government shutdowns, and unsafe work environments in the past.
The proposed pay raise consists of a 3.3% across-the-board increase in basic pay and a 1% average boost to locality pay. If the CSRS adjustment is at least 3%, FERS retirees would receive that increase, minus 1 percentage point under the current system.
The reintroduction of these bills is a step towards addressing the long-standing issues faced by federal workers. While the future of these bills remains uncertain, the support from Schatz, Connolly, and Greenwald, among others, indicates a commitment to fair compensation for federal employees.
Read also:
- United States tariffs pose a threat to India, necessitating the recruitment of adept negotiators or strategists, similar to those who had influenced Trump's decisions.
- Weekly happenings in the German Federal Parliament (Bundestag)
- Southwest region's most popular posts, accompanied by an inquiry:
- Discussion between Putin and Trump in Alaska could potentially overshadow Ukraine's concerns
