Update on Congressional Budget Action and Federal Employees

Pay cut - bill cut with scissorsCongressional leadership is working to find agreement on a Fiscal Year (FY) 2018 budget resolution that would be used as the legislative vehicle for tax reform. Congressional budgets, unlike agency budgets, are blueprints that set overall policy priorities that are then used by committees to craft separate legislation that ultimately determines actual spending levels and other program changes.

At this time, it appears that the Senate Budget Committee may consider an FY18 budget resolution next week. As I reported to you earlier, the House Budget Committee considered and reported out a budget resolution (H. Con. Res. 71) in July, on a party line vote, that may be placed on the House floor for a chamber vote within the next week or so.

The House committee-passed budget provides reconciliation instructions directing eleven  House committees to draft separate legislation to reduce the deficit by a minimum of $203 billion over ten (10) years. One of the committees given such instructions is the Committee on Oversight and Government Reform, which handles all federal employee legislation. That committee has been tasked with crafting legislation to produce at least $32 billion – or more – in cuts. Pension squeezeSuch cuts could only come from federal employee benefit programs, with the House Budget Committee recommending sizable increases in federal employee retirement contributions for all employees (cutting current take-home pay by approximately 6 to 7 percent), the elimination of the FERS supplement, and the future elimination of the FERS pension.

NTEU is working to block all proposals gutting federal employee retirement and benefits. I will keep you updated on the timing of House and Senate consideration of budget resolutions and their impact on federal employees and retirees.

To find out more and see what you can do, please visit the NTEU Legislative Action Center.