Hoyer: Fed Pay Raise ‘Step in Right Direction’

A pay raise for federal employees in 2017 has been proposed by President Obama. Congressman Steny H. Hoyer (D-MD) released the following statement:

“[The Aug. 31] announcement by the Obama Administration is a step in the right direction, although it provides a raise in 2017 that is below what federal employees deserve. This raise comes after several years of either no pay raises or modest increases below what federal law prescribes and what common sense dictates we ought to pay those who give so much in the service of our country and its people. In the next Congress, I will continue to push for a pay raise that reflects the past contributions federal employees made to deficit reduction during the height of the financial crisis as well as their ongoing contributions to our economic growth and national security,” the congressman said.

Below is the text of the president’s Aug. 31 letter to the speaker of the US House of Representatives:

Dear Mr. Speaker:

I am transmitting an alternative plan for pay increases for civilian Federal employees covered by the General Schedule and certain other pay systems in January 2017.

Title 5, United States Code, authorizes me to implement alternative pay plans for pay increases for civilian Federal employees covered by the General Schedule and certain other pay systems if, because of “national emergency or serious economic conditions affecting the general welfare,” I view the adjustments that would otherwise take effect as inappropriate.

Accordingly, I have determined that it is appropriate to exercise my statutory alternative plan authority under 5 U.S.C. 5303(b) and 5304a to set alternative January 2017 across-the-board and locality pay adjustments.  Specifically, I have determined that for 2017, across-the-board pay increases will be 1.0 percent.  Also, I will make a decision by November 30, 2016, regarding an alternative plan for locality payments under 5 U.S.C. 5304a.  The alternative plan for locality payments will be limited so that the total combined cost of the 1.0 percent across-the-board base pay increase and the varying locality pay increases will be 1.6 percent of basic payroll, consistent with the assumption in my 2017 Budget.  These decisions will not materially affect our ability to attract and retain a well-qualified Federal workforce.

The adjustments described above shall take effect on the first applicable pay period beginning on or after January 1, 2017.

Sincerely,

BARACK OBAMA

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