Washington, D.C.—The National Treasury Employees Union (NTEU) endorsed a House bill today that would end a congressional mandate under which recent and new federal hires must make bigger pension contributions than long-time employees.

Congress raised Federal Employees Retirement System (FERS) contributions for new hires in 2012 to help pay for an extension of unemployment insurance, and again in 2013 to help offset spending as part of a budget agreement. FERS, which covers most federal workers, is considered a model pension program for many reasons, including the fact that it is adequately funded

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Bonus pay for 1.3 million federal workers fell dramatically last year, dropping nearly 50 percent as a result of budget cuts tied to a partial government shutdown and recent caps on employee awards.  See the link, below.

With across-the-board sequestration cuts looming, the Office of Management and Budget (OMB) directed agencies to cancel most discretionary bonuses that weren’t required by law.  Fortunately, those required by law include bonuses specified in collective bargaining agreements such as ours.   And the overwhelming majority of our unit earned a bonus—some substantial—last year.  These bonuses continue this year.

This is one of many benefits we  provide.  If you are not yet a member, please consider joining.  Thanks.

http://www.dailyrecord.com/article/20140505/NJNEWS11/305050011/Federal-bonus-pay-cut-half?nclick_check=1

Howard

Bad Bills

Click here for the Bad Bills Flier on pending legislation that will negatively impact federal employee pay, retirement, jobs and more. Needless to say, NTEU’s legislative department is working hard to prevent passage of these bills.  You can help by visiting NTEU’s Legislative Action Center.

Transit Subsidy

Also, NTEU National’s communications department is seeking a member to speak with on transit subsidies for a Bulletin story. Ideally, they’d like someone with a long public transit commute who had the higher subsidy and now is paying out of pocket because of the drop. Let me know if you fit the bill.

SUMMARY:  NTEU sent a letter to every member of the House of Representatives urging a “no” vote on H Con Res 96, the House Budget Resolution

Today, NTEU sent a letter to every member of the House of Representatives urging a “no” vote on H Con Res 96, the House Budget Resolution authored by Congressman Paul Ryan (R-WI). The House will vote later this week. NTEU made clear to the Representatives that this budget would put hugely disproportionate burdens on federal employees and reminded them that federal employees have already contributed $138 billion in deficit reduction, more than any other group.

The Ryan budget calls for $125 billion in savings from the federal retirement system, including higher pension contributions (or the equivalent of pay cuts) for all federal employees which could amount to 5 to 6% of salary and the end of the FERS supplement, which substitutes for Social Security payments for employees eligible to retire before age 62. While these two proposals have been included in Chairman Ryan’s proposals in the past, the FY 2015 proposal also calls for a transition to a defined contribution plan, in other words, the end of any defined benefit annuity and a change to the 401(k)-type, TSP-only plan.

The Ryan budget also proposes limiting federal hiring to one replacement for every three employees who leave, along with other unspecified cuts to federal pay and benefits. And it proposes to eliminate repayment by the government of student loans for federal employees. It also extends sequestration an additional three years, until 2024. A copy of the letter is attached.

Full text of letter: NTEU Urges No Vote on HConRes96

President Colleen M. Kelley was critical of a proposed 1 percent pay increase for federal employees that will be included in the administration’s budget blueprint due out next month.

“I strongly believe that federal employees deserve more and this amount is inadequate,” Kelley said, adding that NTEU believes a 3.3 percent pay raise is a fair and reasonable amount. This week, during the union’s legislative conference, NTEU members will be visiting their members of Congress to make that case.

Federal workers have done more than their fair share to reduce the federal deficit, contributing $138 billion toward deficit reduction over 10 years from the pay freeze and from higher pension contributions from new federal hires. The continuing policy of sequestration is preventing the investments necessary for the good of the nation including investing in federal workers, said President Kelley.

NTEU is pleased to see the end of the pay freeze but believes federal employee pay must begin catching up.

Hundreds of NTEU members from around the country and across federal agencies will be meeting in the nation’s capital to personally deliver an important message to lawmakers: support federal workers.

This is the theme of the annual, three-day NTEU Legislative Conference, set to begin tomorrow. The event features a rally at noon on Thursday on the West Front of the U.S. Capitol, and meetings with representatives and senators on the union’s priority issues for the year. They include:

• Ending sequestration and securing adequate agency funding.
• An adequate federal pay raise for 2015 and highlighting the negative effect of the three-year pay freeze.
• Protecting the Federal Employees Health Benefits Program.
• Opposing efforts to increase employee contributions to their retirement and cutting benefits.
• Lowering the federal contractor reimbursement cap and eliminating inefficient and unnecessary contracting.

Stay tuned to the NTEU e-Bulletin for news and photos from the conference.

The Gaithersburg man, an attorney and union leader at the U.S. Patent and Trademark Office, wants to change the conversation.

“We’ve been criticized far too long, strictly on matters dealing with the size of the workforce and our compensation,” he said. “I think people don’t really understand the direct connection between what we do and the quality of life in our country for taxpayers and for everybody.”

Read more: http://www.baltimoresun.com/news/bs-md-federal-worker-conversation-20140213,0,5161386.story#ixzz31W3uYyuv