Bill would extend pay freeze for 3 more years

Congress

Bill would extend pay freeze for 3 more years

A bill introduced this week in the Senate proposes to extend the current federal pay freeze for three more years and cut the federal workforce by 15 percent.

Federal News Network Staff

August 4, 2011 6:07 pm

1 min read

By Jolie Lee
Federal News Radio

A bill introduced this week in the Senate proposes to extend the current federal pay freeze until the end of 2014.

The Federal Workforce and Reduction Act of 2011 would also freeze all bonuses – including performance and recruitment bonuses – for the same time period.

The bill also proposes to reduce the federal workforce size by 15 percent in the next decade.

The bill’s sponsors, Sens. Orrin Hatch (R-Utah) and Tom Coburn (R-Okla.) said their proposal will shrink the size of government to a “fiscally-responsible” level, according to a press release.

The bill also takes aim at federal travel expenses. With the exception of the Defense Department, agencies would have to cut in half stipends, mileage and other travel-related expenses in fiscal years 2012 and 2013. In fiscal year 2014, agencies would spend a quarter on travel compared with 2011 levels.

“If the recent debate over the debt ceiling has shown anything, it’s that we need to make sure the federal government is forced to live within its means, just as small businesses and working families across the country are,” Hatch said in the release. “We simply must do more to address our runaway government spending and debt. The solutions to these problems don’t need to be complicated. Our bill will generate significant savings – more than $600 billion – by implementing just a small handful of relatively simple reforms.”

The proposal is just one of several introduced into Congress to cut back federal and benefits.

See the bill tracker for more bills that affect federal employees.