In its 2019 spending proposal, the House Budget Committee wants federal employees to contribute more toward a defined benefit retirement plan, while ending the Social Security supplement for those who retire before age 62.
A 2018 budget proposal from the House Budget Committee asks federal employees to contribute more toward their retirement as a way to find $203 billion in mandatory spending cuts next year.
Three proposals hiding in the fiscal 2017 budget plan House Republicans submitted last week could potentially impact federal employees’ pay and retirement benefits in the future.
The House Budget Committee wants to cut non-Defense spending over the next 10 years even lower than what’s called for under sequestration. It’s calling for a 10 percent reduction in the civilian workforce through attrition.
House Budget Committee Chairman Rep. Tom Price (R-Ga.) is expected to introduce the Federal Employee Rights Act. The bill would prohibit agencies from deducting labor union dues from federal employees’ paychecks. It would also change the way votes are counted among employees in a unit who are deciding whether to join a union.
Rep. Tom Price (R-Ga.), chairman of the House Budget Committee, said he’s working on reforms to the Congressional Budget Act of 1974. The goal is to draft legislation by 2017, which he hopes a new president would sign into law.
In England and in some parts of this country, a “take away” is when you order a popular fast food and take it home with you. In Washington “take away” is the legislative-political equivalent of bend-over-and-smile-this-is-going-to-hurt-you-more-than-me, says Senior Correspondent Mike Causey.
The Democrats’ plan, introduced by House Budget Committee Ranking Member Chris Van Hollen, would further change the Budget Control Act to allow agencies more financial flexibility. Unlike the Republican plan to restore normalized funding to the Defense Department while continuing to scale back domestic programs, the Democrats want to restore funding for both defense and non-defense agencies.
“It would drop the interest to virtually zero, which would make the G Fund worthless to our participants,” the Federal Retirement Thrift Investment Board’s Kim Weaver said of the House proposal.
Pentagon officials are adamant that sequestration-level spending is incompatible with the current Defense strategy. But, they also have serious concerns with the plan House Republicans released this week to boost Defense funding, saying it would limit their options and keep the military in a state of budget uncertainty.