House Approval of Transportation-Treasury Bill Provides Further Bipartisan Support for 3.5% Civilian Pay Raise in 2005

Press Release September 22, 2004

Washington, D.C.—In approving the Transportation-Treasury Appropriations bill for 2005, which calls for a 3.5 percent raise for federal civilian employees, the House of Representative signaled its clear, bipartisan support for the job that federal workers are doing, the head of the nation’s largest independent union of federal employees said today.

“Along with the bipartisan support expressed in the Senate for a 3.5 percent raise,” said President Colleen M. Kelley of the National Treasury Employees Union (NTEU), “today’s vote by the House sends a clear message to the White House that it is out of step in continuing to push for a smaller raise for federal workers next year.”

In its initial budget proposal for 2005, the administration proposed a 1.5 percent raise in 2005 for federal civilian workers. As recently as last week, the White House indicated its continuing strong support for that position even as it recommends a raise of 3.5 percent for members of the military. NTEU supports the higher raise for both groups of federal workers.

In its version of the Transportation-Treasury bill, the Senate Appropriations Committee earlier approved a 3.5 percent raise for civilian employees; the full Senate has yet to take up the measure.

“I think Congress is showing that it has a good grasp on the reality that federal agencies are in a tough and continuing competition with the private sector for the talented employees they need to serve the public in the appropriate manner,” President Kelley said.

The NTEU leader applauded the work on the pay issue of a bipartisan group of members of Congress from the Washington area, who have continued to take the lead in the fight not just for civilian-military pay parity, but for a closing of the pay gap between the public and private sectors. In some sections of the country, the gap continues to run as high as 30 percent.

“House and Senate support for higher pay for federal civilian employees is one important indicator that members of Congress value and respect the job that federal workers are doing for the American people. I wish this White House would finally come around to the same view,” she added.

Another issue remains, however. With the start of the new fiscal year little more than a week away, and with work on the appropriations bill not completed, federal employees once again face the prospect—for the third year in a row—of a delay in receiving the full raise authorized by Congress.

President Kelley noted that this kind of staggered payment is not only unfair to hard-working federal employees, it places unnecessary burdens, including additional costs, on agencies by making them reprogram their computers and take other steps related to the details of their payroll accounts. She recalled the lengthy delay in White House issuance of a needed executive order on pay earlier this year, and described this staggered process as “a completely unnecessary and costly way to operate.”

As the largest independent federal union, NTEU represents some 150,000 employees in 30 agencies and departments.

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