House Approves Language Addressing FERS And Other Federal Employee Benefits Issues

Press Release June 25, 2009

Washington, D.C.—The House today approved H.R. 2990 with language giving the right to federal workers covered under the Federal Employees Retirement System (FERS) to count unused sick leave toward their retirement pension calculation. The change would bring the FERS system more in line with the Civil Service Retirement System (CSRS).

The bill containing the FERS provision and other measures favorably impacting federal employees and retirees drew praise from the leader of the nation’s largest independent union of federal workers.

“These improvements will positively impact federal employees and retirees across the spectrum, from new hires to those nearing the end of their careers,” said President Colleen M. Kelley of the National Treasury Employees Union (NTEU). “This package will help ensure that federal workers are treated fairly and receive similar treatment regardless of their retirement system.”

The House previously had approved these provisions as part of legislation giving the Food and Drug Administration authority to regulate tobacco products, but they were not included in the Senate version of that bill.

For those under the older CSRS, this legislation would correct an anomaly in the law which penalizes federal employees who choose part-time work near or at the end of their careers by not calculating their pension correctly. This can unnecessarily take from federal agencies the expertise and skills of long-time employees who want to continue for a period on a part-time basis.

The House action also would allow FERS employees who return to federal service and redeposit their annuities to receive credit for years of service, and addresses a longstanding issue with the non-foreign cost-of-living program impacting thousands of federal employees in outlying states and territories.

As the largest independent federal union, NTEU represents 150,000 employees in 31 agencies and departments.

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