Kelley Urges Senate to Reject Tying Payroll Tax Holiday to Further Cuts in Federal Pay and Benefits

Press Release December 16, 2011

Washington, D.C. —Federal employees should not face further cuts in their pay and benefits to extend the payroll tax holiday, particularly since the nation’s wealthiest are not being asked to make any economic sacrifice, the leader of the nation’s largest independent union of federal workers said in a letter to senators today.

President Colleen M. Kelley of the National Treasury Employees Union (NTEU) said that asking federal workers to undergo additional cuts totaling $65 billion—as appear to be under consideration in Congress—is the wrong course of action.

The NTEU leader noted that federal employees already have contributed $60 billion to deficit reduction, referring to the ongoing two-year federal pay freeze.

“They have faced government shutdowns four times this year, including one as I write this letter,” she told senators. “Yet, they have worked diligently to deliver services to the public. To ask them to bear such a disproportionate additional burden in offsetting a payroll tax reduction, while the rich remain completely untouched, is unfair and unacceptable.”

President Kelley pointed out, as well, that large numbers of middle class federal workers would not even be eligible for the payroll tax holiday since they do not pay into nor receive benefits from Social Security.

She urged senators to oppose any measure that includes additional cuts to federal employee pay and benefits in any legislation extending the payroll tax holiday.

NTEU is the nation’s largest independent union of federal employees, representing 150,000 employees in 31 agencies and departments.

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