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Washington, D.C.—President Colleen M. Kelley of the National Treasury Employees Union (NTEU) today called “not only extremely disappointing, but totally inadequate” the Bush administration budget proposal calling for a pay raise of 3.6 percent for federal civilian employees in 2002 in light of the federal law designed to close the pay gap that exists between the federal and private sectors.
Both the Senate and House have passed resolutions calling for civilian-military pay parity next year, a step that would provide at least a 4.6 percent pay raise for civilian employees, which is the amount proposed by President Bush for members of the military.
“Unlike the Bush administration,” Kelley said, “members of Congress have demonstrated a far greater understanding of the problems that federal agencies are having in recruiting and retaining the skilled employees they need to serve the public—and of the role of adequate pay in helping agencies meet their personnel needs.”
The NTEU leader noted again that several recent studies have shown that as many as 53 percent of federal employees will be eligible for either regular or early retirement over the next few years. “That in itself, even without the increasing competition from the private sector for the highest quality workers, should be enough to spur the administration, at the very least, to support civilian-military pay parity for 2002,” she said.
At the same time, Kelley said the long-term solution for federal recruitment and retention problems is full implementation of the Federal Employees Pay Comparability Act (FEPCA), a law signed by President Bush’s father in 1990, and designed to close in stages over ten years the gap between public and private sector pay.
That law, however, has not been implemented as designed in any year since its enactment, as a result of which the pay gap continues to grow. The pay gap runs between 13 and 33 percent, depending on job and location.
“Federal employees perform valuable work that benefits America,” Kelley said, “delivering the programs and services the American public wants and needs. One of the important ways to demonstrate a recognition of their work is to pay a fair and appropriate wage. A proposed 3.6 percent pay raise is neither fair nor appropriate.”