NTEU’s Kelley Calls On Congress To Override President’s Pay Action

Press Release December 2, 2002

Washington, D.C.—The leader of the nation’s largest independent union of federal employees today urged Congress to provide a 4.1 percent pay increase to federal workers in 2003, despite the president’s action to limit the raise to 3.1 percent by refusing to approve locality pay in the coming year.

“The president’s decision is further evidence of the administration’s low regard for the professionalism and dedication of the federal workforce, and for the vital services provided to the nation by federal employees,” said President Colleen M. Kelley of the National Treasury Employees Union (NTEU).

“Even more than that, however,” President Kelley added, “this mistaken and unwise decision completely ignores the critical role pay plays in making the federal government a competitive employer with the private sector. Members of the 107th Congress clearly understood that, as evidenced by the bipartisan and bicameral support for a 4.1 percent raise in 2003.”

Key members of Congress supported a 4.1 percent raise, which would provide parity for civilian federal employees with the raise to be granted members of the military in 2003, and it was included in both House and Senate versions of the Treasury Postal Appropriations Bill. However, that bill was among a large number of appropriations measures that did not receive final approval in the last session of Congress. The government is

operating under a Continuing Resolution to fund activities and expenses through Jan. 11.

In 1990, bipartisan legislation was approved that called for closing, in stages, the public-private pay gap, and establishing the system of locality pay designed to compensate federal employees for regional cost differentials. While the Federal Employees Pay Comparability Act (FEPCA) has not been implemented as designed, locality raises granted since its enactment have worked partially to address the pay inequities involving federal workers and their private sector counterparts.

The pay gap and the impact of the failure to fully implement FEPCA become strikingly clear, President Kelley said, in looking at FEPCA and locality pay. If the full amount due under the law were to be paid for 2003, the average pay increase would be 18.6 percent.

“The president’s pay decision will serve only to worsen the pay gap,” the NTEU leader said, “making it more and more difficult for agencies both to attract and keep the high quality employees the public demands and expects in its government. This decision is a mistake that hurts not just federal workers, but ultimately the American public.”

As the largest independent federal union, NTEU represents more than 150,000 employees in 27 agencies and departments.

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