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Washington, D.C.-President Colleen M. Kelley of the National Treasury Employees Union (NTEU) today applauded passage of legislation long-sought by NTEU that would enhance the rights of present and prospective federal employees to take part in the government's Thrift Savings Plan (TSP).

Kelley called H.R. 208, sponsored by Rep. Connie Morella (R-MD), "another important tool" in the government's effort to attract and retain qualified and motivated employees in today's competitive job market.

"The best way to provide the high-quality service America's taxpayers need and deserve is to offer an attractive and competitive compensation package," said Kelley, who recently was sworn in as a member of the Federal Salary Council, an independent body that advises the federal government on issues related to pay.

Under H.R. 208, which earlier this summer was approved by the Senate, new federal employees will be able to join the TSP immediately, rather than wait up to a year before becoming eligible. The bill also eliminates some restrictions on rolling over money from other retirement investments into the government plan.

In a related development, the Federal Retirement Thrift Investment Board, which runs the TSP, said that by next spring two additional funds will be available to participants, increasing the total to five potential investment funds.

Kelley previously had criticized the board for contractor computer software delays in making these funds available, and she welcomed the additional investment opportunities for federal employees.

The TSP had been planning to introduce the new funds this year in connection with delivery and implementation of a new computerized record-keeping system designed to provide additional information to participants.

However, since there still is no firm date for the new system's availability, the board said it will offer the new investment options under its current record-keeping system, and convert all its activities into the new system when it becomes available.

NTEU is the largest independent federal union, representing more than 155,000 employees in 25 agencies and departments.