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Washington, D.C. — The Senate today gave final approval to an omnibus spending bill funding the government through the remainder of fiscal year 2012, a move that will allow federal employees to continue providing vital services to the American public, said the head of the National Treasury Employees Union (NTEU). That vote followed House approval yesterday of the same measure.

The Senate also today passed a two-month extension to the payroll tax holiday that does not offset its costs with further cuts to federal employee pay and benefits. “I am very pleased to see that federal employees are not being asked to contribute even more,” said NTEU President Colleen M. Kelley. “Cutting federal employee pay and increasing the amount they pay toward their retirement would have gone against the intentions of the tax holiday.”

Federal employees are currently in the midst of a two-year pay freeze that will contribute $60 billion to deficit reduction and some congressional proposals regarding extension of the payroll tax holiday called for even further cuts to federal employee pay and benefits. The House may return next week to consider the payroll tax extension approved by the Senate.

In a series of votes the House and Senate also passed a short-term continuing resolution keeping the government operating while the full year funding bill is prepared for presidential signature. The president is expected to sign the legislation.

“While we were again brought to the brink of a government shutdown—putting dedicated federal employees and the taxpayers at risk—the actions of Congress have cleared the way for continued government operations and that is good for our country,” President Kelley said. “However, agencies are being shortchanged in the final funding bill forcing them to try and achieve their missions and provide services with inadequate resources. NTEU will continue its efforts to bring appropriations up to adequate levels in the next budget cycle.”

Of particular concern is the $305 million cut to the budget of the Internal Revenue Service (IRS). The IRS brings in 93 percent of the revenue that funds the federal government and insufficient funding means the agency will not be able to collect billions of dollars in taxes, effectively crack down on tax cheats or provide timely service to taxpayers.

“Reducing the effectiveness of the IRS will reduce the effectiveness of other federal agencies and that is an outcome the American people do not deserve,” said President Kelley.

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