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Washington, D.C.—A federal judge today held a “fairness hearing” in the long-running special salary rates case brought by the National Treasury Employees Union (NTEU), and has taken under advisement the matter of final approval of the $173.5 million settlement.

Judge Nancy B. Firestone of the U.S. Court of Federal Claims, who earlier this year found that the settlement preliminarily appeared to be fair, reasonable and adequate, is expected to issue a ruling by the end of this year.

NTEU President Colleen M. Kelley said the decision by Judge Firestone not to rule immediately was expected, and she called the fairness hearing “a critical step in bringing this matter to a close, and paying money to those who rightfully deserve it.”

The NTEU lawsuit covers a class of some 212,000 current and former special rate federal employees who were subject to an illegal regulation issued by the Office of Personnel Management in 1982. Under that illegal regulation, special rate pay raises between 1982 and 1988 were often delayed or denied. NTEU initiated the legal action in 1983.

Last month, NTEU and the Department of Justice filed a joint motion asking the court to grant final approval to the settlement. Separately, the parties submitted legal memoranda setting out the reasons why the

settlement is fair, adequate and reasonable, and should be approved by the court.

President Kelley said that if final approval is granted, class members will receive a mailing early next year describing amounts they are owed under the settlement and the process for claiming those amounts or challenging the underlying data used to calculate the amounts.

She added that important information about the case is available either by calling (800) 750-3406 or by visiting the litigation web site www.SpecialRatesSettlement.com. Kelley noted that there is nothing for class members to do at this time to claim their settlement. Further instructions will appear on the web site.

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