Showing posts with label Fiscal Cliff. Show all posts
Showing posts with label Fiscal Cliff. Show all posts

Friday, November 23, 2012

Rounding out a week on labor with federal workers


According to Erik Wasson over at The Hill more than 20 federal and postal worker union wrote to Congress on Tuesday asking them not to cut worker pay and benefits to divert the “fiscal cliff.”

The Federal-Postal Coalition letter claims that federal workers have contributed $103 billion to deficit reductions: $60 billion from a two-year pay freeze, $28 billion from a delayed 2013 pay increase, and $15 billion in increased retirement contributions for new hires. The letter calls for the nation’s leaders to find other ways to reduce the deficit than to take away from those who have dedicated their lives to public service.

Republicans have looked into extending the pay freeze for three more years, and place limits on new hiring. The unions are suggesting that Congress limit pay for contractors, which are currently capped at $763,029 per year. The unions proposed it be capped at $230,700. The government has been able to get around hiring people and using contractors because of the pay rates.

The unions are looking to House Minority Whip Steny Hoyer (D-MD) and top budget negotiator Rep Chris Van Hollen (D-MD) to protect federal workers from cuts. At this point the negotiators are trying to put together a fiscal-cliff down payment to avoid the $109 billion in a sudden and indiscriminate “sequester” cuts that loom in January. Mandatory spending like farm subsidies and veterans’ health benefits are on the table as are federal worker pay and benefits.