House Budget Committee to Consider Federal Retirement Cuts

7/18/17 – Tomorrow, the House Budget Committee will begin consideration of a budget resolution drafted by committee chair, Rep. Diane Black (R-TN). The proposal would, in part, increase federal and postal employee contributions for the Federal Employee Retirement System (FERS) and eliminate the supplemental retirement for FERS employees who retiree prior to Social Security eligibility. These two proposals are included in President Trump’s fiscal year 2018 budget.

As was discussed at UPMA’s February Legislative Advocacy Day, one of the most dangerous threats against UPMA member retirement benefits is the congressional budget process — more specifically, “budget reconciliation.” Budget reconciliation is a vehicle buy which the Budget Committee assigns cuts to the committee with jurisdiction over certain federal programs. The House Budget Committee’s just-released budget document instructs the House Oversight and Government Reform Committee, the House committee responsible for federal retirement, to come up with $32 billion in budget savings. This amount reflects a 6-year phase-in of a 6% increase in FERS contributions and the elimination of the FERS supplement. The budget document also contemplates the elimination of FERS. It also appears that the budget savings will be used to boost military spending and fund tax cuts.

UPMA members should contact their members of Congress to oppose the federal and postal retirement hits.

Source: United Postmasters and Managers of America (UPMA)

One Response to "House Budget Committee to Consider Federal Retirement Cuts"

  1. Gary Hunsley   July 24, 2017 at 5:00 pm

    Dear Senator or Representative:

    I’m writing to protest about the purposed 2018 federal budget regarding COLA’s for federal
    Retirees. I recently retired from the federal government after 32 years serving my agency and our country.
    I’m distraught that the republicans are trying to remove a benefit that I did financial planning
    Around. Attempting to remove this from current retirees is simply mean and wrong. Changes could be made to NEW employees such as it was done during the change from CSRS to FERS retirement systems.
    I’m and independent that voted republican because some changes are needed.
    There was NO MANDATE during the last election to remove COLA’s from federal workers that
    Gave so much to our country. Why isn’t there talk to cut your salary, benefits and etc?
    Why isn’t there reductions in welfare benefits, SNAP, money to resettle refugees in the U.S.A?
    Simply KEEP you promise to me and other federal retirees by allowing our COLA’s to continue
    As usual. Are we not as important as a foreign government such as IRAQ? How many times did we rebuild, feed, educate and provide medical care to these people?
    As an American citizen, I’m sick of the extreme from the left and also from the republicans.
    Do the right thing and keep the long time promise of COLA’s to the federal retirees.
    If not, during the midterm 2018 elections I would expect some major changes.

Leave a Reply

Your email address will not be published.