Hope for SES Pay Raise

THE DAILY FED

Hope for SES Pay Raise

Federal executives at the top rung of the Senior Executive Service have a glimmer of a chance for a pay raise this year after a four-year freeze on their salaries.

A draft version of the Treasury-General Government spending bill in the House of Representatives includes a cost-of-living increase for Congress, according to the Associated Press.

An automatic annual cost-of-living increase for Congress is mandated by law, but every year since 1993 Congress has blocked the increase from taking effect.

Again this year the Senate struck down the increase, which many politicians are wary of voting for. But that means that the top rung of the Senior Executive Service cannot get a pay increase because their salaries are tied to the pay schedule used by Congress.

Leaders of both parties have been quietly pushing for an increase this year. Sen. Ted Stevens, R-Alaska, has argued publicly that limiting pay makes it difficult for members of Congress who are not independently wealthy to maintain residences both in Washington and in their home states.

Senior Executives Association President Carol Bonosaro said earlier this year the pay freeze is creating "compression" in the upper ranks of the civil service. The top SESers, those at grade ES-6, have been stuck at the $115,700 base pay cap since 1993. This year, the base pay of SESers at grade ES-5 reached $115,700.

In the cities of Houston and San Francisco, the "compression" reaches down another layer to SESers at grade ES-4 when locality pay is factored in.

If the pay raise squeezes through the House, Senate and House negotiators will take up the issue in conference later this fall.