Fedblog FedblogFedblog
Government Executive Editor in Chief Tom Shoop, along with other editors and staff correspondents, look at the federal bureaucracy from the outside in.

Higher Retirement Contributions Apparently on the Way


The prospect of increases in the amount of money federal employees must pay into their retirement funds appears to be inching closer to reality. The Washington Post reports today that Obama administration negotiators, led by Vice President Joe Biden, have indicated they're open to the idea, to the chagrin of labor unions representing federal employees.

In their fiscal 2012 budget plan, House Republicans  endorsed the idea of requiring federal workers to contribute 6 percent of their salaries to the Federal Employees Retirement System, up substantially from the 0.8 percent employees currently contribute. Obama may not be ready for that big a change, but according to the Post report, the administration is willing to consider some level of increase in the employee contribution. It would probably take effect more slowly and cover fewer employees than the GOP proposal.

Still, the debate seems to have shifted from whether to make cuts in employee benefits to how much they will be cut. The core argument is that even with the changes, federal retirement benefits still will be as good or better than those offered by most private sector firms.Â

Tom Shoop is vice president and editor in chief at Government Executive Media Group, where he oversees both print and online editorial operations. He started as associate editor of Government Executive magazine in 1989; launched the company’s flagship website, GovExec.com, in 1996; and was named editor in chief in 2007.

Close [ x ] More from GovExec

Thank you for subscribing to newsletters from GovExec.com.
We think these reports might interest you:

  • Forecasting Cloud's Future

    Conversations with Federal, State, and Local Technology Leaders on Cloud-Driven Digital Transformation

  • The Big Data Campaign Trail

    With everyone so focused on security following recent breaches at federal, state and local government and education institutions, there has been little emphasis on the need for better operations. This report breaks down some of the biggest operational challenges in IT management and provides insight into how agencies and leaders can successfully solve some of the biggest lingering government IT issues.

  • Communicating Innovation in Federal Government

    Federal Government spending on ‘obsolete technology’ continues to increase. Supporting the twin pillars of improved digital service delivery for citizens on the one hand, and the increasingly optimized and flexible working practices for federal employees on the other, are neither easy nor inexpensive tasks. This whitepaper explores how federal agencies can leverage the value of existing agency technology assets while offering IT leaders the ability to implement the kind of employee productivity, citizen service improvements and security demanded by federal oversight.

  • IT Transformation Trends: Flash Storage as a Strategic IT Asset

    MIT Technology Review: Flash Storage As a Strategic IT Asset For the first time in decades, IT leaders now consider all-flash storage as a strategic IT asset. IT has become a new operating model that enables self-service with high performance, density and resiliency. It also offers the self-service agility of the public cloud combined with the security, performance, and cost-effectiveness of a private cloud. Download this MIT Technology Review paper to learn more about how all-flash storage is transforming the data center.

  • Ongoing Efforts in Veterans Health Care Modernization

    This report discusses the current state of veterans health care


When you download a report, your information may be shared with the underwriters of that document.