Rep. Eric Cantor, R-Va., says move could save $35 billion.
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Observers are skeptical the panel will be able to reach a consensus, because 14 of the 18 members need to support any recommendations.
Federal workers and contractors would take a hit under draft plan.
The midterms were partly a referendum on the party in power, partly a plunge after Democrats’ back-to-back surges in 2006 and 2008, and partly a search for political balance.
Concerns about job cuts and retiree benefits remain as leaders vow reforms.
Review of U.S. attorneys’ expenses finds inconsistent policies and poor oversight are partially to blame for abuses.
Request "clearly needs to come from the Iraqis," Defense chief says.
Obama expresses some regrets about his first two years as president, but also shows optimism about working with Republican leaders.
Four proposals to boost efficiency put to public vote.
IBM Center says government can free up $1 trillion by adopting commercial best practices.