Alaskans and Hawaiians get their own locality pay areas

Federal workers in Alaska and Hawaii in January 2011 will receive locality pay unique to their states, according to a draft rule the Office of Personnel Management published in the Federal Register on Thursday.

The interim rule establishes separate locality pay areas for Alaska and Hawaii and extends the "Rest of U.S." rates to include American Samoa, Puerto Rico, the Northern Mariana Islands and Guam. The rule will apply beginning with the first pay period after Jan. 1. It notes the rates in Alaska and Hawaii are likely to be higher than the Rest of U.S. rates.

The regulation marks another step in implementing the 2009 Non-Foreign Area Retirement Equity Assurance Act, which shifts federal employees in those regions away from cost-of-living adjustments based on the prices of goods and services like rent and food, and into the locality pay system that covers workers in the 48 contiguous states and is based on an analysis of private sector salaries. The rule will affect about 44,100 employees.

Sen. Daniel Akaka, D-Hawaii, the 2009 bill's sponsor, expressed concern that unlike locality pay, COLAs are not calculated as pay for federal retirement benefits or Thrift Savings Plan contributions, putting workers outside the lower 48 states at a disadvantage.

OPM is seeking feedback on the interim rule by Nov. 29. Comments can be e-mailed to pay-performance-policy@opm.gov, faxed to (202) 606-4264, or mailed to:
Jerome D. Mikowicz
Office of Personnel Management
Room 7H31
1900 E St. N.W.
Washington, D.C. 20415-8200

Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
FROM OUR SPONSORS
JOIN THE DISCUSSION
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

    Download
  • 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.

    Download
  • 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.

    Download
  • 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.

    Download
  • Ongoing Efforts in Veterans Health Care Modernization

    This report discusses the current state of veterans health care

    Download

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