Pay & Benefits Watch Pay & Benefits WatchPay & Benefits Watch
Key developments in the world of federal employee benefits: health, pay, and much more.

The Hiring Freeze Takes a Toll on One Benefit, a Petition for a TSP Tweak and More

Federal employees’ biggest fear about President Trump’s hiring freeze may be that it could add to their workload if colleagues leave and aren’t replaced. But as families on at least two military bases are finding out, the moratorium on hiring may also affect the delivery of workplace benefits.

The freeze has forced Fort Knox in Kentucky and U.S. Army Garrison Wiesbaden, Germany, to scale back their childcare offerings, reports. Fort Knox on Feb. 17 announced it will no longer offer its part-time child development center programs (which include part-day preschool) and hourly care, according to the report. The base will also not allow new families to enroll in the child development centers at this time. Similarly, Army Garrison Wiesbaden is suspending part-day programs.

Defense Department guidance on the hiring freeze does include an exemption for employees providing childcare for military families, said, but Army base commanders must still obtain permission from the service secretary to fill positions. That process can be slow, the article noted.

The hiring freeze was planned as a temporary measure until Office of Management and Budget Director Mick Mulvaney and the yet-to-be-named Office of Personnel Management chief came up...

Protecting Federal Employees' Pay, Hope for Paid Parental Leave and More

The White House has again signaled that President Trump intends to overhaul federal employee compensation and move work to the private sector, this time including those reforms as part of a promise to “innovate and update government.” This clearly doesn’t bode well for civil servants’ pay, retirement benefits or job security. “There’s going to be a respect for taxpayers in this administration, so that whether it's salaries or actual positions or programs, [Trump’s] going to have a very, very tough look at how we’re operating government, how many positions they're in, what people are getting paid,” said Press Secretary Sean Spicer.  

But in one silver lining, a group of Democratic senators has made a pledge of its own. The 12 senators – led by Sen. Mazie Hirono, D-Hawaii – introduced a resolution (S. Res. 51) “recognizing the contributions of federal employees” and vowing to fight back against any legislation or Trump administration action that would “erode fair compensation for federal employees” by cutting pay, raising health insurance premiums or “unnecessarily or irresponsibly reducing the overall federal workforce.” The senators also said they would combat attempts to reduce retirement benefits, undermine federal employee unions, eliminate due process...

Dental Premiums Drop, Retirement Claims Spike, Anxiety Over Benefits 'Reform' Grows

Kudos to the dedicated feds at the Agriculture Department’s National Finance Center. The center, which processes payroll for more than 650,000 federal employees, was badly damaged in a tornado that hit eastern New Orleans on Tuesday. USDA quickly initiated its Continuity of Operations plan, relocating staff to an alternative work site in Shreveport. Thanks to their quick action, feds will be paid on time.

For TRICARE beneficiaries affected by the tornadoes in Louisiana, emergency refill procedures are in place through March 9. See the notice from TRICARE for details.

A tornado of another sort may be about to hit federal employees. The Trump administration and lawmakers have been discussing major changes to pay and benefits for federal employees, as well as  how to reduce the role of unions and make it easier to fire poor workers. Yesterday, Rep. Jason Chaffetz, chairman of the House Oversight and Government Reform Committee, met with President Trump to discuss some of those issues. It’s worth noting that the meeting took place at Trump’s request.

As Eric Katz reported:

Chaffetz told reporters after his meeting he brought up the support in his committee for moving federal employees off a defined benefit...

Solid TSP Growth, An Opening Bid for the 2018 Pay Raise and More

It’s no secret that many Republicans on Capitol Hill are eager to slash federal employee pay and retirement benefits, and now it’s becoming clear the Trump administration is of a similar mindset.

White House Press Secretary Sean Spicer said while announcing the hiring freeze last week that federal employees’ compensation package is no longer realistic.

“Federal employee health and retirement benefits continue to be based on antiquated assumptions and require a level of generosity long since abandoned by most of the private sector,” Spicer said. “Those costs are unsustainable for the federal government, just as they are proving to be unsustainable for state and local governments with similar health and retirement packages.”

President Trump won’t have to look too far to find congressional allies on this issue. House Oversight and Government Reform Committee Chairman Rep. Jason Chaffetz, R-Utah, has told Government Executive he will push to move new federal hires to a retirement system where they only receive a defined-contribution benefit, like the Thrift Savings Plan (those already vested in their pensions would be protected).

In perhaps one silver lining, Rep. Gerry Connolly, D-Va., has already started working to secure a pay raise for federal employees next...

Hiring Freeze Fallout, Tax Relief, Education Benefits and More

There’s a great deal of uncertainty surrounding the federal hiring freeze President Trump imposed through an executive order he signed on Tuesday. The order exempts military personnel and leaves open exceptions for “limited circumstances” and positions agencies deem “necessary to meet national security or public safety responsibilities.” But because most agencies still await new leadership, it’s unclear how these exceptions may apply.

The questions are myriad: Will employees hired prior to Jan. 23 but not yet on board be able to assume their positions? Will agencies be able to fill jobs essential to their mission, but not typically considered “public safety” positions, such as those for some health care providers? The answers are unclear and highly circumstantial.  

The order requires the Office of Management and Budget and the Office of Personnel Management (neither of which has political leadership at this point) within 90 days to come up with a plan to reduce the size of the federal government through attrition, after which time the hiring moratorium will expire. For those in limbo, three months of uncertainty will likely feel like a very long time. GovExec staff writers are covering developments, so stay tuned for more information.

In the...

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

  • Going Agile:Revolutionizing Federal Digital Services Delivery

    Here’s one indication that times have changed: Harriet Tubman is going to be the next face of the twenty dollar bill. Another sign of change? The way in which the federal government arrived at that decision.

  • Cyber Risk Report: Cybercrime Trends from 2016

    In our first half 2016 cyber trends report, SurfWatch Labs threat intelligence analysts noted one key theme – the interconnected nature of cybercrime – and the second half of the year saw organizations continuing to struggle with that reality. The number of potential cyber threats, the pool of already compromised information, and the ease of finding increasingly sophisticated cybercriminal tools continued to snowball throughout the year.

  • Featured Content from RSA Conference: Dissed by NIST

    Learn more about the latest draft of the U.S. National Institute of Standards and Technology guidance document on authentication and lifecycle management.

  • GBC Issue Brief: The Future of 9-1-1

    A Look Into the Next Generation of Emergency Services

  • GBC Survey Report: Securing the Perimeters

    A candid survey on cybersecurity in state and local governments

  • The New IP: Moving Government Agencies Toward the Network of The Future

    Federal IT managers are looking to modernize legacy network infrastructures that are taxed by growing demands from mobile devices, video, vast amounts of data, and more. This issue brief discusses the federal government network landscape, as well as market, financial force drivers for network modernization.

  • eBook: State & Local Cybersecurity

    CenturyLink is committed to helping state and local governments meet their cybersecurity challenges. Towards that end, CenturyLink commissioned a study from the Government Business Council that looked at the perceptions, attitudes and experiences of state and local leaders around the cybersecurity issue. The results were surprising in a number of ways. Learn more about their findings and the ways in which state and local governments can combat cybersecurity threats with this eBook.


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