Obama Budget Would Cap Pay Raises for Civilian Workers, Military

By Steve Vogel

Civilian employees of the federal government will be limited to a 2 percent pay increase in 2010 under the proposed budget released this morning by the Obama administration.

The administration describes the proposed increase as reflective of the current economic crisis and bringing federal pay and benefit practices more in line with what workers in the private sector are experiencing. 

The fiscal 2010 budget summary released this morning notes that Obama has ordered a freeze of White House senior staff pay. "In this budget, federal employees also will be asked to do their part," the summary states.

The proposed increase compares with a 3.9 percent increase for federal workers in 2009 and 3.5 percent in 2008.  A senior official for the nation’s largest federal employee union described the small increase as understandable. "It’s a modest increase, but it certainly is prudent," said Jacque Simon, public policy director for the American Federation of Government Employees.

"We’re in an economic crisis and everybody understands that," Simon said. "While it’s certainly a modest pay increase, federal employees recognize the severity of the economic situation, and we’re viewing it from that context."

Pay increases for men and women in uniform are to be capped 2.9 percent, an amount described in the budget summary as reflecting "the priorities of an administration that is committed to caring for the service members who protect our security and the families who support them."

Last year, military personnel received a 3.9 percent pay increase, half a percentage point more than President George W. Bush recommended.