NARFE Applauds Introduction of Legislation to Repeal Increases in Federal Employee Pension Contributions

Alexandria, VA – The National Active and Retired Federal Employees Association (NARFE) is pleased to support legislation introduced by Rep. Donna Edwards, D-MD, the Federal Employee Pension Fairness Act of 2015, to repeal the two recent increases in federal employee retirement contributions. Edwards was joined by original cosponsors Reps. Matt Cartwright, D-PA; Gerald E. Connolly, D-VA; Elijah E. Cummings, D-MD; Keith Ellison, D-MN; Marcy Kaptur, D-OH; Stephen F. Lynch, D-MA; Betty McCollum, D-MN; Grace F. Napolitano, D-CA; Eleanor Holmes Norton, D-DC; and Charles Rangel, D-NY.

Beginning in 2013, new federal employees have had to pay more toward their retirement than their previously hired colleagues without any increase in benefits. Those hired in 2013 pay 2.3 percent more; those hired in 2014 pay 3.6 percent more than those hired before 2013. Over 10 years, these increases in retirement contributions will amount to a $21 billion loss in take-home pay for these federal employees. The Federal Employee Pension Fairness Act would repeal both increases.

“These increases in retirement contributions came at a time when federal employees’ pay was frozen, sequestration budget cuts threatened their jobs and unpaid furloughs undermined their earnings,” said NARFE President Richard G. Thissen. “Over the past four years, federal employees have contributed more than $120 billion toward deficit reduction. It’s time we compensate them commensurate with their service and sacrifice and repeal these arbitrary retirement contribution increases.”

“Passage of this bill would be the first step toward reversing the trend of dipping into the federal employee piggy bank to pay for other congressional priorities. It also will help to ensure we can continue to recruit and retain the best and brightest into public service. Providing our public servants adequate compensation is about more than just fairness, it is about maintaining an efficient and effective federal government.”

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The National Active and Retired Federal Employees Association (NARFE), one of America’s oldest and largest associations, was founded in 1921 with the mission of protecting the earned rights and benefits of America’s active and retired federal workers. The largest federal employee/retiree organization, NARFE represents the interests of nearly five million current and future federal annuitants, spouses and survivors.