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Reply to "Biden to propose 5.2% federal pay increase, largest in pay raise in 43 years"
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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]It’s at 5.2% in NDAA and silent everywhere else, which usually means it will end up at 5.2% if it tracks most other years.[/quote] No way this happens for civilians. The administration will settle for around 3 to get nutty GOP stuff out.[/quote] I work in the budget and this is not what I’m hearing from OMB and OPM, the Republican House is fine with 5.2% and that was administration’s proposal so everyone is expecting that to be the number.[/quote] The house being fin with 5.2 shows they are getting smarter about cutting federal government. A 5.2% increase in the most expensive line item in most agency budgets coupled with flat or cut appropriations means program cuts and hiring freezes [/quote] Unless you’re an agency that is all people and don’t run any programs salaries and expenses are a very small percentage of total budgets, at our agency it’s less than 3%. The pay raise is a rounding error in our total budget.[/quote] I work in an agency that manages land and buildings and salaries are still a massive part of our budget. It's bad. [/quote] What agency is this? Total federal pay is $136 billion out of $6.5 trillion in annual federal spending so salaries are 2% of all federal spending. You’re talking about a 5.2% increase to 2% of the budget, it makes no difference to any agency that isn’t all people, which is most agencies. [/quote] That’s not the right way of looking at things. Over two-thirds of federal spending is non-discretionary, such as social security and Medicare. Those can’t be touched. Of the $1.7 trillion in discretionary spending, nearly half is military/defense, which also isn’t getting touched. So you have $919 billion in non-military discretionary spending, which is the only pot of money Congress will mess with. Federal civilian salaries are a much higher share of that amount. A five percent pay increase will have a significant impact on agency spending, and may cause tensions with Congress’s desire to hold spending flat.[/quote] Civilian salaries are not a much larger share of domestic discretionary, this is only true for small and independent agencies whose only expense is people. The vast majority of federal employees work for cabinet agencies with over 90% of their funding going to programs. I work in the budget office for a cabinet agency and have friends in others and no one I know is worried about affording the pay raise[/quote] If you work for SSA the fact that most of your budget is program funding is irrelevant because most of the budget that is discretionary is salary. The same is true at HHS and VA. [/quote]
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