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Committee Gives Federal Employees 3.9% Pay Increase for Fiscal Year 2009

July 2, 2008

Washington, DC—The House Appropriations Committee has approved the Fiscal Year 2009 Financial Services and General Government Appropriations bill. Included in the bill is language that would give civilian federal employees a 3.9 percent average pay raise for FY09.

The pay raise is one percent higher than the increase proposed in the Bush Administration’s annual budget proposal to Congress. In February, the White House called for a 2.9 percent increase for civilian workers and a 3.4 percent adjustment for military personnel for FY09. NAGE and other federal unions have asked Congress for at least a 3.9 percent increase and pay parity with military personnel.

“Federal employees are still being paid considerably less than their counterparts in the private sector,” said Federal Director Gina Lightfoot Walker. “This increase is not going to completely close that pay gap, but it is fair increase for next fiscal year.”

Each year, after Congress passes the federal employees’ pay adjustment, the President’s Pay Agent makes a determination on what portion of the pay raise will go toward a base increase for all federal workers and what portion will go toward locality pay.