Federal Workforce Subcommittee Hearing and other Hill news

The House Federal Workforce Subcommittee held a hearing today on a bill (HR 2517, S. 1102) that would extend FEHBP coverage to federal employees. The Subcommittee chairman, Rep. Stephen Lynch (D Mass.) and OPM Director John Berry, among others, expressed support for the bill. OPM suggested several technical corrections to the bill in Director Berry's testimony.

Govexec.com reports that a Senate appropriations subcommittee has approved a 2.9% pay increase for federal employees in 2010 on the day after its House counterpart approved a 2.0% increase. The FY 2010 defense authorization bill includes a 3.4% raise for servicemen and women.

Govexec.com also reports that several federal employee retirement benefit changes are included in the FY 2010 defense authorization bill now under consideration by Congress. The following provisions are included in the House bill and may be adopted by the Senate:

• Allow Federal Employee Retirement System employees to count unused sick time toward their retirement annuities
• Change how retirement annuities are calculated for Civil Service Retirement System employees to make part-time work a more attractive option for those nearing retirement
• Encourage former FERS employees to return to government service by allowing them to redeposit the retirement money they withdrew, and also to credit their previous time towards retirement
• Give civilian employees outside the continental United States locality pay rather than annual cost-of-living increases.