Trump’s budget calls for cuts on federal employee retirement programs

retired2014The Washington Post’s Joe Davidson is reporting that Donald Trump’s proposed budget, due to be unveiled on Tuesday, would cut federal workers’ retirement benefits.

via the Denver Post  is reportingTrump’s fiscal 2018 budget would: Increase Federal Employees Retirement System contributions from workers by 1 percentage point each year until they equal the government’s contribution. Base future retirement benefits on the average of the high five years of salary instead of the current high three. Eliminate cost-of-living adjustments (COLA) for current and future FERS employees. Eliminate supplement payments for FERS employees who retire beginning in 2018. –

The Washington Post story by Joe Davidson, lists the following changes to federal retirement benefits:
  • Increase Federal Employee Retirement System (FERS) contributions from workers by 1 percentage point each year until they equal the government’s contribution. This would take five to six years and would result in increased out-of-pocket payments of about 6 percent over that period. Out-of-pocket payments by federal law enforcement officers would increase by the same amount, but would not equal the greater contributions from law enforcement agencies.
  • Base future retirement benefits on the average of the high five years of salary instead of the current high three
  • Eliminate cost of living adjustments (COLA) for current and future FERS employees
  • Cut the COLA for Civil Service Retirement System (CSRS) employees by 0.5 percent from what the formula would allow
  • Eliminate supplement payments for FERS employees who retire beginning in 2018. The supplement approximates the value of Social Security benefits for those who retire before age 62.

Most of these proposals have been in the Republican playbook for years. With that party now in control of the White House and Congress, chances increase that some or all of them will become law, even as the probability is low that Trump’s entire budget will be enacted as proposed.

Source: Trump’s budget calls for hits on federal employee retirement programs – The Washington Post

The National Active and Retired Federal Employees Association (NARFE) Responds To Reported Threats in the President’s 2018 Budget

In response to a report by The Washington Post regarding President Trump’s fiscal year 2018 budget, NARFE President Richard Thissen said the following:

“The rumored details of President Trump’s first full budget with respect to federal employees and retirees are nothing short of an egregious attack on federal service and seniors. The President purports to defend government annuities like Social Security and then proposes to eliminate cost-of-living adjustments for some and limit COLAs for those already retired and living on fixed incomes. It is beyond insulting. It is downright mean. Simultaneously promoting tax cuts and forcing a tax on just federal employees, through an increase in retirement contributions, is the height of hypocrisy.

“This Administration, more than any before it, and this country need a quality and experienced civil service to ensure the faithful execution of our laws and the delivery of services critical to hard-working taxpayers. Arbitrarily decreasing benefits will not only lead to an exodus of experienced employees, but will also threaten the very safety of our nation.

“Federal families are taxpayers, too. The disrespect this budget shows to those who defend our country undermines morale and denigrates the integrity and commitment of those civil servants who serve in every American community. This rumored budget proposal is unconscionable. I urge Congress to recognize the President’s Budget for the flawed document it is. Every day, federal employees and retirees put country first. Our spending priorities should as well. This budget is a giant leap in the wrong direction.”

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10 thoughts on “Trump’s budget calls for cuts on federal employee retirement programs

  1. Think of the Children, oh won’t someone think of the children, classic liberal cry for funding, all the time it is the Repubs fault, Obama did nothing but freeze our wages for 8 years and not one liberal here complained, the union should have negotiated a better contract for us instead of giving in to the upper crust Post Master General, First Female PMG and complete failure, if Hillary was elected it would have been the nail in the coffin for the middle class. At least when the first Bush was in we received a cash bonus with our contract, in my 35 years never under the beloved leftist Presidents did we ever get anything, put that in your pipe and smoke it brain dead liberal postal workers

  2. The postal worker’s unions and USPS management needs competently,work together to defeat the drastic proposed changes for Postal-Retirees. They,especially need to fight to fully retain the FERS suppliment,for all FERS pension employees;who have met the minimum age for a”Regular Retirement”. Neither unions,nor USPS management,want to deal with malcontented workers;more often than not also NOT in the best health,who simply could NOT afford to get lost. Thirty-one years,as a mail-processor,made realize this unpleasant reality.

  3. This is not Trumps proposal! This is a proposal given to him from OPM. These same cuts have been floated for years in previous contracts and administrations.

  4. Thank you Postal employees who voted for Trump. You are making our Country great again. The Postal people who voted for Trump should pay for everyones reduction in retirement and health care. It’s just too much winning for me.

  5. I hope that every Federal employee and annuitant that voted for Donald Dump looks forward to having their benefits cut! Just remember the savings will go for the wall, more military toys, tax cuts for the rich, and more wealth for business. Please go now a buy a 55 gallon barrel of Vaseline while you can. Just remember to use while on the computer.

    • If it makes stock market go up it is well worth it. By the way.. If Obama and Crooked Hillary didn’t coddle illegal aliens,Black lives matter thugs Homosexual marriage etc..Trump would have never won!.It is the Democrats disregard for the Majority in this country…decent Americans don’t go for all this Socail justice garbage..Get your ass off the couch put away the video games and make America Great Again!

  6. This isn’t any surprise – Republicans HATE Federal employees because they are organized, with several unions representing them, earn decent wages, and worst of all, just like the middle class of this country, Republicans cannot tolerate anybody getting a dime to themselves because they and their owners like the Koch brothers and Wall Street want it all for themselves.
    What else does one need for proof that the GOP hates us? This proposal, others like it, the opposition to affordable health care and insurance, banks charging high interest on loans and refusing to offer decent rates for savings accounts, CD’s, 401K’s, or anything else that might attract someone who wants a safe investment strategy. They want it all on Wall Street to gamble away, just as bad as taking your check to a casino every Friday night.
    Will this sinister plot work? Maybe, but we as postal employees have had a certain amount of pull and have been spared of a lot of attempts to ruin our retirements. One hopes Trump will be so mired in scandal and fear of impeachment and removal that the tyrant Republicans won’t have time to screw us.
    In the meantime, without trying to be snide, how bad does it have to get before people who always vote for the most corrupted assholes in politics understand they are voting for hate and racism and against every possible program or law that is in their best interests? For some, there is no bottom because the GOP and its mouthpieces on talk radio and FOX News are always right there to lie like hell and keep their minions coming back for more abuse.

    • Waa, Waa, Waa. Cry baby, cry!

      Who is it that is beholden to Wall St? None other than the witch herself. How much is it that she made from giving speeches to them? And just who is it that really wants to hear her speak anyway?

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