Senate appropriators back 3.5 percent civilian pay raise

A Senate committee late Thursday approved a bill granting civilian federal employees a 2008 pay raise of 3.5 percent, a figure equal to the amount approved by the House late last month.

The Senate Appropriations Committee voted in favor of the raise as part of the fiscal 2008 financial services appropriations bill (H.R. 2829). The adjustment is half a percent higher than the increase proposed by the Bush administration, which recently issued a policy statement opposing the additional 0.5 percent on the grounds that it is unnecessary.

The adjustment also is identical to the amount recently authorized by the House for members of the military.

Approval of the raise drew praise from federal labor unions, which have been lobbying for parity between civilians and the military, and for a raise higher than the president's request. National Treasury Employees Union President Colleen Kelley lauded the committee for adding "its important voice to those members of Congress calling for a 3.5 percent federal pay raise" and recognizing "the important role played by fair and competitive pay in the ability of federal agencies to attract and retain high-quality employees, particularly in the continuing competition with the private sector for such employees."

The bill also would provide $27.5 million for the Office of Personnel Management's retirement systems modernizations project. The funding, which is $12.5 million above the president's request, would be used to shift paper-based employee retirement records to an electronic system.