Unions look out for more pay freeze provisions

Labor unions are watching the markup of another spending bill this week for possible provisions extending the two-year pay freeze for federal employees.

After the House passed a bill prolonging the pay freeze for some Defense and Veterans Affairs department employees last week, the American Federation of Government Employees was concerned such pay and benefits provisions could be included in the fiscal 2013 Financial Services appropriations bill, which historically has contained governmentwide pay measures.

A House panel will mark up that bill Wednesday.

AFGE would like for lawmakers to provide the 0.5 percent raise President Obama requested in his budget.

“We believe that if a governmentwide pay increase is ultimately approved [in the upcoming markup], it would overrule the provision in the [Military Construction and Veterans Affairs spending bill] denying a raise to VA employees and some DoD employees,” AFGE spokesman Tim Kauffman said.

According to the House Appropriations Committee, that isn’t necessarily the case. “In the past, there have been provisions in the financial services bill that apply to the entire civilian population. That’s not to say future appropriations bills won’t carry their own separate provisions,” committee spokeswoman Jennifer Hing said. “Any of our bills can say, ‘No funds provided in this act can provide’ ” a pay raise.

Lawmakers also are free to target the pay and benefits of employees in specific programs, as they did in the Military Construction and Veterans Affairs appropriations bill. If passed, the measure would prolong the two-year pay freeze for some employees in those departments by cutting funds that otherwise would have gone toward the 0.5 percent civilian pay hike President Obama requested in his fiscal 2013 budget.

The National Treasury Employees Union is also “closely watching” the Financial Services appropriations bill because “it traditionally carries language regarding a pay raise,” NTEU President Colleen Kelley said.

Union representatives continue to urge lawmakers to approve Obama’s request. AFGE will be watching Wednesday’s markup for that provision and to see that the bill retains a prohibition on agency competitions for pending work that pit federal employees against contractors, known as A-76 studies, Kauffman said.

The fiscal 2012 Financial Services appropriations bill included the prohibition of such studies, a move also supported by the Obama administration.