Act Now: Protect Federal Earned Federal Retirement and Health Benefits from Budget Cuts
President Trump and Republican majorities in the House and Senate are advancing “budget reconciliation” legislation focused on their tax and spending policy priorities, which, on their own, could increase federal deficits. To offset the costs of funding those priorities, both chambers are considering alternative spending cuts, including several options targeting federal retirement and health benefits. These proposed changes either reduce the value of the hard- earned federal retirement benefits, effectively decrease the pay or overall compensation of current federal employees, undercut the merit-based system that ensures a nonpartisan civil service, or combine the aforementioned elements.
The current House Budget Resolution would require at least $50 billion in cuts in mandatory spending under the jurisdiction of the House Committee on Oversight and Government Reform, whose primary source of cuts would come from federal retirement and health benefits. Options laid out by the House Budget Committee include limiting the government contribution towards health benefits via the Federal Employees Health Benefits (FEHB) program, forcing employees and retirees to pay substantially more out of pocket, increasing employee contributions into the Federal Employee Retirement System (FERS) with no added benefit, reducing the rate of return on the Thrift Savings Plan’s G Fund, ending the FERS annuity supplement, and calculating retirement benefits based on the high-5 rather than the high-3 years of salary.
We need your help in fighting back against such cuts. Contact your representative and senators today to urge them to oppose these budget proposals that wrongly scapegoat the federal community that so selflessly served this country. Let your voices be heard, and demand that your hard-earned benefits and retirement security be safeguarded!