Out of Touch: The President Gives Fed Employees a Pay Increase

Dec 29, 2012

President Barack Obama showed us again Friday,  that he and his administration are out of touch with America. He issued an executive order to end the pay freeze on federal employees—from Joe Biden to the members of Congress,  to top level executive branch employees—in April they will get a .5% raise.

Daniel Halper of the Weekly Standard, gives us more on this story:


If the Feds were a company , they’d be bankrupt. It starts with the Stimulus bill.  It was supposed to be a one time spending of more than $800 billion dollars.  But have you seen that money go away.  The deficits remain at record levels but we are spending that money every year.  In actuality it’s been more than $3.2 billion and no signs of actual cuts.  We ought to start with “zeroing out” that money in perpetuity.    In addition, the President keeps playing a shell game by re spending savings from Iraq and Afghanistan and calling them cuts—this balance sheet would never make it in the real world.

Halper writes, “According to disclosure forms, Biden made a cool $225,521 last year. After the pay increase, he’ll now make $231,900 per year.

Members of Congress, from the House and Senate, also will receive a little bump, as their annual salary will go from $174,000 to 174,900. Leadership in Congress, including the speaker of the House, will likewise get an increase.”

Call or write your congressman.  I’ve already written mine.  Tell them to vote to rescind this order or to make a movement to give all this money to charity.  If you look at the lists of employees getting raises, it’s mostly the political appointee class of workers with in the federal government.  So Obama is taking care of his friends, while throwing in an increase for the electeds in the House and Senate, including Republicans, so he can hang them on this.



Halper goes on to report and update the story:

new executive order has been issued providing for a new pay schedule beginning ‘on the first day of the first applicable pay period beginning after March 27, 2013,’” reports “The pay raise will generally be about 1/2 of 1%.”

Jeryl Bier points to an example of the pay increase for average government executives:


“Not much of an increase, but an increase all the same,” Bier notes.

And the timing isn’t great either: Just as President Obama and Congress try to avert going over the “fiscal cliff,” he doles out pay increases to federal workers.

UPDATE: According to a senior Republican congressional aide who has reviewed the executive order and consulted with the Congressional Budget Office, Obama’s pay raise will cost $11 billion. “The CBO told us that the President’s pay raise for federal workers will cost $11 billion over ten years,” says the aide.

The aide explains, “On the cost-estimate, CBO says the (discretionary) cost of the .5% pay-hike the President is calling for in the Exec Order – relative to a freeze – is about $500m in FY 2013 and $11 billion over the ten years from FY 13 – FY 22.  The reason why the FY ’13 savings is only $500 million is because the pay hike as proposed by the President’s Exec Order would not go into effect until April 1st, 2013 – when the current CR expires. So it only covers half the fiscal year. The annualized cost of the pay hike is about $1 billion/year.”


Folks, this is real money.  I campaigned on the MAP for Prosperity, and one of the planks was that if Congress didn’t balance a budget, they ought to get a 15% pay cut.  I stand by that today.


Tags: More Related Info