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Daily Dose: House Legislation Extends Pay Freeze & Retirement Contributions for Feds

We’re in full throttle mode for the holiday season, and this year the House is playing the role of Grinch for federal employees. The Washington Post reports:

Just in time for Christmas, Hanukkah and Kwanzaa, the House passed legislation Tuesday that would continue to take thousands out of the pockets of the federal workforce.

The legislation would offset a one-year continuation of the payroll tax holiday in part by adding 12 months to the two-year freeze on federal employees’ base pay. Employees also would have to pay more toward their retirement under the measure, which the House passed largely along party lines, with Republicans wearing the Grinch suits.

With the passing of this legislation, the prospects of a government shutdown become more of a possibility, as Republicans and Democrats spar over legislation that will fund the government through the rest of 2011. The Post reports “A government shutdown would be devastating for federal workers at agencies where funding has not yet been approved by Congress,” said William R. Dougan, president of the National Federation of Federal Employees. “A shutdown would lead to furloughs and missed paychecks for thousands of federal employees at a time when they can least afford it. Federal workers shouldn’t have to spend the holidays worrying about how to make their next mortgage payment simply because Congress can’t get its act together. Federal employees, and indeed all Americans, deserve better from their government.”

Here is hoping that a shutdown is avoided and Congress is able to pass legislation to fund the government through the holidays and work towards some long term solutions, and not quick fixes.

Are you worried about another pending shutdown? Are/How are you preparing?

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