DoD Conference Report Includes Federal Issues—Add One

For Immediate Release Contact: Dina Long

October 7, 2009 (202) 572-5500, ext. 7058

Kelley Applauds House-Senate DoD Conferees On

Inclusion of Federal Employee Issues in Report

Washington, D.C.—The leader of the nation’s largest independent union of federal employees today applauded inclusion of language in the Defense Authorization conference report that allows federal employees under the Federal Employees Retirement System (FERS) to get credit for their unused sick leave. The report also repeals the authority for the National Security Personnel System (NSPS) and includes several other provisions of importance to federal workers and retirees.

President Colleen M. Kelley of the National Treasury Employees Union (NTEU), which has been working hard for some time to see these matters become law, said “NTEU is appreciative of the hard work of so many congressional supporters in addressing an issue that has great importance to all the employees in the FERS system.”

The conference report includes language that would give those workers covered under FERS the ability to count sick leave toward their retirement calculation; that would match the right long-held by those covered under the Civil Service Retirement System (CSRS). This will be phased in over four years with a 50 percent credit through Dec. 31, 2013, and a 100 percent credit beginning Jan. 1, 2014.

In addition, the report language would correct an anomaly in the CSRS which penalizes federal employees who choose part-time work toward the end of their career by not calculating their pension correctly. In a very real sense, that hurts agencies as well, since it can deprive them of the expertise of employees who wish to continue working prior to retirement, but not on a full-time basis.

The conference report also would allow FERS employees who return to federal service to redeposit their annuities and receive credit for years of service; and it would convert the non-foreign cost-of-living adjustment system to a locality pay system over several years. This would have the effect of improving retirement benefits for federal employees in outlying areas.

President Kelley specifically noted the work of these congressional leaders in helping ensure the inclusion of these provisions in the conference report: House Majority Leader Steny Hoyer (D-Md.); Reps. Ike Skelton (D-Mo.), Chris Van Hollen (D-Md.), Stephen Lynch (D-Mass.), Edolphus Towns (D-N.Y.) and James Moran (D-Va.); as well as Sen. Daniel Akaka (D-Hawaii).

President Kelley said she was also pleased the report repeals the authority for NSPS and requires the transition of NSPS employees to existing personnel systems. “By this action, the conferees have declared NSPS to be a failure. As long as NSPS was in place there was a danger that such flawed practices could be adopted throughout government.”

As the largest independent federal union, NTEU represents 150,000 employees in 31 agencies and departments.

For more information, visit www.nteu.org

Additional contacts: Sheila McCormick, Mike Drapkin, (202) 572-5500