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Warner, Kaine, Van Hollen Introduce Budget Amendments To Protect Federal Workers And Contractors

WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) and Sen. Chris Van Hollen (D-MD) – all members of the Senate Committee on the Budget – filed four amendments to the Fiscal Year 2020 budget resolution aimed at protecting federal employees and contractors. The amendments would put the Senate on the record in favor of preserving retirement security for federal employees, and providing back pay to service contractors affected by the recent federal government shutdown.

“Federal workers are the backbone of our government. If we want to recruit and retain top talent, we have to offer competitive pay and benefits, including retirement security,” said Warner, who added, “Though the shutdown itself may be over, for many federal contractors who went without pay for 35 days, the effects have been long-lasting. The Senate cannot forget about these workers, many of whom work paycheck to paycheck. We owe it to them to provide back pay.”

“This year, federal workers experienced the longest shutdown in history. Their finances were pinched and their families were hurt. As we look at next year’s budget, my priority is to ensure that we’re protecting federal workers against pay cuts, preserving their retirement security, and trying to secure back pay for the service contractors impacted by government shutdowns,” said Kaine.

“Our federal workers and federal contract employees provide crucial services to the American people. These amendments will protect the hard-earned paychecks and benefits of our federal employees and help secure back pay for contract workers harmed by the government shutdown,” said Van Hollen.

One amendment would ensure that federal workers are not shouldering more than their fair share of deficit reduction. This amendment would establish a scorekeeping rule that would prevent federal employees from being subject to increased retirement contributions meant to offset the cost of other, unrelated congressional spending. Despite there being no solvency concerns related to the Federal Employees Retirement System (FERS), Congress has repeatedly increased the required federal employee contribution rate without offering any additional benefit. Combined with years of pay freezes, the increased requirements have resulted in de facto pay cuts for thousands of hardworking federal employees.

Another amendment would preserve the retirement security of civil service employees by preventing further retirement benefit reductions and protecting the retirement plans that employees have spent decades building.

A third amendment would establish a deficit-neutral reserve fund to provide back pay to service contractors affected by the recent government shutdown. The shutdown caused more than 800,000 employees and thousands of contractors to go without pay for 35 days, and while affected federal employees were assured that they would be compensated for their missed wages, their contractor colleagues – who perform essential functions like cleaning, food service, and security – were not given that same guarantee. This amendment would put the Senate on the record in support of making these workers whole, following the record-breaking shutdown.

A fourth amendment would protect federal workers’ retirement benefits by striking a provision in the draft budget that could cut federal employees’ benefits by at least $15 billion.

Sens. Warner, Kaine, and Van Hollen have fiercely advocated for federal employees and contractors, especially during and following the government shutdown. In January, the Senators, along with several colleagues, introduced a bill to pay back federal contract workers after the shutdown. They also joined a bipartisan group of Senators earlier this month in urging the Senate Appropriations Committee to include contractor back pay in the upcoming disaster package. Additionally, the Senators pressed OMB in February for a timeline detailing the implementation of the 1.9 percent pay increase for federal employees that the Senators worked to pass into law earlier in the year.

The Senate Budget Committee is scheduled to begin its two-day markup on the FY20 budget resolution on Wednesday, March 27. Though nonbinding, the budget resolution provides a blueprint for future congressional action on federal programs.