Federal Employees Can Expect Cuts to Pay, Benefits

Federal retirement benefits and paychecks are almost certain to take a hit with the passage of any deficit reduction deal, according to John Gage, national president of the American Federation of Government Employees. Although the details are sketchy right now, federal employees could possibly expect an increase in paycheck contribution to the pension programs, a change in the way the cost of living is calculated and basing pensions on an employee’s highest five salaries instead of three. Read more (Federal Times).