Trump says civilian government employees won't receive raises in 2019, citing budget strain

[Zippyjuan]

https://www.cnbc.com/2018/08/30/trump-says-government-wont-give-civilian-employees-raises-in-2019.html

Meanwhile the tax cuts will be adding $1 trillion to the debt over the next ten years. The wall he wants will also cost more than this will save. Seems to be a political move before the upcoming elections- claiming to reduce spending while the deficits soar. This will almost offset his increases in military spending. The 2019 deficit is expected to top $1 trillion so "fiscal responsibility" is a long ways off.


President Donald Trump said Thursday that civilian employees of the federal government will not receive raises in 2019.

In doing away with the 2.1 percent across-the-board pay increase that was scheduled to take effect in January, Trump said he was working "put our Nation on a fiscally sustainable course."

Scrapping the raises will save more than $25 billion, Trump said.

"I have determined that for 2019, both across the board pay increases and locality pay increases will be set at zero," the president said in a letter addressed to Speaker of the House Paul Ryan, R-WI, and released by the White House. "These alternative pay plan decisions will not materially affect our ability to attract and retain a well qualified Federal workforce."

Congress could still authorize a raise despite Trump's letter. Lawmakers have yet to reach an agreement, and have until the end of the year to do so.

The Trump administration proposed $143.5 billion in cuts to federal employee compensation in May, including substantial decreases in retirement funding. Also that month, Trump signed three executive orders that made it easier to fire civilian employees and put new limits on union activity. A federal judge invalidated many of the provisions in those executive orders on Saturday.

In contrast to civilian employees, troops are due for a 2.6 percent pay increase next year. Trump has touted the military pay bump, which was authorized by a giant $716 billion defense bill he signed earlier this month.

Trump has promised that he would reduce the federal deficit and balance the nation's budget, though his administration's policies have largely done the opposite. The president's tax and spending reforms are slated to add more than $1 trillion to the deficit over ten years, according to government figures. Supporters of the president's tax plan claimed the bill would pay for itself.

The politics of the pay freeze could be dicey. While the president has railed against the Washington "swamp," less than 20 percent of the nation's nearly 2 million civilian full-time federal employees live in the D.C. metropolitan area, according to the Office of Personnel Management.


The move could also further imperil Rep. Barbara Comstock, R-VA., a vulnerable incumbent whose district is home to tens of thousands of government employees. In a statement, Comstock said that that she would attempt to re-instate the pay increase through legislative action.

The government "cannot balance the budget on the backs of our federal employees," she said.

[Swordsmyth]

Good, now let's cut their pay and fire most of them!

[phill4paul]

Boo-hoo?

[spudea]

tax cuts and cutting spending, nice! Thanks Zippy.

[Zippyjuan]

https://www.cbsnews.com/news/u-s-budget-deficit-this-year-already-21-higher-than-last-year/


U.S. budget deficit this year already 21% higher than last year

August 10, 2018

The federal government racked up a $76.9 billion deficit in July, with increased government spending and tax cuts keeping the country on track to record its biggest annual deficit in six years.

The Treasury Department reported Friday that in the first 10 months of this budget year:

The deficit totaled $684 billion, up 20.8 percent from the same period last year.

Revenues are up only 1 percent this year, the increase held back by a big drop in corporate tax payments.

Spending is up 4.4 percent, reflecting a big boost Congress approved earlier this year for domestic and military programs and the rising costs of financing the debt.

The Trump administration last month sharply revised upward its deficit estimates, projecting annual deficits will once again top $1 trillion in the 2019 budget year, climbing to $1.1 trillion, and remaining above $1 trillion for three years.

For the current budget year, which ends Sept. 30, the administration is now projecting a deficit of $890 billion. That would be up 33.7 percent from last year's deficit of $665.8 billion.


Last time we had $1 trillion deficits was during the Great Recession. They had fallen to just over $400 billion but have been soaring again.

http://www.msnbc.com/sites/msnbc/files/styles/embedded_image/public/7.18.13.png?itok=-dU0X24g

[tod evans]

Good, now let's cut their pay and fire most of them!

^^^^^^^^^^^ This! ^^^^^^^^^^

[Danke]

5 Stars

[Swordsmyth]

^^^^^^^^^^^ This! ^^^^^^^^^^

https://s.yimg.com/uu/api/res/1.2/t_QP2Cs2gf7j0SxpRXGLGQ--~B/Zmk9c3RyaW07aD0xOTM7cHlvZmY9MDtxPTk1O3c9MjIwO3NtPT E7YXBwaWQ9eXRhY2h5b24-/http://media.zenfs.com/en-GB/homerun/digital_spy_281/9a8605bee5af3506842cc293f6864c59

[DamianTV]

https://www.theepochtimes.com/trump-announces-pay-increase-freeze-for-federal-employees_2637404.html


President Donald Trump announced on Aug. 30 that to save taxpayers money pay increases for federal employees will not go into effect as they were slated to in January 2019.

Under the current law, federal employees would have gotten an across-the-board increase of 2.1 percent starting in January 2019. Employees who also get a percentage added on based on their location will not see an average 26 percent increase to their locality pay in the new year, which would have cost the federal government an estimated $25 billion.

“We must maintain efforts to put our nation on a fiscally sustainable course, and federal agency budgets cannot sustain such increases,” Trump wrote in a letter to members of Congress. “Accordingly, I have determined that it is appropriate to exercise my authority to set alternative across-the-board and locality pay adjustments for 2019.”

Instead of giving across-the-board increases, which he says don’t address pay disparities or accomplish mission or retention goals, he wants to move to a merit-based system that rewards employees for their performance.

...

This is quite major, so I actually hope this has been posted multiple times. Its a strong indicator the economy has some major problems and we are all at risk.

---

NOTE: Edited Title for more clarification.

[Swordsmyth]

Trump says civilian government employees won't receive raises in 2019, citing budget strain (http://www.ronpaulforums.com/showthread.php?525939-Trump-says-civilian-government-employees-won-t-receive-raises-in-2019-citing-budget-strain)

[Philhelm]

Good, now let's cut their pay and fire most of them!

Keep talking, I'm almost there!

[Zippyjuan]

https://www.whitehouse.gov/briefings-statements/text-letter-president-speaker-house-representatives-president-senate-32/


Dear Mr. Speaker:

I am transmitting an alternative plan for pay adjustments for civilian Federal employees covered by the General Schedule and certain other pay systems in January 2019.

Title 5, United States Code, authorizes me to implement alternative plans for pay adjustments for civilian Federal employees covered by the General Schedule and certain other pay systems if, because of “national emergency or serious economic conditions affecting the general welfare,” I view the increases that would otherwise take effect as inappropriate.

Under current law, locality pay increases averaging 25.70 percent, costing $25 billion, would go into effect in January 2019, in addition to a 2.1 percent across-the-board increase for the base General Schedule. We must maintain efforts to put our Nation on a fiscally sustainable course, and Federal agency budgets cannot sustain such increases. Accordingly, I have determined that it is appropriate to exercise my authority to set alternative across-the-board and locality pay adjustments for 2019 pursuant to 5 U.S.C. 5303(b) and 5304a.

Specifically, I have determined that for 2019, both across‑the‑board pay increases and locality pay increases will be set at zero. These alternative pay plan decisions will not materially affect our ability to attract and retain a well‑qualified Federal workforce.

As noted in my Budget for Fiscal Year 2019, the cost of employing the Federal workforce is significant. In light of our Nation’s fiscal situation, Federal employee pay must be performance-based, and aligned strategically toward recruiting, retaining, and rewarding high-performing Federal employees and those with critical skill sets. Across-the-board pay increases and locality pay increases, in particular, have long-term fixed costs, yet fail to address existing pay disparities or target mission critical recruitment and retention goals.

The adjustments described above shall take effect on the first day of the first applicable pay period beginning on or after January 1, 2019.

Sincerely,

DONALD J. TRUMP

If we are having such " serious economic conditions affecting the general welfare" I guess he will have to give up on that wall he wants. The budget cannot sustain such increases.


We must maintain efforts to put our Nation on a fiscally sustainable course,

Does that mean he wants to repeal the tax cuts?

[RJB]

They make a lot of money. Very few people have as good retirement, medical, and other benefits as government workers. No one has as much job security-- It's almost impossible to get fired. And you don't have to work very hard.

Trump has some cajones. However, they will try to shame Trump. Because I don't think government employees would like to debate this openly. It may end the good deal that they have. But who knows. Greed does weird things to people.

[RJB]

Poor Zippy won't get a raise.

[Swordsmyth]

Keep talking, I'm almost there!
Right now there is a judge trying to stop changes Trump ordered that would make it easier to fire them, hopefully he will be overruled:

Court strikes down Trump measures on firing federal workers (http://www.ronpaulforums.com/showthread.php?525781-Court-strikes-down-Trump-measures-on-firing-federal-workers)

Trump has yet to do enough to make me really happy but I hope he will be able to do more, in any case he is better than any president in a long time and is moving the overton window in our direction.

[DamianTV]

They make a lot of money. Very few people have as good retirement, medical, and other benefits as government workers. No one has as much job security-- It's almost impossible to get fired. And you don't have to work very hard.

Trump has some cajones. However, they will try to shame Trump. Because I don't think government employees would like to debate this openly. It may end the good deal that they have. But who knows. Greed does weird things to people.

Agreed.

Govt sector is paying much much better than the private sector right now, as far as civilians go. Their wages have been going up, ours have been flatlined. Could be an indication that those at the bottom paying the taxes to go into the federal employees pockets are tapped out.

[oyarde]

Suspend those raises through his entire term.

[DamianTV]

Govt appears to abuse its power over everything, Monopoly of telling people what they cant do, but they can! Why the hell do they need so many employees anyway?

[Danke]

Government is so big now. Employees and their voting dependents are huuuuge. Trump will be a one termer with this.

[Swordsmyth]

Government is so big now. Employees and their voting dependents are huuuuge. Trump will be a one termer with this.

None of them were going to vote for him anyway.

[Danke]

None of them were going to vote for him anyway.


There are actually quite a few Republicans in Federal Government.

[Swordsmyth]

There are actually quite a few Republicans in Federal Government.

But would they ever vote for Trump?

[dannno]

Poor Zippy won't get a raise.

/thread

[Danke]

But would they ever vote for Trump?


Don't know, have you asked Zip?

[Swordsmyth]

Don't know, have you asked Zip?
I don't think zip is a Republican, he's not even a RINO.

[Anti Globalist]

The alpha male president strikes again.

[Zippyjuan]

The alpha male president strikes again.

It is because of the "urgent economic crisis" the country is in.

https://www.whitehouse.gov/briefings-statements/text-letter-president-speaker-house-representatives-president-senate-32/


because of “national emergency or serious economic conditions affecting the general welfare,”

He is worried about "fiscal responsibility" while ratcheting up $trillion deficits.


We must maintain efforts to put our Nation on a fiscally sustainable course, and Federal agency budgets cannot sustain such increases.

[Danke]

I don't think zip is a Republican, he's not even a RINO.


He works with them, we all know he is left of Bernie.

[Swordsmyth]

He works with them, we all know he is left of Bernie.

But would they admit to him that they would vote for Trump?
He seems like the type that would fink them out if they did.

[Danke]

But would they admit to him that they would vote for Trump?
He seems like the type that would fink them out if they did.


True, true.

[asurfaholic]

But who will build the roads ?

[TheCount]

Except the 2.6% military raise, you mean. So only 2 million federal employees will get raises.

[Swordsmyth]

Except the 2.6% military raise, you mean. So only 2 million federal employees will get raises.

So you get a raise and zippy doesn't?

[TheCount]

So you get a raise and zippy doesn't?
Correct; it's unfair.

[EBounding]

I'll make the bold prediction that Trump won't follow through on this.

[Pauls' Revere]

Trump says civilian government employees won't receive raises in 2019, citing budget strain (http://www.ronpaulforums.com/showthread.php?525939-Trump-says-civilian-government-employees-won-t-receive-raises-in-2019-citing-budget-strain)

I heard the DoD got raises. (unconfirmed)

[Swordsmyth]

I heard the DoD got raises. (unconfirmed)

That is the case I believe.

[Anti-Neocon]

So the most fiscally irresponsible President ever creates huge deficit problems with his spending increases and tax cuts (benefiting people like himself), and then uses it to cut pay for people who were already promised raises, and our rah rah Trumpkin crowd over here cheers it on.

Unbelievable.

[specsaregood]

So the most fiscally irresponsible President ever creates huge deficit problems with his spending increases and tax cuts (benefiting people like himself), and then uses it to cut pay for people who were already promised raises, and our rah rah Trumpkin crowd over here cheers it on.

Unbelievable.

Just speaking for myself, but I will always cheer for anybody that cuts the pay or in this case refuses to raise the pay of government leeches. if they want a pay raise, let them seek out a job in the private marketplace. Even without the pay raise, they are still making roughly double of people in the private sector.

[PierzStyx]

https://www.whitehouse.gov/briefings-statements/text-letter-president-speaker-house-representatives-president-senate-32/


Dear Mr. Speaker:

I am transmitting an alternative plan for pay adjustments for civilian Federal employees covered by the General Schedule and certain other pay systems in January 2019.

Title 5, United States Code, authorizes me to implement alternative plans for pay adjustments for civilian Federal employees covered by the General Schedule and certain other pay systems if, because of “national emergency or serious economic conditions affecting the general welfare,” I view the increases that would otherwise take effect as inappropriate.

Under current law, locality pay increases averaging 25.70 percent, costing $25 billion, would go into effect in January 2019, in addition to a 2.1 percent across-the-board increase for the base General Schedule. We must maintain efforts to put our Nation on a fiscally sustainable course, and Federal agency budgets cannot sustain such increases. Accordingly, I have determined that it is appropriate to exercise my authority to set alternative across-the-board and locality pay adjustments for 2019 pursuant to 5 U.S.C. 5303(b) and 5304a.

Specifically, I have determined that for 2019, both across‑the‑board pay increases and locality pay increases will be set at zero. These alternative pay plan decisions will not materially affect our ability to attract and retain a well‑qualified Federal workforce.

As noted in my Budget for Fiscal Year 2019, the cost of employing the Federal workforce is significant. In light of our Nation’s fiscal situation, Federal employee pay must be performance-based, and aligned strategically toward recruiting, retaining, and rewarding high-performing Federal employees and those with critical skill sets. Across-the-board pay increases and locality pay increases, in particular, have long-term fixed costs, yet fail to address existing pay disparities or target mission critical recruitment and retention goals.

The adjustments described above shall take effect on the first day of the first applicable pay period beginning on or after January 1, 2019.

Sincerely,

DONALD J. TRUMP


If we are having such " serious economic conditions affecting the general welfare" I guess he will have to give up on that wall he wants. The budget cannot sustain such increases.



Not the only sign of the oncoming economic crisis either. His $12 billion dollar bailout of farmers who are being destroyed by his tariff policies is another huge sign of a coming economic crisis.


Trump administration officials are working to finalize the details of the aid program—which will benefit farmers caught in the crossfire of the trade war with China—by the U.S. midterm elections in November.

The idea is to use a combination of price supports for depressed crops, purchases of surplus commodities, and assistance in promoting exports.

“A bad tariff policy shouldn’t be used to justify other bad policies,” said Daren Bakst, an agricultural expert at the Heritage Foundation.

The unusually large aid program, which has been in the works since China first threatened to curb purchases of U.S. farm products in retaliation for U.S. tariffs, marks the administration’s latest use of decades-old legislation enacted by past presidents to advance its economic policy.

To justify tariffs on China, it relied on Kennedy- and Nixon-era legislation. The administration is using 70-year old Truman-era laws on energy and national security to prop up the coal sector. The farm bailout comes directly from President Franklin D. Roosevelt’s Great Depression-era aid programs.

https://foreignpolicy.com/2018/07/31/trumps-12-billion-bailout-no-i-remedy-for-farmers-caught-in-trade-war/

Notice too that all of Trump's economic plans seem to be based on either Progressive Democrats -JFK, Truman, FDR(!)- but also big government Republicans like Nixon. His supporters are supporting the policies of big government Progressive Democrats.

[timosman]

Just speaking for myself, but I will always cheer for anybody that cuts the pay or in this case refuses to raise the pay of government leaches. if they want a pay raise, let them seek out a job in the private marketplace. Even without the pay raise, they are still making roughly double of people in the private sector.

For taking good care of us. :D

[phill4paul]

Lol. Trump freezes the wages of tax ticks. NeverTrumpers be all like....he sucks soooo bad! :check:

[timosman]

huge sign of a coming economic crisis.

I would say the concerns are overblown. :cool:

[timosman]

Lol. Trump freezes the wages of tax ticks. NeverTrumpers be all like....he sucks soooo bad! :check:

and also such a poor moral character. :cool:

[Madison320]

I'll make the bold prediction that Trump won't follow through on this.

Yeah, that was my first thought when I heard it.

[Madison320]

So the most fiscally irresponsible President ever creates huge deficit problems with his spending increases and tax cuts (benefiting people like himself), and then uses it to cut pay for people who were already promised raises, and our rah rah Trumpkin crowd over here cheers it on.

Unbelievable.

I agree except for the tax cuts at the high end. Progressive taxation is immoral and happens to be the second plank of the communist manifesto. I'm in favor of any cuts at the high end. Laws should be the same for everyone. We should all pay the same rate. The problem is that Trump also increased the individual deduction which greatly lowers tax rates at the low end.

[TheCount]

I heard the DoD got raises. (unconfirmed)

Sort of. The NDAA giving them the raise has been approved but not the budget providing the money to give them the raise.

[AZJoe]

Budget Strain - but not so strained that they don't still have room for:


A $38 billion dollar foreign welfare (aid) package to Israel
Record breaking military budget and budget increases
$4.4 trillion dollar budgets
Trillion Dollar+ deficits
Worldwide military deployments and operations
Illegally bombing Syria and threatening to do it again
Trade war with the rest of the war and sanctions or threatened sanctions on half the world
Funding the world's largest, most invasive total surveillance police state apparatus
.....

[nobody's_hero]

Civilian contractors are way overpaid. There's nothing they do on military installations that active members of the armed forces couldn't do for much cheaper. But that's how the game goes. You do a few years in the military, then you get out and go to work on a base somewhere making twice or more what you were paid while you were enlisted.

[r3volution 3.0]

Trump says civilian government employees won't receive raises in 2019, citing budget strain

That's nice, but also rich coming from someone who's pushed for and signed into law huge spending increases.

It appears that Der Leader's policy is to redistribute funds from perceived foes to perceived friends, contra cut spending in general.

...i.e. fairly typical politician behavior.

[RJB]

It's interesting to see who on this forum is upset by this news or has something negative to say. No surprises really.

[Danke]

It's interesting to see who on this forum is upset by this news. No surprises really.

Yep, but we figured that out a while ago.

[AZJoe]

https://scontent-sjc3-1.xx.fbcdn.net/v/t1.0-9/40579250_2221874304712839_860463532016140288_o.jpg ?_nc_cat=0&oh=6fd776d8599e531a7b68c33d76d89451&oe=5C2A097D

[TheCount]

Civilian contractors are way overpaid. There's nothing they do on military installations that active members of the armed forces couldn't do for much cheaper. But that's how the game goes. You do a few years in the military, then you get out and go to work on a base somewhere making twice or more what you were paid while you were enlisted.

Contractors are not federal employees and their raises are unaffected by this.