Office of Personnel Managment Proposes Retirement Cuts and Senate Panel Approves Two USPS Board Of Govenor Nominees
Posted by User Not Found on 05/10/18
On May 4, the White House Office of Personnel Management (OPM) proposed $143.5 billion in cuts to federal-postal retirement programs. In a letter to House Speaker Paul Ryan, OPM Director Jeff Pon transmitted a legislative proposal that would increase employee contributions to 7.25% within the next 5 years (most UPMA members currently contribute .8%), increase the period of service used to compute annuities from 3 years to 5 years for new retirees, reduce the Civil Service Retirement System COLA by .5%, eliminate the Federal Employee Retirement System (FERS) COLA, and eliminate the FERS annuity supplement for new retirees and survivor annuitants. Generally, OPM's legislative package reflects the items included in the White House Fiscal Year 2019 budget proposal, submitted to Congress earlier this year. It is unclear if the the Administration's proposal will be added to pending legislation, introduced as free-standing bill, included in a reconciliation bill, or considered at all. You can be sure that UPMA will be fighting this latest attempt to cut UPMA benefits. It is important that UPMA members contact their Representatives to oppose the OPM proposal.
On May 7, the Senate Homeland Security and Governmental Affairs Committee approved the nominations of former USPS Inspector General David Williams and former Tennessee Valley Authority Chairman Robert Duncan for the USPS Board of Governors. The next step in the process is a confirmation vote by the full Senate that has yet to be scheduled, but could come up at any time.