2/1/10: In keeping his commitment to NTEU and congressional leaders, President Obama requested pay parity in his budget recommendation for 2011 for both the military and federal civilian personnel. NTEU has long supported pay parity between federal employees and military personnel, a principle that has been followed for most years in the past two decades.

While the level of the proposed average raise ― 1.4 percent ― is low this year, it does reflect the change in the Employment Cost Index (ECI) in wages and salaries for private sector workers as measured by the Bureau of Labor statistics of the Department of Labor. The ECI is the reference point for the Federal Employees Pay Comparability Act. This law became effective in 1994, and was designed to close, in stages, the gap between public and private sector pay. It has not, however, been implemented as intended, and the gap, as measured by the Federal Salary Council, now stands at 26 percent in favor of the private sector. We need to close that gap if federal agencies are to compete effectively for the quality personnel they need.

NTEU is committed to continuing to work with our colleagues in the military on this pay recommendation. We will work to ensure that parity continues and to explore possibilities of increasing the pay amount as the White House proposal moves through the legislative process. Meanwhile, the President has proposed a freeze for 2011 political appointees and members of the White House staff.

In addition, at a time when many federal agencies' budgets will be frozen for the coming year, the President's budget includes a $123 million increase for the SEC and an increase of approximately 374 positions at the agency. The additional funding will make it possible for the SEC to reverse its negative policies on human capital issues over the past couple of years, including by returning to full funding of merit pay, returning to full funding of the student loan repayment program and finally fulfilling the SEC's 2006 promise to provide an increased retirement match to its employees in accordance with the 2002 Pay Parity statute. Of course, whether senior management at the SEC is willing to commit to make these important changes remains to be seen.

Be assured that NTEU will continue to monitor these important provisions as the budget process unfolds.