Bush proposes 1.7% raise for fed workers(says raise will motivate, reward)

[Herman Munster]

http://www.govexec.com/story_page.cfm?articleid=34917&dcn=todaysnews

President Bush let an Aug. 31 deadline pass without submitting an alternative across-the-board 2007 pay raise for white-collar federal employees, providing a de facto endorsement for a 1.7 percent raise.

A formula in the 1990 Federal Employees Pay Comparability Act sets the across-the-board increase at 0.5 percentage points less than the annual change in the Employment Cost Index at the end of the preceding September. This year, that number amounts to 1.7 percent. It does not include additional locality pay, which is determined using a different formula.

The president proposed a 2.2 percent pay hike in his fiscal 2007 budget, including locality pay, though he did not determine how much of that would go toward the local pay hikes. The president has until Nov. 30 to submit a plan for locality increases.

"The president's budget provides a pay raise for civilian employees that is designed to recruit, retain, reward and motivate a top federal government workforce," Office of Management and Budget spokeswoman Andrea Wuebker said. "The administration is not taking any action on an alternative pay plan at this time."

[warrior1]

1. Where's he pulling this 'raise'

out of?