NAPS Resident Officers Send Letter to House Committee Objecting to Retirement Cuts Scheduled for April 30 Vote

On Friday night, April 25, the House Committee on Oversight and Accountability circulated to its members legislation to increase FERS contributions, reduce CSRS and FERS annuities, eliminate the FERS Supplemental Annuity and impose a fee to appeal adverse actions to the Merit Systems Protection Board. The draft includes several other provisions that impact federal employees, but do not appear to directly affect USPS employees at this time. The committee has scheduled a vote on the provisions for Wednesday, April 30.

On Monday, April 28, on behalf of the 47,000 USPS supervisors, managers and postmasters, NAPS President Ivan Butts, Executive Vice President Chuck Mulidore and Secretary Treasurer Jimmy Warden electronically sent letters to each member of the Oversight and Accountability panel in opposition to the legislation. For your convenience, here is the link to an unaddressed version of the letter. The Federal-Postal Committee, of which NAPS is a founding member, is sending a separate letter.

If the committee approves the language, the provisions would be folded into a yet-to-be numbered "reconciliation bill" and voted upon by the House of Representatives by the Memorial Day recess (May 23). In part, the NAPS letter pointed out that the legislation would unfairly reduce the take-home pay of USPS employees hired prior to 2013 by 3.6% and those hired in 2013 by 1.3%. In addition, the reconciliation language would reduce the earned annuity of CSRS and FERS covered employees by changing the basis for retirement from the average of the highest 3 earning years to the highest 5. The new formula would be effective for those retiring after the date of enactment.The legislation would also eliminate a temporary financial safety levy for FERS-covered employees who are eligible for a FERS annuity but are too young to qualify for Social Security. Finally, the letter objected to an MSPB user-fee for simply seeking due process to correct an adverse action.

NAPS members should be vigilant and be prepared to fight these proposed cuts.