Tags: Barack Obama | Obama | freeze | pay | federal workers

Obama to Freeze Federal Workers' Salaries for Two Years

Monday, 29 Nov 2010 11:33 AM

 

WASHINGTON — President Barack Obama is announcing a two-year pay freeze for federal employees Monday, a move White House officials say is the first of many difficult decisions that must be made to reduce the nation's mounting deficit.

The freeze will apply to all civilian federal employees, including those working at the Department of Defense, but will not affect military personnel, the White House said. The freeze is expected to result in more than $5 billion in savings over two years, said Jeffrey Zients, a deputy director at the Office of Management and Budget.

That would make only a small dent in the $1 trillion-plus budget deficit. But with voters voicing their anger over Washington's spending during the midterm elections, even a symbolic gesture could demonstrate the White House got the message.

Although the freeze is necessary in order to put the country on sound fiscal footing, the president recognizes the impact it will have on federal employees, Zients said.

"The president is clearly asking them to make a sacrifice," he said. "We believe it is the first of many difficult steps ahead."

The chairman of Obama's bipartisan deficit commission has proposed a three-year freeze in pay for most federal employees as part of its plan to reduce the nation's growing deficit. The commission's final report is to be released this week.

Shortly after taking office in January 2009, Obama froze salaries of top White House aides. He proposed extending that freeze to political appointees across the government in last year's budget, and also eliminated bonuses for political appointees.

© Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Official: 3 US Contractors Killed in Kabul 'Insider Attack'

Thursday, 29 Jan 2015 15:32 PM

Three American contractors were killed in an apparent insider attack at Kabul airport on Thursday, a US defense offici . . .

Despite Deep Hole, Dems Optimistic About Taking the House

Thursday, 29 Jan 2015 15:18 PM

As House Democrats are huddling in Philadelphia at a two-day strategy meeting, two questions trump all others - can they . . .

WaPo: Obamacare Case Centers On 'What Does Ben Nelson Want'

Thursday, 29 Jan 2015 14:50 PM

Former Democrat Nebraska Sen. Ben Nelson is at the center of a Supreme Court challenge to the Affordable Care Act over t . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved