Headlines about "Government plans - federal"
Gathered from the web by the editors at BenefitsLink.com.
Federal Employees' Retirement System: Legislation Enacted in the 111th Congress
10 pages. (U.S. Congressional Research Service via opencrs)
Federal Employees Have Fewer Health Insurance Choices This Year
Excerpt: "The Federal Employees Health Benefits Program typically includes an array of health insurance options. But this year the choices are more limited than before because 32 health insurance plans are leaving FEHBP or reducing their coverage across the country. 'It's kind of a disturbing trend,' said Dave Snell, retirement benefits service department director for the National Active and Retired Federal Employees Association. 'It cuts down on choices, for one, and the federal program is all about choice.'" (GovernmentExecutive.com)
Banner Year for Federal Benefits: One Other Big Benefit May Be On the Way
Excerpt: "Despite a deficit of $12 trillion or so, a major recession and unemployment of about 10%, this has been a banner year for federal employee benefits. With the passage of the Defense authorization bill into law, federal employees found themselves with a new list of benefits (or at least changes) including: . . . [Also,] you may find that you have the ability to rollover the cash value of your unused sick leave or annual leave balances that cannot be carried into the next year into your Thrift Savings Plan account." (FedSmith)
Critics Call Mutual Funds Option Too Risky for Federal Thrift Savings Plan Participants
Excerpt: "The 2009 Family Smoking Prevention and Tobacco Control Act includes a provision that could enable federal employees to invest their retirement money into mutual funds of their choice, in addition to the broad offerings currently available through the plan. Congress allowed, but did not mandate, that the TSP board create such an option; TSP administrators have said they haven't decided yet whether to implement it, and likely will wait until other upgrades are completed." (GovernmentExecutive.com)
[Guidance Overview] Federal Government Employees See Benefits Enhanced by Defense Authorization Act
Excerpt: "Workers under the Federal Employees Retirement System (FERS) will get credit for their length of service for unused sick leave. . . . Current employees under the CSRS retirement program will be able to transition into retirement (by working part-time) without lowering their pension payments. . . . Federal civil servants in Alaska, Hawaii, Puerto Rico and various U.S. territories will gradually trade in their tax-free cost of living allowances (worth up to 25 percent) and instead get locality pay based on similar private sector jobs in Anchorage, Honolulu or San Juan." (Washington Times)
U.S., Massachusetts Clash in Court Over Federal Benefits for Same-Sex Couples
Excerpt: "The United States government and Massachusetts are clashing over the issue of extending federal benefits to married same-sex couples, with the Obama administration arguing that the government is not obligated to provide benefits to gay couples." (Berkshire Eagle)
Congress Will Consider Option for Federal Workers to Contribute Unused Leave Toward Retirement Account
Excerpt: "Many federal employees lately have been thinking a lot about saving for retirement. One idea currently being kicked around inside the Beltway is allowing government workers to roll their unused annual leave into their Thrift Savings Plans. President Barack Obama endorsed the idea during his Labor Day radio address in September. 'The rules ought to be written to encourage people to save instead of discouraging them,' he said. . . . Congress currently is considering a separate proposal to allow workers in the Federal Employees Retirement System to count their unused sick leave toward their retirement annuities. That legislation affects only the defined retirement benefit portion of FERS, not the TSP, which operates as a defined contribution plan." (GovernmentExecutive.com)
Senate Sends Bill Ending Pentagon Pay-for-Performance System to President's Desk
Excerpt: "The Senate on Thursday approved the final version of the fiscal 2010 Defense authorization bill by a vote of 68-29, sending it to the president's desk. In addition to language dismantling the National Security Personnel System and allowing a military pay raise 0.5 percentage points higher than that requested by Obama, the measure contains significant changes to federal retirement law." (GovernmentExecutive.com)
Federal Agencies Challenge Employees to Lead a Healthier Lifestyle
Excerpt: "The president met with industry leaders in May to discuss strategies for improving employee health, and he directed the Office of Personnel Management to develop wellness best practices and a plan for the federal workforce. In response, OPM this summer announced its work-life campus initiative, a joint effort with the Federal Reserve Board, General Services Administration and Interior Department. The four agencies, located within blocks of one another, will develop and share facilities, possibly including green space and a healthy cafeteria." (GovernmentExecutive.com)
Legislation Would Keep Children in Federal Employee Health Benefits Program Longer
Excerpt: "Democratic leaders announced on Tuesday that the final House health care reform package will include a provision requiring all insurance plans -- including the Federal Employee Health Benefits Program -- to cover dependents up to age 27. FEHBP currently covers unmarried dependent children up to age 22." (GovernmentExecutive.com)
New Oversight Has Not Cut Approvals of L.I.R.R. Disability Claims
Excerpt: "A federal retirement agency approved nearly 100 percent of disability claims filed by workers for the Long Island Rail Road even after enacting changes meant to address chronic abuse of the public benefits system, a government review has found. The agency, the Railroad Retirement Board, which is the equivalent of Social Security for railroad workers, said last October that it would use greater oversight to examine claims filed by L.I.R.R. employees after reports in The New York Times that virtually every career L.I.R.R. employee applied for and received disability payments from the federal government. [Published October 8, 2009.]" (The New York Times; free registration required)
Supreme Court Grants Cert in Federal Employee Health Benefits Case
Excerpt: "[The U.S. Supreme Court has granted cert. in an employee benefits preemption case and it does] not involve ERISA. [As] reported by the SCOTUS blog: Docket: 09-38 Title: Health Care Service v. Pollitt Issue: Whether the Federal Employees Health Benefits Act, 5 U.S.C. ? 8902(m)(1), preempts a state court lawsuit filed against a government contractor administering such benefits." (Workplace Prof Blog)
Insurance Providers Dropping Out of Federal Employee Health Program
Excerpt: "OPM has provided agencies with a full list of changes to FEHBP health plans. Health care providers that are lowering coverage or dropping areas entirely are responsible for informing enrollees of those changes, McGettigan said, but agencies should follow up with employees anyway, in case insurers miss workers due to changes in contact information." (GovernmentExecutive.com)
Congress Extends Retirement Benefits for Tens of Thousands of Current and Former Civil Servants
Excerpt: "The Senate-House Defense Authorization Act contains three big legislative wins that were long shots just a few weeks ago. Lobbyists and aides to friendly Democratic and Republican legislators toned down the usual rhetoric last week while deals were made behind the scenes." (The Washington Times)
The Continuing Debate Over Adding a Mutual Fund Option to Federal Retirement Investment Plan
Excerpt: "[The passage in June of a tobacco regulation bill (H.R. 1256) included several measures affecting federal employees.] The House bill included sweeping changes to the Thrift Savings Plan, including a new Roth IRA feature, spousal accounts to ensure that survivors of TSP enrollees can maintain their funds, and an automatic enrollment provision that is expected to swell the ranks of plan participants. But the bill's most controversial reform was a measure allowing - but not requiring - the TSP's governing body to create a means for participants to put part of their investments in mutual funds." (GovernmentExecutive.com)
Federal Employees' Share of Health Coverage Costs to Increase in 2010
Premiums paid by employees under the Federal Employees Health Benefits Program will increase by an average of 8.8 percent in 2010. (Washington Post; free registration required)
Proposed Amendment Would End Federal Health Benefits Plan
Excerpt: "Several of the more than 500 amendments the Senate Finance Committee is facing as it begins a marathon markup of health care reform legislation would affect public servants' health coverage -- and one would end the federal government's health insurance program. The provision, offered by ranking member Sen. Charles Grassley, R-Iowa, would force civil servants to leave the Federal Employees Health Benefits Program and purchase insurance through the state-based health exchanges that are a centerpiece of the health reform bill. Employees would move to the exchanges beginning in 2013." (GovernmentExecutive.com)
Bill Introduced to Repeal the Federal Defense of Marriage Act
Excerpt: "Employers should take note, because, if enacted, the bill would significantly change the federally mandated benefits available to employees and their same-sex spouses. For example, employers with pension or 401(k) plans would be required to recognize same-sex spouses for purposes of determining the surviving spouse annuities or other death benefits under these retirement plans. The federal income tax treatment of health coverage for an employee's same-sex spouse would change such that employees would no longer have to be taxed on the income imputed for the employer's contribution to the same-sex spouse's coverage. Employers also would be required to permit employees to take family and medical leave to care for the illness of a same-sex spouse." (McDermott Will & Emery)
[Guidance Overview] OPM Proposal of Long-Term Care and Leave Benefits for Domestic Partners of Federal Employees
Excerpt: "EBIA Comment: As noted in the preamble to the proposed regulations, a majority of Fortune 500 companies, thousands of smaller companies, many colleges and universities, and other public-sector entities already provide same-sex domestic partners with a variety of benefits available to other family members. Although these OPM proposals do not affect other employers, they should be of general interest both to employers who currently provide domestic partner benefits and to those who are contemplating adding those benefits." (Employee Benefits Institute of America)
Health Coverage Not Universal for Federal Workforce
Excerpt: "The health insurance program that covers President Obama and members of Congress has been touted during the current debate as a model for overhauling the nation's health-care system. But one overlooked aspect of the Federal Employee Health Benefits Program is that many federal workers go without health insurance for themselves or members of their families. . . . It's not certain how many federal workers can't afford health insurance. Information from the Office of Personnel Management indicates 11 percent of the workforce does not participate in the program. (There are approximately 2 million civilian employees, not including postal workers.) Some of those nonparticipants probably have insurance through a spouse." (The Washington Post; free registration required)
U.S. Postal Service Offers $15,000 Buyouts to Cut Costs
Excerpt: "Up to 30,000 employees could take the offer at a total cost of about $450 million, the agency said Tuesday. The post office said it could save as much as $500 million in the next two years. The agency said it reached an agreement on the buyout offer with the American Postal Workers Union and the National Postal Mail Handlers Union. . . . The offer is open to those eligible for retirement and early retirement. It also includes employees in select positions, such as retail clerks, distributors and mail handlers who are willing to resign voluntarily." (San Francisco Chronicle)
Lessons for Health Reform from the Federal Employees Health Benefits Program (PDF)
10 pages. Excerpt: "Politically, the program as a model for reform has appeal across the spectrum. Conservatives like the program's reliance on private health plans and market competition. Liberals like the prospect of expanding to everyone the FEHBP's large-employer-style benefits, community rating, and close oversight of insurer pricing. However, it does not seem to be wise simply to open the existing FEHBP to non-federal enrollment nor feasible to precisely replicate the FEHBP and its national approach outside the context of federal employment. FEHBP experience suggests three main lessons for new reforms. First, selection issues can be severe and program altering. It seems very likely that stronger countermeasures will be needed for a new exchange than the FEHBP has as yet deployed. Second, it is challenging to maintain a wide spread of benefit packages for enrollees to choose among. Plausibly, better risk adjustment or other anti-selection mechanisms would assist in achieving this goal. Third, the FEHBP approach of negotiating with health plans and maintaining reserves that can be used to offset unexpected costs in a given year or temper year-to-year premium fluctuations is an alternative to direct public regulation of premiums." (Urban Institute)
How Aspects of the Nation's Largest Employer-Sponsored Health Plan Could Serve as a Model for Reform
Excerpt: "The paper offers three main observations for reformers, drawn from experience with FEHBP: 1. Because people outside of large employer groups are quite diverse in health status and income, they and their health risks are likely to be unevenly distributed across health plans. Strong countermeasures to make sure plans are not disproportionately saddled with the costliest clients will need to be identified. 2. It can be challenging to maintain a wide range of benefit packages for enrollees to choose among, and actions could be taken in this regard. 3. FEHBP's model of relating to health plans through negotiation is an alternative to conventional contracting, and is worth considering." (Robert Wood Johnson Foundation)
U.S. Postal Service Looks for Legislative Relief from Retiree Payments
Excerpt: "Separate bills are currently before the House and the Senate that would provide temporary relief and are nearing full votes, [Postmaster General] Potter said during a conference call with reporters . . . . 'We are working hard with the administration, the Senate and the House to get legislation passed to give us relief from our retiree health benefit payment,' he said. 'I am fairly confident that legislation action will be taken before the end of the year,' he said. However, if it isn't, Potter said postal delivery service will not be interrupted." (Haymarket Media)
House Panel Passes Amended Federal Employee Domestic Partner Benefits Bill
Excerpt: "In a party-line vote, a House subcommittee on Thursday passed a bill that would extend health care and other benefits to the partners of gay and lesbian federal employees, modifying it to ensure retirees are covered. . . . At the recommendation of Office of Personnel Management officials, the subcommittee passed technical amendments ensuring that retirees are covered and clarifying the benefits included." (GovernmentExecutive.com)
OPM Work/Life Effort May Have Broader Impact
Excerpt: "The Office of Personnel Management is launching a series of programs to improve work/life balance for its 5,000 employees, a move that, if successful, many say will cascade throughout the federal government and into the private sector." (Workforce Management; free registration required)
Federal Retiree Rehire Provision Survives Senate Filibuster
Excerpt: "A measure allowing federal agencies to rehire retirees without a cut in annuity payments passed the U.S. Senate last week as part of the Defense Authorization bill. Govexec.com reports that after an amendment to the Defense authorization bill that would have allowed federal employees under the Federal Employees Retirement System (FERS) to get credit in their pension calculation for unused sick leave was withdrawn . . ., Senator Susan Collins (R-Maine) offered the language dealing with rehiring federal retirees as a separate amendment, which was approved by voice vote." (PLANSPONSOR.com; free registration required)
Senate Shoots Down Federal Employee Sick Leave Credit
Excerpt: "An amendment to the Defense authorization bill that would have allowed federal employees under the Federal Employees Retirement System (FERS) to get credit in their pension calculation for unused sick leave was withdrawn Thursday." (PLANSPONSOR.com; free registration required)
Idea That Members of Congress Get Free or Low-Cost, Highest Quality Health-Care Plans Is a Myth
Excerpt: "It is repeated so often that many Americans believe it: Congress gets free or extremely low-cost, gold-plated health care. . . . Problem is, the belief that Congress gets cheap-but-Cadillac-quality health benefits is a myth. Some members of Congress, in fact, pay higher premiums for their health plans than they would if privately employed." (Cleveland Live Inc.)
Dismantling Public Pensions Would Hurt More Than Help
Excerpt: "USA TODAY publishes a NIRS letter to the editor response to the editorial. 'It's unfortunate that USA TODAY's July 13 editorial pits workers with some hope of retirement against the most vulnerable workers those lacking pensions.' The editorial implied that 'defined benefit' plans no longer exist in the federal government and have evaporated in the private sector." (National Institute on Retirement Security)
Lawmakers Consider Domestic Partner Benefits at Hearing
Excerpt: "Lawmakers and witnesses at a hearing on Wednesday discussed how best to extend benefits to the partners of gay and lesbian federal employees and retirees, a conversation that involved occasionally pointed exchanges on the nature of discrimination. 'It's baffling that this blatant inequity persists on the federal level, despite the significant expansion in the availability of employment-related benefits and equal treatment for domestic partners among other public and private sector employers,' said House Oversight and Government Reform Federal Workforce Subcommittee Chairman Stephen Lynch, D-Mass." (GovernmentExecutive.com)
[Guidance Overview] Best Dates for Federal Employees to Retire in 2010
Excerpt: "[The calendars show the optimum dates to retire. Below the calendars], you'll find a full explanation of the color coding, indicating why some dates are better than others." (GovernmentExecutive.com)
Federal Employee Pay and Benefits Legislation Awaits Lawmakers
Excerpt: "Congress has several bills under consideration, including legislation that would affect federal employees. Here is a recap of some issues that lawmakers could vote on before they leave for August recess." (GovernmentExecutive.com)
Bill Would Allow Dependent Children to Remain in the Federal Employee Health Plan Longer
Excerpt: "A House lawmaker has reintroduced a bill that would raise the age limit for coverage of dependent children under the Federal Employees Health Benefits Program by three years. The bill (H.R. 2978), introduced by Rep. Danny K. Davis, D-Ill., would increase the cutoff age for coverage of unmarried dependent children from 22 to 25." (GovernmentExecutive.com)
GAO Testimony: Overview of Approaches to Control Prescription Drug Spending in Federal Programs
June 24, 2009. 16 pages. Testimony given by John E. Dicken, director, health care, before the Subcommittee on Federal Workforce, Postal Service, and the District of Columbia, House Committee on Oversight and Government Reform. (U.S. Government Accountability Office)
House Lawmakers Revive Federal Retirement Reforms That Were Stripped Out of Tobacco Legislation
Excerpt: "H.R. 2990, which would allow veterans receiving disability benefits from the Veterans Affairs Department to receive full retirement benefits from the Defense Department, included a provision that would let employees in the Federal Employee Retirement System count unused sick leave toward their pensions. The House, which approved the bill under a suspension of the rules, plans to roll H.R. 2990 into the fiscal 2010 Defense authorization bill." (GovernmentExecutive.com)
Cost of Civil Service Retirement System Retirement Plan Fix Pegged at $40 Million Over 10 Years
Excerpt: "A bill aimed at modifying the way retirement benefits are calculated for certain federal employees who work part-time at the end of their careers would cost the government $39 million from 2010 to 2019, the Congressional Budget Office reported this week. The legislation (S. 469), sponsored by Sen. George Voinovich, R-Ohio, would modify the way retirement annuities are calculated for employees covered under the Civil Service Retirement System. Currently, CSRS employees who retire with part-time service late in their careers could see reduced annuities. According to the CBO report, the bill would provide an average of $2,000 more in retirement benefits per year for about 650 of the expected retirees from the CSRS system in 2010. Additional retirements by 2019 would boost the overall cost of the measure to $39 million, according to CBO." (GovernmentExecutive.com)
Obama Backs Extension of Benefits to Same-Sex Partners of Federal Employees
Excerpt: "President Obama on Wednesday directed the Office of Personnel Management to extend long-term care benefits and family and parental leave to the same-sex partners of gay and lesbian federal employees, and ordered agencies to conduct internal reviews to identify other benefits that they could extend as well. . . . Obama stopped short of granting employees' domestic partners access to health care benefits, saying he legally could not do so, but endorsed legislation that would provide such benefits." (GovernmentExecutive.com)
Tobacco Bill Includes Thrift Savings Plan Changes
Excerpt: "Congress last week approved legislation designed to further regulate and restrict tobacco products ? but at the same time made changes to federal worker benefit provisions. The bill -- HR 1256, the Family Smoking Prevention and Tobacco Control Act -- puts the Food and Drug Administration in charge of regulating tobacco and imposes restrictions on the marketing and production of tobacco products. But it also contained a number of enhancements to the federal government's Thrift Savings Plan, or TSP. . . . Not included in the final bill was a provision in the House-passed version that would have allowed unused sick leave accumulated by employees covered by the Federal Employees Retirement System (FERS) to be counted toward their retirement payments . . . ." (PLANSPONSOR.com; free registration required)
Bill Advances with Thrift Savings Plan Reforms, But Not Sick Leave Fix
Excerpt: "The Senate on Wednesday advanced major legislation that includes several provisions expanding federal employees' options under the Thrift Savings Plan, but does not allow some employees to count unused sick leave toward retirement savings. In a 67-30 vote to end legislative debate, lawmakers moved H.R. 1256 forward, but without an amendment that would have enabled federal workers in the Federal Employees Retirement System to count unused sick leave toward their retirement annuities -- a benefit employees in the older Civil Service Retirement System currently have." (GovernmentExecutive.com)
American Diplomats' Same-Sex Partners to Get Benefits
Excerpt: "The State Department will offer equal benefits and protections to same-sex partners of American diplomats, according to an internal memorandum Secretary of State Hillary Rodham Clinton sent last week to an association of gay and lesbian Foreign Service officers. Mrs. Clinton said the policy change addressed an inequity in the treatment of domestic partners and would help the State Department recruit diplomats, since many international employers already offered such benefits." (The New York Times; free registration required)
Lawmakers Unveil Bipartisan Federal Employee Domestic Partner Benefits Bills
Excerpt: "A bipartisan group of legislators has introduced House and Senate bills that would grant the domestic partners of gay and lesbian federal employees the same health and retirement benefits as the spouses of heterosexual workers. . . . [Rep. Ileana] Ros-Lehtinen and Rep. Tammy Baldwin, D-Wis., who co-chairs the Congressional Lesbian Gay Bisexual and Transgender Equality Caucus, introduced the 2009 Domestic Partners Benefits and Obligations Act in the House. Sens. Joe Lieberman, I-Conn., and Susan Collins, R-Maine, unveiled the Senate version." (GovernmentExecutive.com)
Wellness Programs May Become Universal for Federal Government Workers
Excerpt: "'As a result of many successful programs at businesses across the country, workers have become more engaged in their own health care, productivity is increasing, absenteeism is dropping, and employers are passing some of their health care savings to their workers,' the White House said in a statement earlier this month. The push for a healthier workforce will extend to civil servants. Obama has directed the Office of Personnel Management to work with other agencies to 'explore the feasibility of developing such a plan for federal employees and their workplaces.' OPM hasn't released any details about options it is considering. But if the federal plan is modeled after private sector and state-level efforts, it would emphasize assessing employees' health, and initiating programs to address shortcomings. Perhaps most important, it would include incentives for employees to participate in fitness and other classes." (GovernmentExecutive.com)
U.S. Postmaster Presses Congress to Act on Retiree Health Benefits Bill
Excerpt: "In a letter to a key House subcommittee chairman, US Postmaster General John Potter again pressed his case for Congressional action on proposed legislation that would reduce the agency's out-of-pocket costs for retiree health benefits, which could save the US Postal Service $2 billion this year. The proposed measure, HR 22, would allow the USPS to pay its share of contributions for retiree health benefits, estimated to be $2 billion this year, out of the Postal Service Retiree Health Benefits Fund. Annual payments to prefund health benefit costs for future retirees would still be made by the USPS." (DMNews)
Oversight Committee Votes to Provide Federal Employees Paid Parental Leave Benefits
Excerpt: "The Committee on Oversight and Government Reform today took an important step toward improving paid parental leave benefits for federal employees who are new parents. The Federal Employees Paid Parental Leave Act of 2009 (H.R. 626), responds to the needs of tens of thousands of working families in the federal government by providing 4 weeks of paid parental leave for the birth, adoption, or fostering of a child." (U.S. House of Representatives Committee on Oversight and Government Reform)
OPM Director Calls for Regulatory Reforms, Announces Work-Life Pilot Programs
Excerpt: "[The director] said OPM would work with Interior and GSA to create a set of model programs for the 7,000 employees who work at the three agencies' headquarters, which are located within blocks of each other in Washington. His goal, he said, was to turn the three workplaces into a 'utopia' within 12 months. Though he did not detail in his remarks the pilot programs he intends to set up, Berry said in an interview afterward that he expects to begin by improving the quality of a health clinic that serves the agencies. The approach Berry outlined would mirror his approach to work-life balance programs as an assistant secretary at the Interior Department during the Clinton administration. In that position, Berry held a series of town hall meetings to determine employees' needs and based on their suggestions, upgraded the department's cafeteria and health clinic." (GovernmentExecutive.com)
Federal Retirement Thrift Investment Board Endorses Roth IRA Option for Enrollees
Excerpt: "The Federal Retirement Thrift Investment Board on Monday officially endorsed a proposal to give Thrift Savings Plan participants the option to invest in a Roth Individual Retirement Account, but did not green light a move that would allow the TSP to create additional investment funds." (GovernmentExecutive.com)
National Railroad Retirement Investment Trust Stock Loss May Serve as Lesson
Excerpt: "A special pension fund for railroad workers that was given permission during the Bush administration to invest its assets in the stock market lost more than a third of its value during a recent 18-month period, a loss that could influence an ongoing debate about how to keep government-affiliated retirement programs solvent." (The Boston Globe)
Who Backs Government Retirement Plans? Taxpayers.
Excerpt: "Q: When civil servants retire and they have been promised a retirement by the federal or state government, where will the funds come funds come from? Are they separate from Social Security, and were those funds also invested in the stock market? If so, is an additional bailout in order to keep our retirement promises?" (The Christian Science Monitor)
House Approves Legislation That Addresses Federal Employee Retirement Issues
Excerpt: "Do you fall into one of the following categories? Interested in crediting unused sick leave towards the computation of your retirement benefit under the Federal Employees Retirement System. Considering (or already) working part-time under the Civil Service Retirement System. Had a break in federal service, took a refund of your FERS retirement contributions and now want to pay it back to get credit for your prior service. Interested in making after-tax contributions to your Thrift Savings Plan account and getting tax-free growth. If so, the exciting news that arrived from Capitol Hill on Wednesday might have seemed like a cruel April Fool's joke. But it's not. The House of Representatives really did approve legislation (H.R. 1804) that addressed each of these issues." (GovernmentExecutive.com)
House Passes Federal Employee Retirement Reform Bill
Excerpt: "The U.S. House, by a voice vote, has passed the Federal Retirement Reform Act of 2009. According to a news report on govexec.com, the bill includes provisions to enroll new employees automatically in the Thrift Savings Plan (TSP) and allow for Roth deferrals, as well as to give the TSP board the authority to add self-directed investment window options if doing so is in the best interest of participants." (PLANSPONSOR.com; free registration required)
Rep. Darrell Issa Pushes for Federal Employee Retirement System Reform
Excerpt: "One program the California congressman would like to torpedo is the defined-benefit retirement system for federal employees. He shared his thoughts with the Federal Diary. Q: You told the Federal Managers Association that 'we have to come up with a better retirement system' for federal workers. What's wrong with the current system? Currently, the federal government is facing a massive retirement wave due to the baby-boomer generation approaching retirement age, which will cause us to lose our most experienced employees. This is exacerbated by a structural flaw which incentivizes our most qualified employees to take that retirement rather than stay around." (The Washington Post; free registration required)
Paid Parental Leave for Federal Employees Advances in House
Excerpt: "The House federal workforce subcommittee on Wednesday passed a bill that would provide federal employees with four weeks of paid leave on the birth or adoption of a child. During the bill's markup, Democratic committee members and one Republican said the 2009 Federal Employees Paid Parental Leave Act (H.R. 626) would provide an important model to private sector employers. The legislation advances to the full House Oversight and Government Reform Committee." (GovernmentExecutive.com)
Legislation Modifying Federal Retirement Rules Advances
Excerpt: "The House and Senate both advanced legislation on Wednesday to make it easier for federal employees to continue serving the government at the end of their careers, either as part-time workers or retirees.The House Oversight and Government Reform Committee adopted an amendment to tobacco legislation (H.R. 1256) that would grant employees under the Civil Service Retirement System who work part time instead of retiring prorated credit that would count toward their annuity payments." (GovernmentExecutive.com)
Healthcare Enhancement for Local Public Servants Act of 2009 Legislation Introduced
Excerpt: "On March 10, 2009, Representative Joe Crowley (D-NY) introduced the Healthcare Enhancement for Local Public Servants Act of 2009 (HELPS II). The bill, which amends the Internal Revenue Code of 1986 to allow certain public employees a deduction for distributions from governmental plans for health and long-term care insurance, is an extension of the Healthcare Enhancement for Local Public Safety Retirees Act (HELPS) that was signed into law as part of the Pension Protection Act of 1996." (National Conference on Public Employee Retirement Systems)
Federal Employee Health and Retiree Benefits Again Among Areas Congressional Analysts Have Examined for Potential Cuts
Excerpt: "Here are some possibilities [the Congressional Budget Office] looked at in its latest 'Budget Options' report . . . ." (GovernmentExecutive.com)
Rep. Lynch Introduces Legislation to Automatically Enroll New Federal Employees and Members of the Military in Thrift Savings Plan
Excerpt: "Rep. Stephen Lynch, D-Mass., has introduced legislation (H.R. 1263) that would automatically enroll new federal employees and members of the military in the Thrift Savings Plan and assign their investments to the government securities fund. 'Currently, 14 percent of the eligible federal civilian and 75 percent of uniformed service members are not participating in TSP,' Lynch, the new chairman of the House Oversight and Government Reform Federal Workforce Subcommittee, said in a statement. 'Therefore they are less likely than participants to be financially self-sufficient.'" (GovernmentExecutive.com)
Talks Begin on Possible Legislative Enhancements to Federal Thrift Savings Plan
Excerpt: "Thrift Savings Plan officials have started discussions with Congress on proposed legislative improvements to the retirement savings program, including adding a Roth Individual Retirement Account option." (GovernmentExecutive.com)
Lawmaker Reintroduces FERS Sick Leave Bill
Excerpt: "A bill introduced in the House on Tuesday would allow workers in the Federal Employees Retirement System to cash out their unused sick leave upon retirement. The benefit also would apply to employees covered under the Foreign Service Pension System and U.S. Postal Service retirement plan. FERS employees currently cannot count unused sick leave toward their retirement annuity. Employees hired before 1984 are covered under the Civil Service Retirement System and do receive such credit for unused sick leave. The new legislation, introduced by Rep. James Moran, D-Va., would provide FERS employees with a benefit equal to that of their CSRS counterparts, allowing them to add any unused sick leave to the number of years they have worked in the government to determine their annuity at retirement." (GovernmentExecutive.com)
Bill Would Restore Pension Credits for Returning Federal Workers
Excerpt: "Legislation introduced on Wednesday in the House would give employees who return to civil service from the private sector the ability to recoup their full retirement annuity without losing credit for previous years of federal service. Under the Federal Employees Retirement System, workers who leave the government can cash out their annuity or roll it into a private savings account, a decision that erases their pension credits. If they rejoin the government, they are not allowed to redeposit those funds and restore their pensions. The bill (H.R. 828), introduced by Rep. James Moran, D-Va., would provide former FERS employees who decide to reenter the government workforce after a stint in the private sector the ability to redeposit the full amount plus interest of the annuity they cashed out or rolled over, and to retain their years of service in the calculation of future annuity payments." (GovernmentExecutive.com)
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