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NIW Today 2018

A publication of the National Air Traffic Controllers Association

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ISSUE: ANTI-FEDERAL EMPLOYEE ATTACKS continued • Elimination of the annuity supplement for all federal employees who qualify, including air traffic controllers, federal law enforcement officers, and firefighters, who are all subject to mandatory retirement based on the requirements of their jobs. • Increase of FERS retirement contributions 1 percent per year until the contributions reach 7.25 percent of each employee's pay. • Reduction of CSRS COLAs by 0.5 percent each year and elimination of COLAs for FERS for all current and future retirees. • Modification of the calculation for CSRS and FERS annuity calculations to be based upon a high-5 years rather than the current high-3 years. All of the aforementioned legislative proposals would attack the retirement benefits for NATCA members. At a time when the FAA faces a staffing crisis with nearly 18 percent of all CPCs eligible to retire today, any reduction in retirement benefits, especially the elimination of the Social Security annuity supplement, will cause air traffic controllers to retire early. This large wave of unanticipated retirements could cripple the NAS by exacerbating the current staffing crisis. Additionally, the president's F Y 2019 Budget Proposal included each of the following attacks on federal employee wage and benefits, as well as attacks on labor unions in general: Retirement Benefits: • Proposal to increase to federal employee contributions to the Federal Employees Retirement System (FERS) to be phased in over several years, with individuals contributing an additional one percent of their salary each year. • Proposal to eliminate FERS cost of living adjustment (COLA), and also to reduce civil service retirement system (CSRS) COLA by 0.5 percent. • Proposal to Eliminate the Social Security Retirement Supplement, which would negatively affect air traffic controllers who are subject to mandatory retirement at age 56, before reaching social security age. It will similarly negatively affect federal law enforcement and firefighters, who are also subject to mandatory retirement. • Proposal to change retirement annuity calculation from "high-3" years to "high-5" years. • Proposal to reduce the Thrift Saving Plan (TSP) G-Fund interest rate. Federal Employee Health Benefits: • This proposal would revise the government contribution rate to between 65-75 percent depending on a plan's performance. Leave: • Currently, all Federal employees receive 10 paid holidays and up to 13 sick days annually, as well as between 13 to 26 vacation days, depending on federal government tenure. This budget proposal would transition the existing civilian leave system to paid time off (PTO), which lumps all time off (sick and vacation) under one category in an attempt to reduce the total number of leave days. NiW Today n a t c a . o r g / n i w 36

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