Budget negotiators looking at military pensions
Indeed, the Pentagon has the greatest stake in some agreement and faces a further $21 billion cut in its 2014 budget if nothing is done. There is a greater recognition too –in Congress and among the Joint Chiefs— that it must come to terms with personnel-related costs, which are eating up more and more of what money remains.
“Forty-four cents of every dollar we spend goes to military personnel,” said House Armed Services Committee Chairman Buck McKeon (R.-Calif.) “You look at Detroit, you look at General Motors, you look at what happens when you build up these costs, but we aren’t doing anything about it in our [defense] bill this year.”
On the retirement front, President Barack Obama’s 2014 budget opened the door for the GOP by proposing to increase what federal employees contribute to their pensions: adjusting the number upward in three increments from .8 percent of pay to 2 percent.
When this was last proposed, Congress instead decided to charge newly-hired workers even more. The administration proposal seeks to impose its earlier plan on those hired before 2013. The estimated savings are about $20 billion over the coming decade.
Read more: Budget negotiators looking at military pensions - David Rogers - POLITICO.com
Indeed, the Pentagon has the greatest stake in some agreement and faces a further $21 billion cut in its 2014 budget if nothing is done. There is a greater recognition too –in Congress and among the Joint Chiefs— that it must come to terms with personnel-related costs, which are eating up more and more of what money remains.
“Forty-four cents of every dollar we spend goes to military personnel,” said House Armed Services Committee Chairman Buck McKeon (R.-Calif.) “You look at Detroit, you look at General Motors, you look at what happens when you build up these costs, but we aren’t doing anything about it in our [defense] bill this year.”
On the retirement front, President Barack Obama’s 2014 budget opened the door for the GOP by proposing to increase what federal employees contribute to their pensions: adjusting the number upward in three increments from .8 percent of pay to 2 percent.
When this was last proposed, Congress instead decided to charge newly-hired workers even more. The administration proposal seeks to impose its earlier plan on those hired before 2013. The estimated savings are about $20 billion over the coming decade.
Read more: Budget negotiators looking at military pensions - David Rogers - POLITICO.com