“For active federal and postal employees covered by the Federal Employees Retirement System (FERS), the budget calls for gradually equalizing employee and agency contributions for pension benefits. This would cut our pay and raise our pension contributions by 1 percent of pay per year for up to six years, costing active carriers up to $3,600 annually after six years. … “
Although this Trump budget plan is widely considered dead on arrival at the Senate, this is clearly another wake-up call to those members who still do not contribute to the Letter Carrier Political Fund (LCPF), the only way we can fight these legislative give backs. And that’s what they are, give backs that our membership has fought for for years.
Some other highlights (more like low-lights) of the budget proposal include:
“For retirees, the administration’s budget calls for completely eliminating cost-of-living adjustments (COLAs) for current and future annuitants under FERS (which covers any employee hired after 1984). For those under the Civil Service Retirement System, COLAs would be reduced by one-half of 1 percent (that is, 0.5 percent) each year. These changes would devastate the finances of retirees who rely on annual COLAs to keep up with the cost of living.”
“The budget also calls for reducing CSRS and FERS pension benefits for new retirees by basing annuities on workers’ highest average pay over five years (high-5) instead of over three years (high-3). It would also eliminate the “Social Security supplement” that covers the gap for workers who retire under FERS before they qualify for Social Security benefits at age 62. For letter carriers and other blue-collar federal employees with physically taxing jobs, this cut would be especially painful. …”
ALL Members, Active and Retired, need to start taking a vested interest into what’s going on in Washington and how it is affecting your livelihood!
Insure your retirement is everything that was promised; Invest in the Letter Carrier Political Fund (LCPF)
For a look at the NALC’s full take on the White House’s $4.094 trillion request, titled “A New Foundation for American Greatness,” click below:
By making a contribution to the Letter Carrier Political Fund, you are doing so voluntarily with the understanding that your contribution is not a condition of membership in the National Association of Letter Carriers or of employment by the Postal Service, nor is it part of union dues. You have a right to refuse to contribute without any reprisal. The Letter Carrier Political Fund will use the money it receives to contribute to candidates for federal office and undertake other political spending as permitted by law. Your selection shall remain in full force and effect until cancelled. Contributions to the Letter Carrier Political Fund are not deductible for federal income tax purposes. Federal law prohibits the Letter Carrier Political Fund from soliciting contributions from individuals who are not NALC members, executive and administrative staff or their families. Any contribution received from such an individual will be refunded to that contributor. Federal law requires us to use our best efforts to collect and report the name, mailing address, occupation and name of employer of individuals whose contributions exceed $200 per calendar year. Any guideline amount is merely a suggestion, and an individual is free to contribute more or less than the guideline suggests and the Union will not favor or disadvantage anyone by reason of the amount of their contribution or their decision not to contribute.