Several key federal employee provisions are included in an agreement between the House-Senate conference committee working on the fiscal 2010 Defense authorization bill. The committee's report of the final legislation, released on Wednesday, includes a provision that would allow employees in the Federal Employees Retirement System to credit their unused, accumulated sick leave toward retirement. Currently, FERS employees receive 13 use-or-lose sick days per year. The provision puts FERS employees on par with those in the Civil Service Retirement System, which generally includes those hired prior to 1984.
The bill also would allow CSRS workers to shift to part-time status at the end of their careers without reducing their final annuities. Currently, part-time service occurring during the final years of CSRS service negatively impacts an employee's high-three retirement calculation, leading to a lower retirement annuity.
The bill also would provide former FERS employees who decide to 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. Traditionally, FERS workers who leave government service must cash out their annuity or roll it into a private savings account, a decision that erases their pension credits. If they rejoin government, they are not allowed to redeposit those funds and restore their pensions.
The provisions will keep the federal retirement system competitive with the private sector and help federal agencies boost knowledge retention efforts, notably among senior IT workers.
Meanwhile, the bill also would repeal the Defense Department's controversial National Security Personnel System, moving the more than 100,000 employees under the personnel system back to the General Schedule by Jan. 1, 2012.
The conference agreement is expected to be considered by the House as early as Thursday, and Senate action is expected this month. Once the House and Senate have passed the agreement, the bill will be sent to the president for his signature.
Brittany Ballenstedt
Brittany Ballenstedt writes Nextgov's Wired Workplace blog, which delves into the issues facing employees who work in the federal information technology sector. Before joining Nextgov, Brittany covered federal pay and benefits issues as a staff correspondent for Government Executive and served as an associate editor for National Journal's Technology Daily. She holds a bachelor's degree in journalism from Mansfield University and originally hails from Pennsylvania. She currently lives near Travis Air Force Base, Calif., where her husband is stationed.
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