Hoyer: Federal Benefit Cuts on the Table

by Andrew Stiles

From The Hill:

House Minority Whip Steny Hoyer (D-Md.) on Monday said federal worker benefits should be on the table in the talks over reducing the federal deficit.

Congressional leaders who have been participating in deficit talks with Vice President Joe Biden have considered increasing the contribution federal employees must make into the Federal Employees Retirement System (FERS), which is currently structured as a defined benefit pension.

Federal employees contribute only 1 percent of their salary into the system. Lawmakers are considering increasing that contribution to 6 percent. In the private sector, defined benefit pensions have largely disappeared, leading to charges that the federal pension is overly generous.

“Everything needs to be on the table and I think we all need to be willing to put everything on the table,” Hoyer said when asked about the FERS proposal.

More here.