Federal Retirement Benefits Are Under Threat — Here’s What You Need to Know
Federal employees have dedicated their careers to serving the American people, often making sacrifices to uphold the vital functions of our government. Yet once again, we find ourselves under attack — this time, with dangerous proposals that would gut federal retirement benefits and undermine the future of public service.
On April 30, 2025, the House Committee on Oversight and Government Reform is scheduled to mark up new budget legislation that would slash federal retirement benefits — devastating the financial security of both current employees and future generations of public servants.
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How the Proposed Legislation Would Harm Federal Employee Retirement Benefits
If passed, this legislation would:
- Increase FERS Contributions: Federal civilian and postal employees would be forced to pay up to 4.4% of their salary into the Federal Employees Retirement System (FERS). Over the next decade, this change alone would strip more than $30 billion from the pockets of middle-class federal workers.
- Eliminate the FERS Annuity Supplement: Currently, federal employees who retire before age 62 receive a supplement until they become eligible for Social Security. The proposal would eliminate this critical bridge benefit for future retirees — cutting more than $10 billion from the federal retirement benefits they earned through years of service.
- Change High-3 to High-5 Retirement Calculations: Instead of basing retirement annuities on an employee’s three highest-paid years, the legislation would stretch the calculation to the five highest-paid years, permanently reducing retirement benefits for most employees.
And if that weren’t enough, the proposal would impose a permanent 5% penalty on future federal employees who wish to maintain their civil service protections — an unconscionable attack on job security and workers’ rights.
Why Protecting Federal Retirement Benefits Matters
These cuts are not about fiscal responsibility — they are about undermining the federal workforce. Slashing retirement benefits won’t just hurt those who have already committed their careers to service; it will also deter the next generation of talented Americans from joining federal service at all.
Federal retirement benefits are a cornerstone of ensuring that government careers remain competitive with the private sector. Undermining these benefits will have lasting negative effects on the ability to recruit and retain the skilled workforce our country needs.
We cannot allow this to happen.
Take Action to Protect Federal Retirement Benefits — It Only Takes 3 Minutes!
We’ve made it fast and easy to make your voice heard. Our Action Network campaign allows you to send a pre-written letter — directly to your members of Congress in both the House and Senate — in just a few clicks. You can personalize the message if you’d like, but it’s ready to send as-is.
You can complete the entire process in under three minutes. Every message sent helps show lawmakers that these retirement benefits must be protected, not gutted. Just click the button below to make your voice heard!
Protecting the retirement benefits of our federal employees is about protecting the future of our country. Let’s make sure Congress hears us loud and clear: Federal employees deserve better.
