Westerman Pension Reform Bill Would Save $3.1 Billion Over 10 Years
FOR IMMEDIATE RELEASE
WASHINGTON – Congressman Bruce Westerman issued the following statement regarding his introduction of H.R. 1230, a bill that would adjust the calculation of average pay for purposes of Federal civilian annuities:
“This bill would simply change the formula for determining pension benefits for civilian federal employees from the best-earning three years to the best-earning five years of service. The bill ensures that the program employees of the federal government have paid into for their careers is available in retirement and sustainable for future generations.”
The Congressional Budget Office estimated that HR 1230’s formula change would save taxpayers a total of $3.1 billion over 10 years. The change would go into effect on January 1, 2017.
As a part of the proposal, all federal civilian employees – including Members of Congress and their staffs – would be impacted by the change. The only exemption to the proposed legislative action are active duty and retired military personnel.