Shows & Panels
- AFCEA Answers
- Ask the CIO
- The Big Data Dilemma
- Carrying On with Continuity of Operations
- Connected Government
- Constituent Servicing
- Continuous Monitoring: Tools and Techniques for Trustworthy Government IT
- The Cyber Imperative
- Cyber Solutions for 2013 and Beyond
- The Data Privacy Imperative: Safeguarding Sensitive Data
- Expert Voices
- Federal Executive Forum
- Federal IT Challenge
- Federal Tech Talk
- Mission-critical Apps in the Cloud
- The Modern Federal Threat Landscape
- The Path from Legacy Systems
- The Real Deal on Digital Government
- The Reality of Continuous Monitoring... Is Your Agency Secure?
- Veterans in Private Sector: Making the Transition
Shows & Panels
When a "COLA" is not a "COLA"
Monday - 8/27/2012, 10:49pm EDT
Together they examine the annual system for pay adjustments for federal employees and federal retirees. The systems are very different because they are based on different sets of economic factors.
As Braunstein explains, active federal employees, technically speaking, do not receive a cost-of-living allowance, or COLA. Instead, increases in pay, when they do occur, are based on the change in private sector wages and salaries. This is done to keep government salaries competitive with private sector salaries and is known as a "pay comparability adjustment," Braunstein says.
Federal retirees, on the other hand, do receive a COLA based on the changes in the Consumer Price Index. As Braunstein and Leins explain in today's show, the goal is to keep your income at the same level of purchasing power throughout your retirement.