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Search Tags: payroll tax cut
Former Virginia Congressman Tom Davis discusses congressional gridlock over the budget and the payroll tax cut extension, and the potential fallout that federal employees may face.
The House has blocked the Senate's version of a two-month payroll tax cut extension.
Julie Tagen, legislative director for the National Association of Active and Retired Federal Employees, told Federal News Radio that certain provisions in the bill would affect federal employees.
Federal employees were safe from another year of a pay freeze and changes to their annuity formula in the two-month payroll tax cut bill passed by the Senate this weekend. But now House Republican leaders are shunning the bipartisan bill, wanting to write their own version.
Federal employees have dodged a bullet...for now. Congress will not freeze federal pay or change the annuity formula to pay for the two-month extension of the payroll tax cut.
As the clock ticks closer toward Dec. 16 — when the seventh continuing resolution funding government operations this year is set to expire — speculation about a partial government shutdown has begun swirling.