Federal employees make average 26 percent less than private workers, Labor agency reports

By Eric Yoder
WashPost

The federal government reported Friday that on average its employees are underpaid by 26.3 percent when compared with similar non-federal jobs, a “pay gap” that increased by about 2 percentage points over the last year while federal salary rates were frozen.

The Bureau of Labor Statistics presented the figures to the Federal Salary Council, an advisory group of federal agency officials, union representatives and outside pay experts.

The numbers are calculated for setting pay raises under the locality pay system used for white-collar employees who work under the general schedule pay system. Some of the money provided by Congress for an annual raise is paid across-the-board while the rest is divided according to the pay gaps for 31 city areas plus a catchall “rest of the U.S.” for areas outside those metropolitan zones.

Under a 2010 law, however, federal salary schedules were frozen for 2011 and will be frozen again in 2012, although “within-grade” raises that are largely based on longevity still are allowed, as are raises after promotions.

(More here.)