Rep. Dennis Ross, R-Fla., on Wednesday introduced a bill that would increase how much federal employees pay toward their retirement and steeply reduce pensions for new employees.
HR 3813, the Securing Annuities for Federal Employees Act, would raise contributions for current Civil Service Retirement System (CSRS) and Federal Employees Retirement System (FERS) employees by 0.5 percentage points per year for three years, beginning in 2013. This would make FERS employees contribute 2.3 percent of each paycheck toward their pensions, and require an 8.5 percent contribution from CSRS employees.
The bill would eliminate the so-called FERS annuity supplement for new retirees beginning in 2013, except for employees facing mandatory retirement such as air traffic controllers. Today, FERS employees who retire before reaching age 62 receive a supplement equal to the Social Security benefit they will be eligible for once they reach age 62.
full story from Federal Times – Panel chair introduces bill to reduce pensions.
Video of hearing (video starts at :25)
Retirement Readiness: Strengthening the Federal Pension System