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Daily Dose: Supercommittee Tasked with meeting Deficit Cuts

Today, the Joint Select Committee on Deficit Reduction will meet for the first time, and has 76 days to come up with a deficit reduction plan totaling $1.5 trillion and win the support of congress. If the committee fails to reach an agreement, deep spending cuts will be automatically triggered throughout the government.

The Washington Post reports that the Federal workerforce is keeping a close eye on the negiotations, fearing layoffs and pay cuts. One of the committee recommendations will be to adjust retirement pay and benefits, some analyst believe that if imposed, it will start a rush of new retirees.

One of the best known of the commission’s recommendations could lead to a change in the way federal employee retirement benefits are calculated. Currently, retirement payments are based on the top three years of income. The commission said that using the top five instead could save $5 billion by 2020. It also could send workers near retirement rushing to the door.

The Post also states, “Putting an unfair financial burden on the backs of federal employees simply because they perform the work of our government is misguided,” Patricia Niehaus, president of the Federal Managers Association.

What are your thoughts about the Supercommittee? Will you consider early retirement if the proposed changes are made?

Federal workers eye ‘supercommittee’

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“Daily Dose of the Washington Post” is a blog series created by GovLoop in partnership with The Washington Post. If you see great a story in the Post and want to ask a question around it, please send it to thedoctor@govloop.com.

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