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Norton to Introduce Bill to Reduce Federal Employee Pay Compression

July 25, 2022

WASHINGTON, D.C.Congresswoman Eleanor Holmes Norton (D-DC) today announced she will introduce a bill to reduce federal employee pay compression. This bill would allow federal employees who reach the pay cap in their respective pay system to receive the base and locality pay adjustments they would otherwise be entitled to. Currently, federal employees who reach the pay cap do not receive such adjustments. Norton is a senior member of the Committee on Oversight and Reform, which has jurisdiction over federal employees.

"This bill will allow many of the longest-serving federal public servants, District of Columbia residents among them, to receive the pay adjustments they are entitled to but for the pay cap," Norton said. "This bill will help the federal government hire and retain the most qualified individuals. Pay adjustments are especially important during periods of high inflation."

While this bill would not solve all pay compression issues in the federal government, Norton believes it is an important step and is exploring ways to reduce pay compression in all federal pay systems.

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