Cancelling pay raises

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Cancelling pay raises

Postby Haruo » Thu Aug 30, 2018 6:59 pm

Not that they need raises now that they're getting so much back from the IRS, but still, as I recently posted on FB,...

So what are the "serious economic conditions" that lead our leader to cancel government workers' pay raises? Is he trying to bribe them into voting for Republicans in November? Seems a back-asswards way to do it.

[[Added content: For those who may not know what I'm talking about here, when I went to look at Google News maybe half an hour ago, this is what I saw:Image]

I mean, he's been bragging about great shape the economy's in; "serious economic conditions" that need to be taken out of workers' pay? Mr. Trump? Is that what you said? Odd. Of course, if the Mexicans would just pay up for their share of the wall, none of this would be necessary, right Mr. Trump? This is what comes of letting the Mexicans elect Bernie.
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Re: Cancelling pay raises

Postby Haruo » Thu Aug 30, 2018 7:03 pm

Had to scroll down twice to find it on the Fox News front page. I don't spend enough time there. It's skeery. Plays the race card, the Antifa-comin-to-getcha-in-the-night card, and features Exclusive Video of the president arriving in Indiana... eventually there it is...Image
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You're fired!

Postby Haruo » Thu Aug 30, 2018 7:30 pm

For someone who made his name with the line, "You're fired!" it seems to me Trump hasn't been very good at firing people. He complains that Mueller is on a witch hunt. Who has the power to fire the guy? Right. Has he? No. He complains that his AG didn't ever "take control of his department". Looks to me like he maybe hasn't "taken control of the United States Government" very well, either. And if canceling COLA is the best he can do in the "You're fired!" department...
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Re: Cancelling pay raises

Postby KeithE » Thu Aug 30, 2018 9:35 pm

'Absolutely Repulsive': After $1.5 Trillion Tax Giveaway to the Rich, Trump Cancels Modest Pay Raise for Federal Workers

The president's abrupt move—which comes less than a week after a federal court struck down his attempt to undermine federal workers' right to bargain collectively—was met with widespread condemnation by progressive lawmakers and labor activists, who argued that the $25 billion Trump claimed the pay raises would cost is a drop in the bucket compared to the GOP's enormous gifts to the rich.


That tax giveaway to the rich is about $150B/year ($1.5T is over ten years). The raises would cost $25B/year.

That modest raise was 1.9 - 2.1% depending on locality. There goes the 1.0% -1.9% tax cuts for these federal workers (virtually all federal employees make less than $200K/year and more than $40K/year), which was already gone due to inflation (2.9% this year).

Image

The Republican tax bill got worse: now the top 1% gets 83% of the gains. The top 1% make at least $480,930/year as of 2015 (probably more by now). Thus the top 1% get 10.6%-14.6% of their fortunes in tax cut breaks, while the federal workers effectively lose due to the 2.9% inflation.

I agree with Rep. Barbara Lee
"What an insulting way to mark Labor Day.”
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Re: Cancelling pay raises

Postby Sandy » Fri Aug 31, 2018 10:27 am

That news hadn't hit the news cycle before the data came out for this poll. This reflects the week of revelations from Cohen, and the Manafort conviction. I heard a couple of Virginia Republican congressmen doing damage control this morning, being opposed to cancelling the raise and promising to do everything in their power to reverse the decision. Lots of federal employees in many different parts of Virginia, including some of the "red" counties.
http://fortune.com/2018/08/31/trump-disapproval-rating/
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Re: Cancelling pay raises

Postby KeithE » Fri Aug 31, 2018 12:03 pm

Just hours after eliminating the ~2% pay raise for Federal employees, Trump showed his shear disdain for ordinary people in preference to those who have capital gains (mostly the wealthy and real estate/company flippers). This is just proposed at this time - call, email for congressional reps!. If they do nothing (which is their habit, these days), Trump will put this into effect via Exec Order (he has that power).

Just Hours After Ordering Pay Cut for Millions of Public Workers, Trump Proposes $100 Billion Gift to Richest 1%

Hours after he launched yet another "direct attack" on workers by canceling a modest pay raise for around two million federal employees, President Donald Trump told Bloomberg on Thursday that he is considering a regressive and possibly illegal plan to use his executive power to hand the rich another $100 billion in tax cuts by indexing capital gains to inflation.

"There are a lot of people that love it and some people that don't," Trump said of the plan, which would disproportionately reward the top 0.01 percent of Americans. "But I'm thinking about it very strongly."

Trump's Oval Office interview with Bloomberg came shortly after the president announced in a letter to congressional leaders that he is freezing a planned 2.1 percent pay increase for federal workers just ahead of Labor Day, claiming that "federal agency budgets cannot sustain such increases."

But for Trump and the Republican Party, concerns for "fiscal sustainability" are quickly dropped when it comes time to deliver major gifts to the rich.


Capital gains is basically a painless way to amass fortunes, particularly good for company traders / real estate moguls - like Trump was/is (but will not be, since his future after office is no doubt jail time).

Who would get this benefit distributionally?

78.9% goes to top 1%, 11.9% to next 4%
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Re: Cancelling pay raises

Postby Tim Bonney » Sat Sep 01, 2018 9:25 am

The canceled raises are just more playing to his anti-government base. He runs down the FBI, the justice department, and any federal worker who doesn’t lick his boot. Cutting their salaries plays well to the anti-government sentiment among Republicans even while the GOP controls the whole shooting match.
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Re: Cancelling pay raises

Postby James » Mon Sep 03, 2018 9:33 pm

I may be the only career retiree from the federal civil service on these forums.

Here is what I know. Republicans have called for dissolving all retirement accounts and privileges for us to be replaced by nothing. The congressman who proposed that I did was fired by his constituents.

Trump cancels pay raises to build a wall.

Trump wants to kill civil service to bring back the spoils system which guarantees that every employee will spend at least 50% of every working hour trying to get his or her political bosses reelected.
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Re: Cancelling pay raises

Postby KeithE » Tue Sep 04, 2018 7:17 am

James wrote:I may be the only career retiree from the federal civil service on these forums.

Here is what I know. Republicans have called for dissolving all retirement accounts and privileges for us to be replaced by nothing. The congressman who proposed that I did was fired by his constituents.


Generally speaking nothing that Trump proposes surprises me, but dissolving federal retirements accounts (FERS) and privileges (TRICARE health care, PX access) ??

I gave googled "FERS dissolving” and "TRICARE dissolving” and find no such proposals. I am not a retired federal employee but in a town full of such people, they would be up in arms if their FERS or TRICARE were taken away.

James, who was this congressman? and is there currently any threat to these programs that federal employees contributed to in their working years?

James wrote:Trump cancels pay raises to build a wall.


Trump indeed is trying to appear like he is searching for $70B to build the wall and $150B/yr for maintenance. Why then doesn’t he cancel the tax cuts/capital gains tax cuts on the wealthy to the tune of $250B/year?? That would be adequate. Canceling raises to federal employees saving to the tune of $25B/year would not be adequate. Answer to that question is that he is really about financial aid to people like himself. Most GOP lawmakers are neither in the class (top few percent) or plan to be in that class in their near futures.

James wrote:Trump wants to kill civil service to bring back the spoils system which guarantees that every employee will spend at least 50% of every working hour trying to get his or her political bosses reelected.


And I agree that Trump believes “his employees” in the federal government are working for him personally. Just ask Jeff Sessions.
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Re: Cancelling pay raises

Postby James » Fri Sep 07, 2018 9:23 pm

Keith, I do not remember the details, but what I remember was reported in NARF magazine (National Association of Retired Federal employees several years ago). Maybe during Bushes time. A GOP congressman from Oklahoma proposed the idea. Fortunately for us, he never counted up all the federal employees and retirees in his district. He lost by a wide margin in the next election. If you know someone who saves their NARF mags for reference you might find the story. If NARF does not have it, you might it in USA Today. I read both sources on a regular basis and stories like this one tend to stick.
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Re: Cancelling pay raises

Postby Dave Roberts » Sat Sep 08, 2018 6:47 am

I have lived among a lot of federal retirees and civil service people in the past. Taking away their promised increases might be the fastest way to have Trump singing a new song, "Don't it make my red states blue," with apologies to Crystal Gayle.
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Re: Cancelling pay raises

Postby Sandy » Sat Sep 08, 2018 10:33 pm

My Dad was a retired civil service employee who worked for the Department of Defense for 30 years and had a pension that included 6 years of Navy service. He wasn't someone who was inclined to "vote by the pocketbook" but he did keep an eye on it and was pretty active when it came to staying informed about what his state senator and congressmen were doing in that regard. Though he rarely voted for Republicans, he supported John McCain and Jim Kolbe, the Republican congressman who represented his district for years because they stood up for federal employees.

The district in Arizona that Kolbe represented was heavily Republican, and Kolbe re-elected frequently without opposition. That was until W came along and revamped the federal wage scale to cut jobs and salaries in order to give the rich a tax break. Then that heavily Republican district elected a young, female, gun-control avdocate, liberal Democrat named Gabby Giffords, and they re-elected her twice before she was forced to resign due to injuries sustained in a mass shooting. That's a district with a military base at Ft Huachuca that is the largest employer in the district, and Davis-Monthan AFB, which is fourth largest. Those are usually exclusive domains for the GOP but I hear that the Republican running for that seat is trailing in the polls by double digits, as is the former congresswoman Martha McSally, who is running for Jeff Flake's senate seat. In a state where the federal government is the number 2 employer overall, this isn't playing well.
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Re: Cancelling pay raises

Postby KeithE » Wed Sep 12, 2018 6:04 pm

KeithE wrote:Just hours after eliminating the ~2% pay raise for Federal employees, Trump showed his shear disdain for ordinary people in preference to those who have capital gains (mostly the wealthy and real estate/company flippers). This is just proposed at this time - call, email for congressional reps!. If they do nothing (which is their habit, these days), Trump will put this into effect via Exec Order (he has that power).

Just Hours After Ordering Pay Cut for Millions of Public Workers, Trump Proposes $100 Billion Gift to Richest 1%

Hours after he launched yet another "direct attack" on workers by canceling a modest pay raise for around two million federal employees, President Donald Trump told Bloomberg on Thursday that he is considering a regressive and possibly illegal plan to use his executive power to hand the rich another $100 billion in tax cuts by indexing capital gains to inflation.

"There are a lot of people that love it and some people that don't," Trump said of the plan, which would disproportionately reward the top 0.01 percent of Americans. "But I'm thinking about it very strongly."

Trump's Oval Office interview with Bloomberg came shortly after the president announced in a letter to congressional leaders that he is freezing a planned 2.1 percent pay increase for federal workers just ahead of Labor Day, claiming that "federal agency budgets cannot sustain such increases."

But for Trump and the Republican Party, concerns for "fiscal sustainability" are quickly dropped when it comes time to deliver major gifts to the rich.


Capital gains is basically a painless way to amass fortunes, particularly good for company traders / real estate moguls - like Trump was/is (but will not be, since his future after office is no doubt jail time).

Who would get this benefit distributionally?

78.9% goes to top 1%, 11.9% to next 4%


More on this second tax cut for the rich.

Because 'Richest Americans Do Not Need Another Massive Tax Cut,' 776 Groups Urge Congress to Stop Tax Scam 2.0

This is still not passed. So complain to your Congress reps.

Meanwhile the annual deficit has exploded under Trump/Rep Congress and expected to increase until at least 2020 unless spending is cut and revenues increased. This second tax cut (this time exclusively for the rich investor class claiming capital gains) would make this worse.
CBO Sees $804 Billion 2018 Deficit, $1 Trillion Gap By 2020

As typical the deficit goes higher when Republicans are in charge and down when Democrats are in power. Obama reduced the annual deficit from $1.55 T in 2009, down to $0.43T in 2005, then up to $0.65T by 2017 (after Republics retook Congress). BTW, FY 2009 is a Bush budget year and 2017 is a Obama budget year.

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Re: Cancelling pay raises

Postby Sandy » Sun Sep 16, 2018 9:23 am

In the event that anyone thinks the federal pay scale is inefficient, or tilted toward the employees, here's a website with the pay scale information. It is calculated based on cost of living in a specific area, so the same job at Ft. Meade, Maryland may not pay the same as Ft. Huachuca, Arizona. Noting that a lot of jobs at military bases in particular are not directly under the federal pay scale, but are through private, for-profit contractors who pay less, and deduct larger percentages of worker salaries to cover benefits packages. And don't think those benefit packages are spectacular, either. Most of that is done by contract also, and while they are for the most part comparable to the private sector, they are not what most people think.

If you give this a little bit of thought, if the economy is as good as he claims it is, why hold back raises from a group of employees in the economy who haven't had one because your own party keeps lip flapping about "fiscal responsibility."? Federal wage increases would simply add to the economic growth. But of course, federal wage earners are middle class, and it is unforgiveable among Trumpites to do anything that benefits the middle class. They are the people on whom you are going to unload the tax burden so the rich can rake it in.

https://www.opm.gov/policy-data-oversig ... -schedule/
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