Dem lawmakers propose 4.1% raise for feds in 2027
The Federal Adjustment of Income Rates Act, introduced by Rep. James Walkinshaw, D-Va., and Sen. Brian Schatz, D-Hawaii, would provide federal workers with a 3.1% across-the-board increase in basic pay next year, in addition to an average 1% boost to locality pay.
Lawmakers have introduced similar legislation each year for more than a decade, albeit with slightly different raise figures, and is aimed at setting a benchmark ahead of negotiations over federal worker compensation once budget talks in the spring. Last year, the measure called for a 4.3% average increase, of which 1% would have been set aside for locality pay, in the last iteration of the bill introduced by the late Rep. Gerry Connolly, D-Va.
“Federal workers are the backbone of America, delivering the essential services and benefits that families have earned in every corner of our country,” Walkinshaw said in a statement. “They serve communities nationwide and have done so honorably even as the Trump administration has launched unprecedented attacks on the civil service. The FAIR Act delivers a much-needed 4.1% pay raise in 2027 so federal pay can keep pace with the cost of living and public service careers remain competitive.”
A 4.1% average pay raise would be a stark improvement over the 1% across-the-board pay increase most feds received last month. President Trump also authorized an additional 2.8% raise for federal law enforcement officers, in line with 2026’s 3.8% raise for military service members.
Walkinshaw and Schatz’s measure drew quick endorsements from the two largest federal employee unions.
“Federal employees have long faced a significant gap in salaries as compared to their private-sector counterparts—nearly 27% lower on average nationwide—making it hard to recruit and retain the dedicated public servants our nation deserve,” said Everett Kelley, national president of the American Federation of Government Employees. “[Fair] pay isn’t just good for federal workers—it’s also good for the quality of government services and the people we all serve.”
“Federal employees live and work in every state and congressional district across the country providing critical services for our nation and the American people,” said National Treasury Employees Union President Doreen Greenwald. “However, their pay falls far below that of individuals in comparable jobs in the private sector. NTEU applauds Sen. Schatz and Rep. Walkinshaw and the many members of Congress who cosponsored this bill for supporting federal workers receiving a fair pay increase in 2027 to ensure that employees can keep up with the costs of living and that the federal government can recruit and retain talented workers.”
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