House Moves on FERS Sick Leave Credit Bill

 

On July 30th the House of Representatives passed a bill supported by the National Postal Mail Handlers Union that would credit  prospective Federal Employee Retirement System (FERS) retirees for accumulated sick leave. Currently,  employees under FERS are in a “use it, or lose it” vice.

The legislation (HR 1108) has the following formula that would kick in upon retirement: any FERS employee who retires within three years after the bill is signed into law by the President would receive credit at retirement for ¾ of their accumulated unused sick leave. If the employee retirees after the three year window, full credit for 100% of unused sick leave would be granted. The credit cannot be used for retirement eligibility. The bill would be prospective and not affect persons who retire before it is signed into law.

“We have been working closely with the staff of Congressmen Jim Moran (D-VA) and Henry Waxman (D-CA) on formulating this legislation,” said National President John F. Hegarty. “It is all about `fairness’. This legislation would put FERS employees on a par with Civil Service Retirement System Employees.

“This is a giant first step—but only a first step. The bill must pass the Senate, survive a joint House-Senate conference, and be signed into law by the President,” noted Hegarty. At this point, the White House has not commented on this particular provision. However, it is part of the “Family Smoking and Prevention Tobacco Act,” which the President has said is bait for a veto. Because the Senate and House have adjourned until after Labor Day, there will be no action on the bill for the next month.

“We need you, our activists, to stay tuned. We will provide information as we get a clearer picture of what the intentions of the Senate Committee on Homeland Security and Government Affairs  and the full Senate are. It will be important that our members, who live in all 50 states, send a message to Senators that we support this improvement to the retirement system. Given enough bi-partisan support, we may be able to overcome the White House.”

Both the Senate and House return after Labor Day for the month of September, before they adjourn until Election Day on November 4.