Groups Wants Lower Cap for Federal Contractor Compensation - State and Federal Communications

November 14, 2012  •  

Groups Wants Lower Cap for Federal Contractor Compensation

government buildingSome federal employees and interest groups are asking lawmakers to lower the cap on non-Department of Defense (DOD) contractor compensation.

Yesterday, in a letter addressed to leaders of the Senate and House Financial Services Appropriations Subcommittees, a coalition of 11 public interest, government accountability, research, and labor groups urged a reduction in the maximum allowable compensation to $400,000 for non-DOD contract employees.

Referring to a Senate version of the 2013 Financial Services Appropriations Bill that is being considered by Congress, the letter argues the cap is needed for “fiscal responsibility and fairness.” The petitioners submit the increase in allowable governmental compensation to contractors has “outpaced inflation by 53 percent” in the last 12 years while the salaries for government employees, the military workforce, and elected officials has stagnated or been frozen.

The letter reasons, “It is grossly unfair to expect working people to pay for the inflated salaries for contractor employees.”

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