COLA Increase 2024 Federal Workers to Receive 5.2% Pay Raise Under Biden Administration

COLA Increase 2024 Federal Workers to Receive 5.2% Pay Raise Under Biden Administration. In an official announcement, the White House has detailed its plan to provide federal employees with a pay increase for the year 2024, averaging 5.2%. This significant move, revealed on August 31 in a letter to Congress, underscores the government’s commitment to ensuring equitable compensation for its workforce.

President Biden Rationale for the Pay Increase

In the letter addressed to Congress, President Joseph R. Biden Jr. explained the reasoning behind this decision, citing legal provisions from Title 5, United States Code. He emphasized that these adjustments were essential due to the ongoing “national emergency or serious economic conditions affecting the general welfare,” making them particularly fitting for the current challenging circumstances.

Details of the Pay Adjustments

President Biden specified the pay adjustments for the upcoming year, which include a 4.7% increase in across-the-board base pay and an average of 0.5% in locality pay raises. These combined adjustments result in an overall average pay increase of 5.2% for civilian federal employees, aligning with the assumptions made in the 2024 Budget.

Biden Focus on Retaining a Skilled Federal Workforce

The initial announcement of this pay raise plan was made within the context of the fiscal budget proposal, making it the most significant pay increase recommendation for civilian federal workers in the 2024 fiscal year. The finalized tables outlining the federal pay raise for 2024 are expected to be released by the Office of Personnel Management in December.

President Biden underscored the importance of offering fair compensation to attract and retain a highly skilled federal workforce, crucial for the effective operation of the government and addressing the nation’s current and future challenges. He affirmed, “We must attract, recruit, and retain a skilled workforce with fair compensation in order to keep our Government running, deliver services, and meet our Nation’s challenges today and tomorrow.”

Promoting a Well-Qualified Federal Workforce

This alternative pay plan decision is viewed as a key factor in sustaining a well-qualified federal workforce, ensuring that their compensation keeps pace with wage growth in the labor market. The specified adjustments are set to go into effect from the start of the initial applicable pay period on or after January 1, 2024, representing a significant step toward fair compensation for federal employees.