...for as long as it takes
by Gerry J. Gilmore
WASHINGTON (Army News Service, March 10, 1999) - A raise in pay next year for military members seems pending -- the question is, how much?
Congress is currently examining options for service-wide pay raises and a revamped retirement system proposed in President Bill Clinton's FY 2000 defense budget, according to a Department of Defense official.
The president's proposal includes a 4.4-percent across-the-board pay raise for service members and DoD civilian employees. The Senate has recommended a 4.8-percent across-the-board-raise for military and civilians.
Both the proposed 4.4- and 4.8-percent across-the-board raises exceed anticipated private-sector pay hikes and estimated inflation rates, officials said.
By law, Congress must approve any proposed changes in military pay or retirement compensation, according to DoD officials. Any congressionally approved across-the-board military/DoD civilian pay raises for next year will likely become effective Jan. 1, 2000, officials said, however, it can't be predicted when such raises would be approved.
In addition to the across-the-board pay raise, both the President's and the Senate's pay raise proposals include additional "targeted pay" adjustments that would take effect July 1, 2000. The additional compensation would be targeted primarily to mid-level noncommissioned and commissioned officers, and would generally reward performance over length of service, according to DoD compensation officials.
If approved, officials said, this added pay would be distributed in amounts of 0.1 to 5.5 percent.
The president's proposed FY '00 DoD budget recommended the repeal of the so-called "Redux" military retirement system, and the resurrection of the previous 50-percent retirement system. Enacted in 1986, "Redux" pays service members 40-percent of basic pay after 20 year's service.
The Senate has recommended that service members choose between a 40-percent retirement system after 20 year's service, plus a $30,000 lump-sum payment; or the 50-percent retirement system, according to officials.Congress debates military pay issues
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