Calls from Members like Rep. Peters Cited as Reason for Action to Freeze Pay

Washington, D.C. – The House of Representatives today is expected vote to halt a pay raise for Members of Congress until at least 2011.  Congressman Gary Peters, who co-sponsored legislation to stop congressional pay raises in January, reiterated his support for stopping congressional pay raises today. 

“Members of Congress should not get a raise right now,” said Rep. Peters.  “Our country has lost over three and half million jobs since the beginning of 2008.  Many who have not been laid off still face reduced hours, pay decreases or loss of benefits.  Retirees have seen their savings decimated.  It would be unacceptable for Members of Congress to receive a pay increase while so many others are taking pay cuts or losing their incomes altogether.”

The congressional pay freeze will be voted on today as part of legislation to complete work on the federal budget for fiscal year 2009 (President Obama will release his budget for fiscal year 2010 tomorrow).  Earlier this month, congressional leadership directed the House Appropriations committee to add a provision stopping a pay raise to the FY09 budget bill.  News reports suggested it was calls like those from Peters and other rank-and-file Democrats that led House leadership to insert the pay freeze provision into the bill. 

Congressional pay raises are determined by a formula known as the Employment Cost Index, which is computed by the Bureau of Labor Statistics.  This formula provides Members of Congress with a cost of living adjustment based on average cost of living increases in the private sector.  The congressional pay increase occurs automatically each year, and will result in a pay raise this year if legislative action is not taken to freeze Member pay.  If passed in the House today, the FY09 budget bill will head to the Senate.  If ultimately enacted, this would be the first time in 10 years Members of Congress did not receive the annual raise.

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