Economic Fatigue, Obama Want to Defer Salary Increase

President of the United States (U.S.), Barack Obama, called for suspension of salary increases for central government employees (federal). The delay was proposed for two years.
According to the CNN page, on Monday night local time, the idea must be approved by Congress. If approved, the policy would affect two million federal employees in 2011 and 2012. The idea was raised of government to address a growing budget deficit.

According to government calculations, suspension of salary increases for two years would save the government budget of U.S. $ 2 billion for the remainder of fiscal year 2011 and U.S. $ 28 billion for the next five years. However, the amount was very small annual budget deficits than the U.S. suffered U.S. $ 1.3 trillion.

This policy will not apply to military personnel, but have an impact on all federal government employees, including those working in the Department of Defense.

'The fact that bitter in an effort to control the budget deficit is a need for some sacrifice. And the sacrifice must be shared equally by employees of the federal government,' Obama said.

According to the daily pages of The Wall Street Journal, if approved by Congress, the policy was clearly disturbed the federal employees. 'I never thought that this government will solve the problem by cutting revenues,' said John Gage, chairman of the American Federation of Government Employees (AFL-CIO), which consists of about 600,000 federal employees.

Apart from the idea that the government, officials plan would enjoy a 1.4 percent salary increase in 2011. However, many civil servants in net income will decline as rising health insurance premiums, on average by 7.2 percent.