Under current law (5 U.S.C. 5303), the across-the-board portion of the General
Schedule (GS) pay adjustment in January 2005 will be 2.5 percent unless Congress
enacts legislation providing for a different amount.
Under an alternative plan issued by President George W. Bush on November
29, 2004, locality pay percentages will remain at current levels in 2005 unless
Congress enacts legislation providing for a different amount.
Legislation is pending in Congress that would provide for a 3.5 percent
overall GS pay increase in January 2005. If that legislation is enacted, the
President will allocate the total increase between an across-the-board increase
and locality pay increases by means of an Executive order that will be issued
later this year to implement the January 2005 pay adjustments.
The Office of Personnel Management (OPM) will post pay tables and accompanying
guidance to Federal agencies as soon as possible after final decisions have
been made regarding the January 2005 GS pay increase.
Special Salary Rates
OPM is now conducting its annual review of existing special salary rates
authorized under 5 U.S.C. 5305. Final decisions about increases in special
rate schedules will be posted as soon as possible after the completion of
the annual review and the issuance of the President's Executive order to implement
the January 2005 GS pay increase.
Federal Wage System
The issuance of appropriated fund and nonappropriated fund Federal Wage
System (FWS) wage schedules effective in FY 2005 will be delayed until Congress
completes action on pending legislation that would establish limits on FWS
pay adjustments in FY 2005. FY 2005 wage schedules will be retroactive to
their normal effective dates. The FY 2004 FWS wage schedules are available
on the Department of Defense Web site at http://www.cpms.osd.mil/wage/wage.html.
Senior Executive Service
Under current law, the maximum rates of basic pay for the Senior Executive
Service (SES)-i.e., the rate for level II of the Executive Schedule for certified
SES appraisal systems and the rate for level III of the Executive Schedule
for noncertified SES appraisal systems-will be increased by 2.5 percent in
January 2005, the same as the increase in the Executive Schedule. In addition,
the minimum rate of the SES rate range will increase by 2.5 percent under
current law, the same amount as the across-the-board GS pay increase authorized
by current law.
Administrative Law Judges
Within certain limits specified by law, the President is authorized to determine
the annual across-the-board pay adjustment for administrative law judges (ALJs).
The President's decision will be reflected in the Executive order to implement
the January 2005 pay adjustments.
Senior-Level and Scientific or Professional Positions
Under current law, the maximum rate of basic pay for employees in senior-level
(SL) and scientific or professional (ST) positions will be increased by 2.5
percent, the same as the increase in the Executive Schedule, and the minimum
rate will increase by 2.5 percent, the same amount as the across-the-board
GS pay increase authorized by current law.
Extension of Locality Payments to Other Employees
The President's Pay Agent (the Secretary of Labor and the Directors of the
Office of Management and Budget and OPM) is authorized to determine whether
the GS locality payments will be extended to ALJs, employees in SL/ST positions,
and certain other non-GS categories of employees again in 2005. The Pay Agent's
decision will be announced later this year.
Executive Schedule
Under current law, the rates of pay for Executive Schedule officials, the
Vice President, Members of Congress, and Judges and Justices will be increased
by 2.5 percent in January 2005.