If the goal is to reduce government expenditure why not increase the Federal Employees Retirement System (FERS) contribution requirements for career employees?
BACKGROUND:
Under the Federal Employees Retirement System (FERS), most federal employees contribute between 0.8% and 4.4% of their salary towards their pension:
- List item those hired before 2013 typically contribute 0.8%
- those hired 2013 contribute 3.1%,
- those hired in 2014 or later contribute 4.4% of their salary
SOLUTION:
Increase the FERS contribution requirement to allow parity between all hirees (at the very least) or make it say 10-15% if you have +10-20 years of experience to “force them” out the door, this will incentivize early retirement and ensure the system is solvent (unlike social security). The system as is has those making the MOST $ paying the LEAST into the system.
Physicians in the federal system are the top 99% earners. I know of many with several decades at VA paying in 0.8% of their pay into FERS and will be retiring on nearly $100,000 a year just from their pension. Meanwhile other workers (or even early career physicians), who will be making LESS $ (because less years of experience, it’s not meritocratic) while simultaneously paying QUADRUPLE into FERS.
The system stands to benefit career lifetime government employees and should change.