Photo Credit: DVIDSHUBOn August 29, President Obama sent a letter notifying Congress that he is using his authority under law to cap the active duty military pay raise at 1 percent in 2015.
Typically the active duty pay raise is determined by private sector wage growth, measured by the Bureau of Labor Statistics’ Employment Cost Index (ECI). The ECI calls for a 1.8 percent pay raise in 2015. [In other words, Obama’s unilateral action has created a .8% pay reduction (1.8% – 1%) for our troops]
However, the President has executive authority to make an alternative pay adjustment if he considers it necessary due to national emergency or economic concerns.
This is the second consecutive year the President used his authority to implement a lower pay raise.
From 2000 to 2012, Congress worked hard to eliminate a 13.5 percent military pay gap with the private sector caused by repeatedly capping military raises in the 1980s and ‘90s.
Read more from this story HERE.