On May 16, Sen. Alex Padilla (D-CA) introduced the Equal COLA Act (S. 4221). FMA endorsed this legislation, which is a companion bill to legislation (H.R. 304) introduced in the House of Representatives.

The Equal COLA Act would provide Federal Employees Retirement System (FERS) retirees with a full cost-of-living adjustment (COLA). FERS retirees’ COLAs are reduced under current law: When the CPI-W increase is 3 percent or greater, as in 2022, the COLA is reduced by 1 percent. If the CPI-W is between 2 and 3 percent, FERS retirees see a 2 percent COLA, and when the CPI-W is less than 2 percent, the COLA is equal to the price index. The Equal COLA Act would allow FERS employees to combat inflation and maintain the value of their annuities.

S. 4221 has five cosponsors and was referred to the Senate Homeland Security and Governmental Affairs. To follow the progress of S. 4221 and H.R. 304, please click here.