Bill to Give Major Tax Cuts to the Ultra Wealthy Stalled in Committee

On May 16, 2025, the House Budget Committee voted by a margin of 21-16 against advancing a bill that would give $4.5 trillion in tax cuts to the ultra wealthy on the backs of the working class. This rejection will likely delay the process and we will continue to fight to change the bill before it gets another vote.

Unfortunately, some of the committee members who opposed the bill did so in an attempt to inflict more spending cuts. Remember that in order to pay for these massive tax cuts, Congress has opted to reduce government expenses, including our pensions. Within this tax cut bill there are direct attacks on the Federal Employees Retirement System (FERS), including:

1. Replacing the High-3 FERS annuity calculation with a High-5 calculation, resulting in a reduction in annuity payments
2. Eliminating the FERS Social Security supplement, which would deny workers who are eligible to retire the supplemental payments used to bridge the gap before their Social Security benefits begin at age 62
3. Increasing the mandatory FERS annuity contribution rate for all active employees to 4.4%

Members of Congress, on both sides of the aisle, have spoken out against cuts to our pensions. However, many senior leaders in Congress, and the White House, are actively working to convince members to reconsider their opposition to the bill, and to pass it through the House of Representatives before Memorial Day.

Because we don’t know what the final bill will include, now is the time to act! We encourage APWU members and supporters to call our Legislative Hotline at 844-402-1001 and urge your House representative to OPPOSE any cuts to federal and postal pensions!