Plain Language Summary
# FAIR Act Summary **What It Does** The Federal Adjustment of Income Rates (FAIR) Act would give federal employees a pay raise in 2026. The bill proposes a 3.3% increase in base salaries for most federal workers and those paid at prevailing wage rates, along with a smaller 1% increase in locality pay (additional compensation based on where employees live and work). **Who It Affects** This legislation would directly impact federal employees across government agencies—people working for agencies like the Social Security Administration, Veterans Affairs, the IRS, and other federal departments.
It could indirectly affect taxpayers who fund federal government operations. **Current Status** The bill is currently in committee (S 126 in the 119th Congress), meaning it has been introduced but hasn't yet been debated or voted on by the full Senate. It was sponsored by Senator Brian Schatz (D-HI).
CRS Official Summary
Federal Adjustment of Income Rates Act or the FAIR ActThis bill modifies pay rates for federal employees in 2026. Specifically, the bill increases rates under the statutory pay systems and for prevailing rate employees by 3.3% and increases locality pay by 1%.
Latest Action
Read twice and referred to the Committee on Homeland Security and Governmental Affairs.