Federal Employee Return to Work Act

# Federal Employee Return to Work Act Summary **What the bill would do:** This bill would prevent federal employees who work from home at least one day per week from receiving certain pay raises. Currently, all federal employees automatically receive annual pay increases based on two factors: national cost-of-living adjustments and locality-based pay differences (to match regional living costs). Under this bill, teleworking employees would be excluded from receiving these raises, effectively freezing their pay while office-based employees continue to receive increases. **Who it affects:** The bill targets federal employees in the General Schedule pay system who telework regularly—roughly 1 in 5 federal workers are eligible for remote work. It would also apply to employees on alternative work schedules if they work from home 20% or more of the time.

This could impact employees across various federal agencies, from the IRS to the Department of Veterans Affairs. **Current status and key details:** The bill (S. 27) was introduced by Senator Bill Cassidy (R-LA) in the 119th Congress and is currently in committee, meaning it hasn't yet been debated or voted on by the full Senate. The bill would take effect at the start of the next fiscal year after passage. Supporters argue it encourages return-to-office work, while critics contend it amounts to a pay cut for remote workers compared to their office-based peers.