This bill bars pay raises for federal employees for one year and requires reductions in the number of employees at each federal agency.

The bill prohibits agencies from increasing the basic pay of any employee for one year after enactment. Also in that first year, the bill prohibits each federal agency from increasing the number of its employees beyond the number employed on the date of the bill's enactment, except that the agency may increase such number (1) when making appointments to positions related to law enforcement, public safety, or national security; or (2) if the individual so appointed is essential to emergency response under the Stafford Act. (The Stafford Act authorizes the President to issue declarations that provide states, tribes, and localities with a range of federal assistance in response to natural disasters and man-made incidents).

Additionally, the bill requires reductions in force such that within three years of the bill's enactment the number of employees at each agency is 5% lower than it was on the date of the bill's enactment. Employees that serve the interest of law enforcement, public safety, or national security or are essential to emergency response under the Stafford Act are not counted for the purposes of determining the number of employees at each agency.