[Analytical Perspectives]
[Special Analyses and Presentations]
[10. Federal Employment]
[From the U.S. Government Publishing Office, www.gpo.gov]
[[Page 247]]
10. FEDERAL EMPLOYMENT AND COMPENSATION
This section provides information on civilian employment policy as
well as civilian and military employment, and personnel compensation and
benefits, in the Executive, Legislative, and Judicial branches. A
comparison of Federal employment levels, State and local government
employment, and the United States population appears in the Historical
Tables. Additional tables on civilian employment reductions appear in
the Budget volume.
Civilian Employment Policy
The Administration policy is to provide Executive Branch agencies with
flexibility to hire the right numbers of staff to meet program
requirements. While it is not the norm, agency or sub-agency employment
targets may be necessary when it is determined to be the most efficient
or effective method of achieving Administration goals.
Federal Civilian Employment in the Executive Branch
Civilian employment in the Executive Branch is measured on the basis
of full-time equivalents (FTEs). One FTE is equal to one work year or
2,080 non-overtime hours. Put simply, one full-time employee counts as
one FTE, and two half-time employees also count as one FTE.
The Federal Workforce Restructuring Act (FWRA) of 1994 (P.L. 103-226)
was enacted March 30, 1994. The Act established FTE limitations
(``ceilings'') for Executive Branch civilian employees through 1999. The
starting point used to calculate FTE reductions required by the FWRA,
called the 1993 base, is the estimate of FTEs for 1993 made in January
of that year. Between the 1993 base and FY 1999, the Act requires a cut
of 272,900 FTEs. The 2000 budget continues the implementation of the
reductions pursuant to the Act. The limitations established by the Act,
as well as the reductions to date, are as follows:
----------------------------------------------------------------------------------------------------------------
Reduction
FWRA Civilian Cumulative as percent
Year Ceiling FTEs reduction of 272,900
From 1993 cut
----------------------------------------------------------------------------------------------------------------
1993 Base....................................................... 2,155,200
1994............................................................ 2,084,600 2,052,700 -102,500 38%
1995............................................................ 2,043,300 1,970,200 -185,000 68%
1996............................................................ 2,003,300 1,891,700 -263,500 97%
1997............................................................ 1,963,300 1,834,700 -320,500 117%
1998............................................................ 1,922,300 1,790,200 -365,000 134%
1999 est........................................................ 1,882,300 1,801,600 -353,600 130%
----------------------------------------------------------------------------------------------------------------
Table 10-1 provides agency-wide totals from the 1993 base through
2000.
Allocations of FTE resources by agency are made based upon
Presidential priorities and other factors. While most of the agencies in
Table 10-1 show FTE reductions between 1993 and 2000, several agencies,
such as the Department of Commerce and the Department of Justice, show
an increase in FTEs.
Recent Trends in Civilian Employment Estimates in the Executive Branch
Each year the Budget reports actual FTEs in the prior year column, and
estimates of FTEs in the current and budget years. In four of the five
years since the FWRA was enacted, the current year FTE estimates for
nearly all agencies in the Budget have been over-stated when compared to
the actual published in the following year's Budget. The table below
shows this trend:
------------------------------------------------------------------------
Year Estimate Actual Over-Statement
------------------------------------------------------------------------
1994........................ 2,042.1 2,052.7 -10,700 (-0.5%)
1995........................ 2,017.8 1,970.2 +47,600 (+2.4%)
1996........................ 1,940.8 1,891.7 +49,100 (+2.5%)
1997........................ 1,881.3 1,834.7 +46,600 (+2.5%)
1998........................ 1,837.4 1,790.2 +47,200 (+2.6%)
------------------------------------------------------------------------
Total Federal Employment Levels
The tables that follow show total Federal employment in all branches
of Government, as well as the U.S. Postal Service, Postal Rate
Commission, and active duty uniformed military personnel. Table 10-2
displays total Federal employment as measured by actual positions
filled, i.e., the total number of employees, whether full-time, part-
time or intermittent, at the end of the fiscal year. Table 10-3 shows
total Federal employment as measured on an FTE basis.
Personnel Compensation and Benefits
Table 10-4 displays personnel compensation and benefits for all
branches of Government, as well as for military personnel.
Direct compensation of the Federal work force includes base pay and
premium pay, such as overtime. In addition, it includes other cash
components, such as geographic pay differentials (i.e., locality pay,
and special pay adjustments for law enforcement officers), recruitment
and relocation bonuses, retention allowances, performance awards, and
cost-of-living and overseas allowances.
In the case of military personnel, compensation includes basic pay,
special and incentive pays (including enlistment and reenlistment
bonuses), and allowances for clothing, housing, and subsistence.
[[Page 248]]
Related compensation in the form of personnel benefits for current
employees consists of the cost to Government agencies (as an employer)
primarily for health insurance, life insurance, Social Security (old
age, survivors, disability, and health insurance) and contributions to
the retirement funds to finance future retirement benefits. Compensation
for former personnel includes outlays for retirement pay benefits, and
the Government's share of the cost of health and life insurance.
Table 10-1. FEDERAL EMPLOYMENT IN THE EXECUTIVE BRANCH
(Civilian employment as measured by Full-Time Equivalents, in thousands)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Actual Estimate Change: 1993 base
1993 -------------------------------------------------------------------------------- to 2000
Agency Base -------------------
1993 1994 1995 1996 1997 1998 1999 2000 FTE's Percent
--------------------------------------------------------------------------------------------------------------------------------------------------------
Cabinet agencies:
Agriculture \1\......................... 115.6 114.4 109.8 103.8 100.7 98.5 96.4 98.0 97.6 -18.0 -15.6%
Commerce................................ 36.7 36.1 36.0 35.3 33.8 32.6 35.7 47.5 92.9 56.1 152.9%
Defense-military functions.............. 931.3 931.8 868.3 821.7 778.9 745.8 707.2 686.5 662.9 -268.4 -28.8%
Education............................... 5.0 4.9 4.8 4.8 4.7 4.5 4.5 4.7 4.7 -0.3 -5.7%
Energy.................................. 20.6 20.3 19.8 19.7 19.1 17.3 16.3 16.5 16.2 -4.4 -21.5%
Health and Human Services \1\........... 65.0 66.1 62.9 59.3 57.2 57.6 57.9 60.5 62.0 -2.9 -4.5%
Social Security Administration.......... 65.4 64.8 64.5 64.6 64.0 65.2 64.0 63.8 63.6 -1.8 -2.8%
Housing and Urban Development........... 13.6 13.3 13.1 12.1 11.4 11.0 9.8 10.6 10.6 -3.0 -22.3%
Interior................................ 79.3 78.1 76.3 72.0 66.7 65.7 66.5 68.3 69.9 -9.4 -11.8%
Justice................................. 99.4 95.4 95.3 97.9 103.8 111.0 117.3 124.1 128.7 29.3 29.5%
Labor................................... 18.3 18.0 17.5 16.8 16.0 15.9 16.3 16.9 17.4 -0.9 -5.1%
State................................... 35.0 34.2 33.5 31.8 30.2 29.2 26.4 26.9 27.6 -7.4 -21.2%
Transportation.......................... 70.3 69.1 66.4 63.2 62.4 62.5 63.4 65.0 65.8 -4.6 -6.5%
Treasury................................ 166.1 161.1 157.3 157.5 151.1 145.5 142.1 145.4 146.1 -20.0 -12.0%
Veterans Affairs \1\.................... 232.4 234.2 233.1 228.5 221.9 211.5 207.1 205.4 197.9 -34.5 -14.8%
Other agencies--excluding Postal Service:
Agency for International Development \1\ 4.4 4.1 3.9 3.6 3.4 2.8 2.7 2.6 2.6 -1.8 -41.2%
Corps of Engineers...................... 29.2 28.4 27.9 27.7 27.1 26.0 24.8 25.2 24.7 -4.5 -15.3%
Environmental Protection Agency......... 18.6 17.9 17.6 17.5 17.2 17.0 17.7 18.4 18.4 -0.2 -0.9%
Equal Employment Opportunity Commission. 2.9 2.8 2.8 2.8 2.7 2.6 2.5 2.8 2.9 0.1 3.2%
Federal Emergency Management Agency..... 2.7 4.0 4.9 4.6 4.7 5.1 4.6 4.6 4.7 2.0 72.4%
FDIC/RTC................................ 21.6 21.9 20.0 15.7 11.8 8.7 7.9 7.3 6.9 -14.6 -67.9%
General Services Administration......... 20.6 20.2 19.5 17.0 15.7 14.5 14.1 14.2 14.2 -6.5 -31.5%
National Aeronautics and Space
Administration......................... 25.7 24.9 23.9 22.4 21.1 20.1 19.1 18.8 18.2 -7.6 -29.4%
National Archives and Records
Administration......................... 2.8 2.6 2.6 2.4 2.5 2.5 2.4 2.6 2.6 -0.1 -3.7%
National Labor Relations Board.......... 2.1 2.1 2.1 2.0 1.9 1.9 1.9 1.9 2.0 -0.1 -6.7%
National Science Foundation............. 1.3 1.2 1.2 1.2 1.3 1.2 1.2 1.2 1.2 -0.1 -10.7%
Nuclear Regulatory Commission........... 3.4 3.4 3.3 3.2 3.1 3.0 3.0 2.9 2.8 -0.6 -17.6%
Office of Personnel Management.......... 6.2 5.9 5.3 4.2 3.4 2.8 2.8 3.0 3.0 -3.2 -51.9%
Panama Canal Commission................. 8.7 8.5 8.5 8.8 9.0 9.5 9.6 10.2 2.5 -6.2 -71.0%
Peace Corps............................. 1.3 1.2 1.2 1.2 1.1 1.1 1.1 1.2 1.2 -0.1 -4.8%
Railroad Retirement Board............... 1.8 1.8 1.7 1.6 1.5 1.4 1.3 1.2 1.2 -0.7 -37.2%
Securities and Exchange Commission...... 2.7 2.7 2.7 2.7 2.8 2.8 2.8 2.8 2.9 0.2 5.8%
Small Business Administration........... 4.0 5.6 6.3 5.7 4.7 4.5 4.4 4.6 4.6 0.6 15.4%
Smithsonian Institution................. 5.9 5.5 5.4 5.3 5.1 5.0 5.0 5.2 5.2 -0.6 -10.9%
Tennessee Valley Authority.............. 19.1 17.3 18.6 16.6 16.0 14.9 14.4 13.9 13.7 -5.4 -28.4%
All other small agencies................ 15.9 15.2 14.7 14.9 13.9 13.6 16.0 17.0 17.3 1.5 9.2%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Total, Executive Branch civilian
employment............................... 2,155.2 2,138.8 2,052.7 1,970.2 1,891.7 1,834.7 1,790.2 1,801.6 1,816.8 -338.4 -15.7%
Reduction from 1993 Base................ ........ -16.4 -102.5 -185.0 -263.5 -320.5 -365.0 -353.6 -338.4 ........ ........
Subtotal, Defense......................... 931.3 931.8 868.3 821.7 778.9 745.8 707.2 686.5 662.9 -268.4 -28.8%
Subtotal, Non-Defense..................... 1,223.9 1,207.1 1,184.4 1,148.4 1,112.8 1,088.9 1,083.0 1,115.2 1,153.9 -70.0 -5.7%
-------------------------------------------=============================================================================================================
Status of Federal Civilian Employment
Relative to the Federal Workforce
Restructuring Act \2\
Total, Executive Branch Employment...... NA NA 2,052.7 1,970.2 1,891.7 1,834.7 1,790.2 1,801.6 NA NA NA
Less: FTEs exempt from FWRA............. NA NA 5.7 5.7 7.6 7.4 5.2 5.5 NA NA NA
Total, Executive Branch subject to FWRA
Ceiling................................ NA NA 2,047.0 1,964.4 1,884.1 1,827.3 1,785.0 1,796.1 NA NA NA
FWRA Ceiling............................ NA NA 2,084.6 2,043.3 2,003.3 1,963.3 1,922.3 1,882.3 NA NA NA
Executive Branch Employment Relative to
FWRA Ceiling........................... NA NA -37.6 -78.9 -119.2 -136.1 -137.3 -86.2 NA NA NA
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ The Departments of Agriculture, Health and Human Services, Veterans Affairs, and the Agency for International Development have components that are
exempt from FTE controls. In 1999, Agriculture has 2,128 exemptions; HHS has 358 exemptions; Veterans Affairs has 3,000 exemptions and AID has 10
exemptions.
\2\ FTE liminations are set for the Executive Branch in the Federal Workforce Restructuring Act of 1994 (P.L. 103-226) from 1994-99.
[[Page 249]]
Table 10-2. TOTAL FEDERAL EMPLOYMENT
(As measured by total positions filled)
----------------------------------------------------------------------------------------------------------------
Actual as of September 30 Change: 1996 to 1998
Description ----------------------------------------------------------
1996 1997 1998 Positions Percent
----------------------------------------------------------------------------------------------------------------
Executive branch civilian employment:
All agencies except Postal Service and Postal Rate
Commission:
Full-time permanent.............................. 1,707,974 1,651,559 1,624,152 -83,807 -4.9%
Other than full-time permanent \1\............... 225,957 220,232 231,644 5,687 2.5%
----------------------------------------------------------------------------------------------------------------
Subtotal....................................... 1,933,931 1,871,791 1,855,796 -78,120 -4.0%
------------------------------------------------------==========================================================
Postal Service: \2\
Full-time permanent................................ 652,855 648,684 660,987 8,132 1.2%
Other than full-time permanent..................... 199,478 204,666 210,533 11,055 5.5%
----------------------------------------------------------------------------------------------------------------
Subtotal......................................... 852,333 853,350 871,520 19,187 2.3%
------------------------------------------------------==========================================================
Subtotal, Executive branch civilian employment..... 2,786,264 2,725,141 2,727,331 -58,933 -2.1%
------------------------------------------------------==========================================================
Military personnel on active duty: \3\
Department of Defense.............................. 1,471,722 1,438,562 1,406,830 -64,892 -4.4%
Department of Transportation (Coast Guard)......... 35,243 35,137 35,459 216 0.6%
----------------------------------------------------------------------------------------------------------------
Subtotal, military personnel..................... 1,506,965 1,473,699 1,442,289 -64,676 -4.3%
------------------------------------------------------==========================================================
Subtotal, Executive Branch..................... 4,293,229 4,198,840 4,169,605 -123,609 -2.9%
------------------------------------------------------==========================================================
Legislative branch:
Full-time permanent................................ 13,288 12,696 12,399 -889 -6.7%
Other than full-time permanent..................... 18,259 18,659 18,075 -184 -1.0%
----------------------------------------------------------------------------------------------------------------
Subtotal, Legislative Branch..................... 31,547 31,355 30,474 -1,073 -3.4%
----------------------------------------------------------------------------------------------------------------
Judicial Branch:
Full-time permanent................................ 26,879 27,567 28,487 1,608 6.0%
Other than full-time permanent..................... 2,702 3,074 3,255 553 20.5%
----------------------------------------------------------------------------------------------------------------
Subtotal, Judicial Branch........................ 29,581 30,641 31,742 2,161 7.3%
------------------------------------------------------==========================================================
Grand total.......................................... 4,354,357 4,260,836 4,231,821 -122,521 -2.8%
------------------------------------------------------==========================================================
ADDENDUM
Executive branch civilian personnel (excluding Postal
Service):
DOD-Military functions \4\......................... 768,098 723,032 692,552 -75,546 -9.8%
All other executive branch......................... 1,165,833 1,148,759 1,163,244 -2,574 -0.2%
----------------------------------------------------------------------------------------------------------------
Total \5\........................................ 1,933,931 1,871,791 1,855,796 -78,120 -4.0%
----------------------------------------------------------------------------------------------------------------
\1\ Includes Summer Aides, Stay-in-school, Junior Fellowship, Worker-Trainee Opportunity Program, formerly
exempt from employment controls.
\2\ Includes Postal Rate Commission.
\3\ Excludes reserve components.
\4\ Excludes Defense Intelligence Agency.
\5\ Includes disadvantaged youth programs.
[[Page 250]]
Table 10-3. TOTAL FEDERAL EMPLOYMENT
(As measured by Full-Time Equivalents)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Estimate Change: 1998 to 2000
Description 1998 ---------------------------------------------
actual 1999 2000 FTE's Percent
--------------------------------------------------------------------------------------------------------------------------------------------------------
Executive branch civilian personnel:
All agencies except Postal Service and Defense.............................................. 1,082,969 1,115,150 1,153,910 70,941 6.6%
Defense-Military functions (civilians)...................................................... 707,242 686,458 662,928 -44,314 -6.3%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal, excluding Postal Service........................................................ 1,790,211 1,801,608 1,816,838 26,627 1.5%
Postal Service \1\.......................................................................... 837,399 842,422 847,259 9,860 1.2%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal, Executive Branch civilian personnel............................................. 2,627,610 2,644,030 2,664,097 36,487 1.4%
-----------------------------------------------------------------------------------------------=========================================================
Executive branch uniformed personnel: \2\
Department of Defense....................................................................... 1,422,467 1,391,916 1,390,787 -31,680 -2.2%
Department of Transportation (Coast Guard).................................................. 35,130 35,183 35,828 698 2.0%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal, uniformed military personnel.................................................... 1,457,597 1,427,099 1,426,615 -30,982 -2.1%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal, Executive Branch................................................................ 4,085,207 4,071,129 4,090,712 5,505 0.1%
-----------------------------------------------------------------------------------------------=========================================================
Legislative Branch: \3\ Total FTE............................................................. 30,415 30,755 30,900 485 1.6%
-----------------------------------------------------------------------------------------------=========================================================
Judicial branch: Total FTE.................................................................... 30,192 31,547 31,970 1,778 5.9%
-----------------------------------------------------------------------------------------------=========================================================
Grand total............................................................................... 4,145,814 4,133,431 4,153,582 7,768 0.2%
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Includes Postal Rate Commission.
\2\ Military personnel on active duty. Excludes reserve components. Data shown for Department of Defense are average strengths, not FTEs.
\3\ Actual 1998 FTE data not available for legislative branch.
[[Page 251]]
TABLE 10-4. PERSONNEL COMPENSATION AND BENEFITS
(In millions of dollars)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Estimate Change: 1998 to 2000
Description 1998 actual -----------------------------------------------------------
1999 2000 Dollars Percent
--------------------------------------------------------------------------------------------------------------------------------------------------------
Civilian personnel costs:
Executive Branch (excluding Postal Service):
Direct compensation:
DOD--military functions............................................... 31,766 32,088 31,980 214 0.7%
All other executive branch............................................ 54,893 58,674 61,840 6,947 12.7%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal, direct compensation....................................... 86,659 90,762 93,820 7,161 8.3%
Personnel benefits:
DOD--military functions............................................... 6,963 6,761 6,877 -86 -1.2%
All other executive branch \1\........................................ 21,760 23,058 24,316 2,556 11.7%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal, personnel benefits........................................ 28,723 29,819 31,193 2,470 8.6%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal, executive branch........................................ 115,382 120,581 125,013 9,631 8.3%
-----------------------------------------------------------------------------===========================================================================
Postal Service:
Direct compensation..................................................... 34,704 35,640 36,744 2,040 5.9%
Personnel benefits...................................................... 9,648 9,734 10,020 372 3.9%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal.............................................................. 44,352 45,374 46,764 2,412 5.4%
-----------------------------------------------------------------------------===========================================================================
Legislative Branch: \2\
Direct compensation..................................................... 1,273 1,356 1,434 161 12.6%
Personnel benefits...................................................... 275 307 313 38 13.8%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal.............................................................. 1,548 1,663 1,747 199 12.9%
Judicial Branch:
Direct compensation..................................................... 1,625 1,776 1,910 285 17.5%
Personnel benefits...................................................... 406 450 492 86 21.2%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal.............................................................. 2,031 2,226 2,402 371 18.3%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Total, civilian personnel costs....................................... 163,313 169,844 175,926 12,613 7.7%
-----------------------------------------------------------------------------===========================================================================
Military personnel costs:
DOD--Military Functions:
Direct compensation..................................................... 48,602 49,524 51,012 2,410 5.0%
Personnel benefits...................................................... 17,674 17,874 19,136 548 3.1%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal.............................................................. 66,276 67,398 70,148 2,958 4.5%
All other executive branch, uniformed personnel:
Direct compensation....................................................... 1,172 1,233 1,297 125 10.7%
Personnel benefits........................................................ 115 122 127 12 10.4%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subtotal.............................................................. 1,287 1,355 1,424 137 10.6%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Total, military personnel costs \3\..................................... 67,563 68,753 71,572 3,095 4.6%
-----------------------------------------------------------------------------===========================================================================
Grand total, personnel costs................................................ 230,876 238,597 247,498 15,708 6.8%
-----------------------------------------------------------------------------===========================================================================
ADDENDUM
Former Civilian Personnel:
Retired pay for former personnel......................................... 43,893 45,674 47,686 3,793 8.6%
Government payment for Annuitants:
Employee health benefits.............................................. 4,115 4,654 5,105 990 24.1%
Employee life insurance.............................................. 30 35 36 6 20.0%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Total Former Civilian Personnel......................................... 48,038 50,363 52,827 4,789 10.0%
Former Military personnel:
Retired pay for former personnel.......................................... 584 615 659 75 12.8%
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ In addition to the employing agency's contribution to the costs of life and health insurance, retirement and Medicare Hospital insurance, this
amount includes transfers from general revenues to amortize the effects of general pay increases on Federal retirement systems for employees in the
Legislative and Judicial Branches as well as employees (non-Postal) in the Executive Branch and to amortize supplemental liabilities under FERS. The
transfers amounted to 8,381 million in 1998 and are estimated to be $8,703 million in 1999 and $9,121 million in 2000.
\2\ Excludes members and officers of the Senate.
\3\ Excludes reserve components.