    [Analytical Perspectives]
    [Dimensions of the Budget]
    [24. Federal Employment and Compensation]
    [From the U.S. Government Printing Office, www.gpo.gov]

    [[Page 363]]

                    24.  FEDERAL EMPLOYMENT AND COMPENSATION

      This section provides information on civilian and military employment
    in the Executive, Legislative, and Judicial branches. It also provides
    information on personnel compensation and benefits and on overseas
    staffing presence.

                          Measuring Federal Employment

      For budgetary purposes, civilian employment is measured on the basis
    of full-time equivalents (FTEs). One FTE is equal to one work year (see
    OMB Circular A-11, Section 85). Put simply, one full-time employee
    counts as one FTE, and two half-time employees also count as one FTE.

                        Significant Changes in Employment

      Table 24-1 shows Executive Branch civilian FTE (excluding the U.S.
    Postal Service) growing by five percent between 2005 and 2009. The
    primary reason for this growth continues to be mission increases for
    homeland security and the global war on terrorism. Chart 24-1 shows the
    trend in Executive Branch civilian FTE over the last several years.
    Table 24-2 shows FTE totals Government wide, to include military. For
    the 2009 Budget, additional significant changes by agency are discussed
    below.
      Within the Department of Commerce, the Bureau of the Census is
    preparing for the 2010 Census. In 2009, the bureau will open 150 early
    local census offices, and hire temporary staff to conduct address
    canvassing, the first major nationwide field operation of the 2010
    Census. The U.S. Patent and Trademark Office requests additional FTE in
    an effort to decrease processing times for patent applications, which
    are increasing.
      Department of Energy proposes to increase the Department of Energy's
    federal staff to meet the increasing workload in specific areas.
    Overall, major increases are in (1) the National Nuclear Security
    Administration to support requirements in Defense Nuclear
    Nonproliferation and Emergency Operations programs as well as emerging
    skill mix needs in the Office of the Administrator; (2) the Office of
    Science to support investments in research and infrastructure associated
    with the President's American Competitiveness Initiative; (3) the Office
    of Loan Guarantees to provide staff for this new program; and, (4) the
    Nuclear Waste Fund FTE to support design and license defense activities
    and prepare DOE to obtain a Nuclear Regulatory Commission license to
    manage the construction and operation of the Yucca Mountain project in a
    safe and cost-effective manner.
      Department of Health and Human Services requests additional FTE to
    support a number of program areas. Notable increases relate to the Food
    and Drug Administration's food protection activities, expanded staff at
    Indian Health Service health care facilities, recruitment of medical
    countermeasure development experts to support the public health and
    emergency preparedness mission, and additional officers in the Public
    Health Service Commissioned Corps to form new Health and Medical
    Response (HAMR) Teams.
      Within the Department of Homeland Security, Immigration and Customs
    Enforcement and Customs and Border Protection have seen significant
    growth in its workforce as a part of the Administration's efforts to
    increase border security and to improve interior enforcement of our
    Nation's immigration laws. Also, there have been increases for aviation
    and transportation security and emergency management. The U.S. Coast
    Guard will grow by almost one percent in 2009, with specific workforce
    increases directed to programs supporting their Marine Safety and Port
    Security missions.
      Department of Justice requests an FTE increase to enhance critical law
    enforcement and counterterrorism related programs, including in the
    Federal Prison System to accommodate the growing federal prisoner
    population and in the Federal Bureau of Investigation as it continues to
    transform to meet both law enforcement and counterterrorism
    responsibilities.
      Department of Transportation's workforce growth largely comes from the
    Federal Aviation Administration (FAA.) FAA is planning on increasing its
    FTE's for the ``Air Traffic Organization'' and ``Safety and Operations''
    accounts in 2009 in order to annualize hiring made during 2007 and
    increase personnel for the air traffic control and safety workforces.
      Department of State requests additional FTE to meet new high-priority
    foreign policy requirements including strengthening American presence in
    critical emerging areas, strengthening civilian response capabilities,
    improving professional training capacity, increasing efforts against
    visa and passport fraud, and enhancing security for diplomatic personnel
    worldwide.
      Within International Assistance Programs, the United States Agency for
    International Development (USAID) will initiate the Development
    Leadership Initiative in 2009 to strengthen the Agency's capacity by
    expanding its permanent Foreign Service Officer corps. In 2009, USAID
    will increase FTE as they begin the recruitment, hiring and training of
    approximately 300 new Foreign Service Officers.
      Within the Department of Veterans Affairs, the Veterans Benefits
    Administration is increasing its disability claims adjudication staff to
    respond to the increasing volume and complexity of disability claims.
    The additional FTE will bring the Department closer to reaching its
    disability claims processing strategic target of 125 days to process. To
    accomplish the priority

    [[Page 364]]

    of providing high-quality health care, the Veterans Health
    Administration is increasing the number of providers and other personnel
    to (1) help meet the projected growth in the number of patients seeking
    medical care, including meeting the mental health needs of returning
    veterans; (2) oversee and manage Non Recurring Maintenance projects and
    reduce backlog; and (3) increase operational oversight. Additional FTE
    in the National Cemetery Administration will staff six new national
    cemeteries expected to open in 2009.
      Equal Opportunity Employment Commission requests 175 additional FTE in
    2009 for front-line investigative positions to reduce EEOC's private-
    sector charge inventory and for the new in-house National Contact
    Center.
      Small Business Administration requests a reduction in staff due to the
    decrease in workload associated with Hurricanes Katrina, Rita, and
    Wilma. The Small Business Administration also continues to reduce the
    number of temporary FTEs that assisted in providing Disaster Loans to
    Gulf Coast homeowners, renters, and businesses.

                       Personnel Compensation and Benefits

      Table 24-3 displays personnel compensation and benefits (in millions
    of dollars) for Federal civilian and military personnel of all branches
    of Government.
      Direct compensation of the Federal civilian work force includes base
    pay and premium pay, such as overtime. In addition, it includes other
    cash components, such as geographic and other pay differentials (e.g.,
    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. Military personnel
    compensation also includes special and incentive pays (e.g., enlistment
    and reenlistment bonuses), and allowances for clothing, housing, and
    subsistence.
      Personnel benefits for current employees consists of the cost to
    Government agencies for health insurance, life insurance, Social
    Security (old age, survivors, disability, and health insurance)
    contributions to the retirement funds to finance future retirement
    benefits, and other items. Compensation for former personnel includes
    outlays for retirement pay benefits and the Government's share of the
    cost of health and life insurance.

                       The U.S. Overseas Staffing Presence

      There are approximately 66,000 permanent American and locally hired
    staff overseas under the authority of Chiefs of Mission (e.g.,
    Ambassadors or Charge d' Affairs at U.S. embassies worldwide). The
    average cost to support an American position overseas in 2009 is
    projected to be about $549,000, as reported by agencies with personnel
    overseas. This total includes direct costs, such as salary, benefits,
    and overseas allowances, and also support costs, such as housing,
    educational costs for dependents, travel, administrative support, and
    Capital Security Cost Sharing charges.
      The Administration continues to work to improve the safety,
    efficiency, and accountability in U.S. Government staffing overseas
    through the Presidential Management Agenda (PMA) initiative on a Right-
    sized Overseas Presence. A component of this initiative is developing
    transparent data on overseas staffing, including the cost of maintaining
    positions overseas, and incorporating these data in the budget process
    to better inform decisions makers on overseas staffing levels.

                                   Overseas Staffing Under Chief of Mission Authority*
    ----------------------------------------------------------------------------------------------------------------
       Total Personnel  Under COM                                    Average Cost of  an      New Overseas American
     Authority  (Including American   Total American  Personnel      American  Position     Positions  Requested  in
      and Locally  Engaged  Staff)       Under COM  Authority      Overseas Estimated for     the President's  2009
          Projected  for 2008            Projected  for 2008                2009                     Budget
    ----------------------------------------------------------------------------------------------------------------
                         65,900                        15,335                  $549,000                       493
    ----------------------------------------------------------------------------------------------------------------
    * As reported by agencies in their 2009 budget submissions.

    [[Page 365]]

                            Table 24-1.  FEDERAL CIVILIAN EMPLOYMENT IN THE EXECUTIVE BRANCH
                        (Civilian employment as measured by Full-Time Equivalents, in thousands)
    ----------------------------------------------------------------------------------------------------------------
                                                        Actual                  Estimate        Change: 2005 to 2009
                     Agency                 ------------------------------------------------------------------------
                                               2005      2006      2007      2008      2009       FTE's     Percent
    ----------------------------------------------------------------------------------------------------------------
    Cabinet agencies:
      Agriculture..........................      99.6      97.0      94.8      95.4      91.1        -8.5      -8.6%
      Commerce.............................      35.1      36.0      36.3      40.1      53.9        18.8      53.7%
      Defense-military functions...........     653.0     661.8     658.8     671.3     677.2        24.2       3.7%
      Education............................       4.3       4.2       4.1       4.2       4.2        -0.1      -3.0%
      Energy...............................      14.9      14.7      14.6      15.8      16.1         1.2       8.0%
      Health and Human Services............      59.3      59.1      58.8      60.0      60.8         1.5       2.6%
      Homeland Security....................     143.3     144.4     148.1     162.3     166.2        22.9      15.9%
      Housing and Urban Development........       9.9       9.6       9.5       9.7       9.5        -0.4      -4.2%
      Interior.............................      70.4      68.7      67.4      68.3      68.6        -1.8      -2.6%
      Justice..............................     103.0     104.2     105.0     113.9     115.8        12.8      12.4%
      Labor................................      16.0      15.8      15.9      16.1      16.8         0.8       4.9%
      State................................      30.1      30.0      30.1      31.1      32.2         2.1       6.9%
      Transportation.......................      55.5      53.3      53.4      55.2      55.5         0.0      -0.1%
      Treasury.............................     110.0     107.7     107.7     107.6     109.6        -0.4      -0.4%
      Veterans Affairs.....................     222.0     222.6     230.4     249.4     253.4        31.4      14.1%

    Other agencies--excluding Postal
     Service:
      Agency for International Development.       2.4       2.4       2.4       2.4       2.6         0.2       9.0%
      Broadcasting Board of Governors......       2.2       2.1       2.0       2.2       2.1        -0.1      -4.2%
      Corps of Engineers--Civil Works......      22.5      22.1      21.2      21.0      17.0        -5.5     -24.4%
      Environmental Protection Agency......      17.5      17.3      17.0      17.2      17.1        -0.4      -2.3%
      Equal Employment Opportunity Comm....       2.4       2.2       2.2       2.4       2.6         0.2       9.2%
      Federal Deposit Insurance Corporation       4.9       4.5       4.5       4.6       4.6        -0.3      -6.1%
      General Services Administration......      12.5      12.3      11.9      12.0      12.0        -0.5      -4.0%
      National Aeronautics and Space Admin.      18.8      18.3      18.2      18.1      18.1        -0.7      -3.8%
      National Archives and Records               2.8       2.8       2.8       2.9       2.9         0.1       1.9%
       Administration......................
      National Labor Relations Board.......       1.8       1.8       1.7       1.7       1.7        -0.1      -6.9%
      National Science Foundation..........       1.3       1.3       1.3       1.4       1.4         0.1       9.5%
      Nuclear Regulatory Commission........       3.1       3.2       3.5       3.8       3.8         0.7      20.9%
      Office of Personnel Management.......       3.6       4.3       4.6       5.0       4.9         1.3      37.4%
      Peace Corps..........................       1.0       1.1       1.1       1.1       1.3         0.3      24.8%
      Railroad Retirement Board............       1.0       1.0       1.0       1.0       1.0         0.0      -0.7%
      Securities and Exchange Commission...       3.9       3.7       3.5       3.6       3.5        -0.4      -9.1%
      Small Business Administration........       4.1       5.9       4.4       3.3       3.2        -0.9     -22.6%
      Smithsonian Institution..............       5.1       5.0       5.0       5.3       5.3         0.2       4.7%
      Social Security Administration.......      64.6      63.7      61.7      60.7      59.8        -4.8      -7.4%
      Tennessee Valley Authority...........      12.6      13.1      11.3      11.9      11.5        -1.1      -9.0%
      All other small agencies.............      14.8      15.4      15.6      16.5      16.9         2.1      13.9%
                                            ------------------------------------------------------------------------
    Total, Executive Branch civilian          1,829.6   1,832.8   1,831.6   1,898.3   1,924.2        94.6       5.2%
     employment *..........................
      Subtotal, Defense....................     653.0     661.8     658.8     671.3     677.2        24.2       3.7%
      Subtotal, Non-Defense................   1,176.6   1,171.0   1,172.8   1,227.0   1,247.0        70.4       6.0%
    ----------------------------------------------------------------------------------------------------------------
    * Totals may not add due to rounding.

    [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

    [[Page 367]]

                                          Table 24-2.  TOTAL FEDERAL EMPLOYMENT
                                         (As measured by Full-Time Equivalents)
    ----------------------------------------------------------------------------------------------------------------
                                                                                 Estimate          Change: 2007 to
                                                                  2007    ----------------------         2009
                          Description                            Actual                         --------------------
                                                                              2008       2009      FTE's     Percent
    ----------------------------------------------------------------------------------------------------------------

    Executive branch civilian personnel:
      All agencies except Postal Service and Defense.........   1,172,774  1,227,007  1,247,007     74,233      6.3%
      Defense-Military functions (civilians).................     658,800    671,293    677,231     18,431      2.8%
                                                              ------------------------------------------------------
        Subtotal, excluding Postal Service...................   1,831,574  1,898,300  1,924,238     92,664      5.1%
      Postal Service \1\.....................................     801,641    776,770    762,305    -39,336     -4.9%
                                                              ------------------------------------------------------
        Subtotal, Executive Branch civilian personnel........   2,633,215  2,675,070  2,686,543     53,328      2.0%
                                                              ======================================================
    Executive branch uniformed personnel: \2\
      Department of Defense..................................   1,382,260  1,375,100  1,369,475    -12,785     -0.9%
      Department of Homeland Security (USCG).................      41,478     42,455     42,604      1,126      2.7%
      Commissioned Corps (HHS, EPA, NOAA)....................       6,250      6,284      6,389        139      2.2%
                                                              ------------------------------------------------------
        Subtotal, uniformed military personnel...............   1,429,988  1,423,839  1,418,468    -11,520     -0.8%
                                                              ------------------------------------------------------
        Subtotal, Executive Branch...........................   4,063,203  4,098,909  4,105,011     41,808      1.0%
                                                              ======================================================
    Legislative Branch: Total FTE \3\........................      31,185     32,480     33,215      2,030      6.5%
    Judicial branch: Total FTE...............................      33,558     33,909     34,188        630      1.9%
                                                              ======================================================
        Grand total..........................................   4,127,946  4,165,298  4,172,414     44,468      1.1%
    ----------------------------------------------------------------------------------------------------------------
    \1\ Includes Postal Rate Commission.
    \2\ Military personnel on active duty. Excludes reserve components.
    \3\ FTE data not available for the Senate (positions filled were used).

    [[Page 368]]

                                    TABLE 24-3.  PERSONNEL COMPENSATION AND BENEFITS
                                                (In millions of dollars)
    ----------------------------------------------------------------------------------------------------------------
                                                                                                Change: 2007 to 2009
                          Description                           2007        2008       2009   ----------------------
                                                               Actual     Estimate   Request     Dollars    Percent
    ----------------------------------------------------------------------------------------------------------------
    Civilian personnel costs:
      Executive Branch (excluding Postal Service):
        Direct compensation:
          DOD--military functions..........................      43,546     46,040     47,544       3,998       9.2%
          All other executive branch.......................      90,649     97,604    101,346      10,697      11.8%
                                                            --------------------------------------------------------
            Subtotal, direct compensation..................     134,195    143,644    148,890      14,695      11.0%
        Personnel benefits:
          DOD--military functions..........................      11,527     12,367     12,729       1,202      10.4%
          All other executive branch.......................      37,051     38,297     39,591       2,540       6.9%
                                                            --------------------------------------------------------
            Subtotal, personnel benefits...................      48,578     50,664     52,320       3,742       7.7%
                                                            --------------------------------------------------------
              Subtotal, Executive Branch...................     182,773    194,308    201,210      18,437      10.1%
                                                            ========================================================
      Postal Service:
        Direct compensation................................      41,843     41,356     42,395         552       1.3%
        Personnel benefits.................................      20,797     18,609     18,862      -1,935      -9.3%
                                                            --------------------------------------------------------
          Subtotal.........................................      62,640     59,965     61,257      -1,383      -2.2%
                                                            ========================================================
      Legislative Branch: \1\
        Direct compensation................................       1,885      1,988      2,151         266      14.1%
        Personnel benefits.................................         524        548        626         102      19.5%
                                                            --------------------------------------------------------
          Subtotal.........................................       2,409      2,536      2,777         368      15.3%
                                                            ========================================================
      Judicial Branch:
        Direct compensation................................       2,672      2,839      3,055         383      14.3%
        Personnel benefits.................................         811        879        943         132      16.3%
                                                            --------------------------------------------------------
          Subtotal.........................................       3,483      3,718      3,998         515      14.8%
                                                            --------------------------------------------------------
          Total, civilian personnel costs..................     251,305    260,527    269,242      17,937       7.1%
                                                            ========================================================
    Military personnel costs:
      DOD--military functions:
        Direct compensation................................      74,171     82,510     73,200        -971      -1.3%
        Personnel benefits.................................      50,581     48,608     49,143      -1,438      -2.8%
                                                            --------------------------------------------------------
          Subtotal.........................................     124,752    131,118    122,343      -2,409      -1.9%
                                                            ========================================================
    All other executive branch, uniformed personnel:
      Direct compensation..................................       2,662      2,717      2,820         158       5.9%
      Personnel benefits...................................       1,059      1,040      1,062           3       0.3%
                                                            --------------------------------------------------------
        Subtotal...........................................       3,721      3,757      3,882         161       4.3%
                                                            --------------------------------------------------------
      Total, military personnel costs \2\..................     128,473    134,875    126,225      -2,248      -1.7%
                                                            ========================================================
    Grand total, personnel costs...........................     379,778    395,402    395,467      15,689       4.1%
                                                            ========================================================

                            ADDENDUM
    Former Civilian Personnel:
      Retired pay for former personnel.....................      79,531     65,522     69,246     -10,285     -12.9%
        Government payment for Annuitants:
          Employee health benefits.........................       8,581      8,827      9,638       1,057      12.3%
          Employee life insurance..........................          43         45         46           3       7.0%
    Former Military Personnel:
      Retired pay for former personnel.....................      43,630     45,480     47,824       4,194       9.6%
      Military annuitants health benefits..................       7,576      8,349      9,021       1,445      19.1%
    ----------------------------------------------------------------------------------------------------------------
    \1\ Excludes members and officers of the Senate.
    \2\ Excludes reserve components not on active duty.