This report provides an update on issues affecting federal managers. As always, I encourage you to visit www.fedmanagers.org on a regular basis for more information on these and other matters.

Also, be sure to look for the monthly FMA Grassroots Update where we offer links to action letters and FMA-PAC matters we do not address in the Washington Report. The grassroots newsletter is sent exclusively to non-governmental email addresses to avoid any Hatch Act violations. If you are not receiving it, contact the national office to provide your non-governmental email address.

Please feel free to provide feedback any time by emailing Greg Stanford at gstanford@fedmanagers.org, or by calling the National Office at (703) 683-8700. Thank you for your membership in FMA. It’s an honor to represent your interests before Congress and the administration.

The continuing resolution funding the federal government expired on September 30, 2025, causing a partial government shutdown. More than 750,000 federal employees are currently furloughed, while feds deemed ‘essential’ are working without knowing when they will get paid. President Trump has suggested some feds will not receive back pay when the shutdown is over – despite a federal law guaranteeing such, signed by Trump in his first term. FMA will continue to look out for our members' interests and to demand they be treated with respect.

Resources

As always, every employee should refer to their own agency for communications and guidance related to the government shutdown.

That said, FMA is working to cobble resources that may be useful for federal managers affected by these current events. Please visit FMA’s shutdown hub for useful information and resources, including links to the Office of Personnel Management, our friends at the Federal Employee Education & Assistance Fund, FedSupport.Org, the Partnership for Public Service, and much more. We will continue to post updates to this page, so please visit often. We hope this information will be helpful and please share it with your colleagues.

On Thursday, October 9, the Office of Personnel Management (OPM) announced the 2026 Federal Employees Health Benefits (FEHB) Program rates. The open season for health benefits, dental and vision insurance, and flexible spending accounts will be November 10 through December 8, 2025. Importantly, FEHB open enrollment will proceed as normal even if the current government shutdown extends into November.

The average enrollee share increase for 2026 will be 12.3 percent. This is down slightly from last year’s increase in the enrollee share (13.5 percent). The overall average FEHB premium increase will be 10.2 percent. The new health premiums go into effect in January 2026.

Federal employees will see a 1 percent pay raise in 2026, assuming Congress endorses President Trump’s alternative pay plan. On Friday, August 29, President Trump sent an alternative pay plan to Congress, calling for a 1 percent raise for the federal workforce in 2026.

FMA National President Craig Carter said, “A one percent raise is better than nothing, and given the lack of discussion about pay all year we had been bracing for a pay freeze. Regrettably, a one percent pay raise is nowhere near the rising inflation levels. And it would ensure feds would fall even further behind their private sector counterparts when it comes to compensation, when feds already make almost 25 percent less.”

FMA strongly supports the 3.8 percent raise for the uniformed military, and argues federal employees deserve the traditional long-established pay parity with military service members.

FMA National President Craig Carter walked the halls of Congress during the week of September 29 to advocate for policies and legislation to benefit managers across the federal workforce. While discussions necessarily addressed the looming and eventual lapse in funding at the beginning of Fiscal Year 2026, and the need for agencies to get the resources they need, additional topics included efforts to advance the Federal Retirement Fairness Act (H.R. 1522), the Protect America’s Workforce Act (H.R. 2550), the Equal COLA Act, and more.

On Monday, October 6, Social Security Commissioner Frank Bisignano was named as CEO of the Internal Revenue Service (IRS) – in addition to his current role of running the Social Security Administration (SSA). According to a Treasury Department press release, Bisignano will take on the duty of “overseeing all day-to-day IRS operations,” while also leading the SSA.

“Frank is a businessman with an exceptional track record of driving growth and efficiency in the private and now public sector,” said Secretary of the Treasury Scott Bessent in a statement. Bisgnano will report to Bessent, who is also serving as acting commissioner of the IRS, assuming that role in August 2025 after Billy Long was removed after approximately two months at the helm. “The IRS and SSA – two of the most public-facing and broadly impactful federal agencies – also share many of the same technological and customer service goals. This makes Mr. Bisignano a natural choice for this role,” reads the statement.

The Merit Systems Protection Board (MSPB) regained a quorum this week, as the Senate confirmed James Woodruff as a member of the panel. His nomination was included in an en bloc package of confirmations, approved by a 51-47 vote. Woodruff joins Henry Kerner – a fellow Republican – who has been the lone member of the three-person panel since the Trump administration fired Democrat Cathy Harris. MSPB may have no more than two members from the same political party.

Established as part of the Civil Service Reform Act of 1978, the MSPB is responsible for adjudicating appeals on federal personnel cases, with a goal of protecting federal employees against prohibited personnel practices such as whistleblower retaliation. With a quorum – at least two members – restored, MSPB can issue final rulings in cases it adjudicates.