Federal Managers Association

Press Release

• FMA STATEMENT ON HOUSE PASSAGE OF “ONE, BIG, BEAUTIFUL ACT” - May 22, 2025

• Alexandria, VA – The House of Representatives passed the One Big Beautiful Act (H.R. 1) in the early morning hours of Thursday May 22, 2025, following a late night of debate. The bill, considered the centerpiece of President Trump’s legislative agenda, passed by a vote of 215-214. The bill extends significant tax cuts and provides hundreds of billions of dollars of increased spending on defense, border security and energy dominance. Cuts to federal employee retirement benefits were significantly tweaked prior to passage. The bill must be considered and passed by the Senate before it can be signed into law. Federal Managers Association National President Craig Carter made the following comments upon passage of the bill:

  “As an organization of managers in the federal workforce, FMA supports the underlying goals of this legislation, including national security and other investments in our great country. Our chief concerns lie predominantly with how to pay for it and earned benefits that will be cut if the bill is enacted.

  “We are pleased the House eliminated two of the more egregious provisions previously included in the bill cutting federal employees’ earned retirement benefits prior to the final vote. FMA successfully advocated for the removal of the provision to increase pension contributions for all Federal Employees' Retirement System (FERS) employees, and elimination of the proposed annuity calculation change from the High-3 to the High-5. These changes were critical, welcome improvements to the bill, as the proposed provisions were broken promises to workers who are currently vested, or at or near retirement age, and a tax on federal employees and annuitants. They would have unfairly shifted the goalposts and eliminated earned benefits for employees who dedicated a career of service to the country. We are pleased these proposals have been removed.

  “While we strongly oppose the elimination of the FERS annuity supplement, which remains in the bill, we appreciate the shift in its implementation to 2028, rather than immediately upon enactment. We will work to eliminate the provision altogether, as it is a broken promise to current feds, but the delayed implementation is an improvement, and will allow feds who are considering retiring in the next couple of years to better plan their futures. We are concerned the bill introduces barriers to making appeals to the Merit Systems Protection Board. We also continue to oppose the provision forcing new hires to the federal workforce to decide between at-will employment or paying far more for their annuities, and how this will impact recruitment and the future of the civil service.

  “According to the Congressional Budget Office (CBO), millions of Americans stand to lose health care coverage, SNAP food benefits and other resources, if H.R. 1 is signed into law as is. The CBO also projects the bill would increase federal deficits by nearly $4 trillion over the next ten years, and FMA has deep concerns with these impacts as well.

  “We expect the Senate will make further changes to the bill, and FMA will continue to advocate for improvements to the bill as it proceeds through the legislative process.”

  
  

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