Democratic lawmakers have reintroduced legislation that would provide federal civilian employees a 4.1% across-the-board pay raise in 2027, aiming to set an opening marker for next year’s pay debate on Capitol Hill.
- Proposal: The Federal Adjustment of Income Rates (FAIR) Act would authorize a 4.1% pay increase for federal employees in calendar year 2027, according to Government Executive.
- Who it affects: The bill targets federal civilian pay rates (including GS base pay and locality-adjusted rates), as typically structured under annual pay adjustments.
- Status: The measure has been reintroduced and is not enacted; it would require passage by Congress and presidential approval to take effect.
- Purpose: Sponsors describe the bill as a negotiating baseline for the 2027 pay adjustment discussions, Government Executive reported.
- Timing: The proposal was reported by Government Executive in February 2026, positioning it ahead of the next cycle of federal pay deliberations.
Brief context: Federal pay raises are often shaped by a mix of statutory formulas, White House budget policy, and annual negotiations in Congress. While the FAIR Act has been introduced in prior years, it has historically served more as a marker for lawmakers’ preferred pay level than as the final vehicle that determines the annual increase. The 2027 raise—if enacted—would apply broadly across covered pay systems, with employees seeing the increase reflected through their salary tables (base and locality). For employees tracking potential impacts, the key near-term takeaway is that this is an opening legislative proposal, not a finalized raise.
Employees should watch for: (1) whether the FAIR Act advances in committee or is folded into a broader legislative package, and (2) competing pay signals that typically emerge during the budget cycle. For reference on how general increases flow through GS base and locality pay tables, see FedInfo’s pay resources: https://fedinfo.org/.
Source: Government Executive (Pay & Benefits), “Dem lawmakers propose 4.1% raise for feds in 2027” (Feb. 2026). https://www.govexec.com/pay-benefits/2026/02/dem-lawmakers-propose-41-raise-feds-2027/411337/