Federal Adjustment of Income Rates Act increases federal employee pay rates by 4.1 percent.
The Federal Adjustment of Income Rates Act, or FAIR Act, raises the rates of pay for federal employees by 4.1 percent. Specifically, it increases the rates of basic pay under statutory pay systems by 3.1 percent and locality pay by 1 percent for calendar year 2027. It also raises the rates of basic pay for prevailing rate employees by 3.1 percent for fiscal year 2027.
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