As previously announced by HHS, President Bush signed an Executive Order on March 3, 2004, that provides for a 2.7 percent across-the-board increase in 2004 in the rates of basic pay for the General Schedule. The President's Executive order also includes a locality pay increase of approximately 1.4 percent. Both increases are retroactive to January 11, 2004.
Retroactive processing of salary payments is a major undertaking that requires significant software changes to the automated personnel and pay systems, as well as extensive quality assurance testing. It is further complicated by the fact that many employees have had intervening personnel actions processed which impact their pay. This retroactive authorization will also require adjustments to retirement contributions and other payroll deductions.