The Pentagon’s proposed fiscal 2016 budget calls for a modest pay raise but more cuts to housing allowances for troops, while consolidating Tricare health care plans for military families.
The spending plan to begin Oct. 1 would give troops and civilian employees a 1.3 percent raise, slightly more than the 1 percent bump they received the past two years. The increase is well below the 2.3 percent estimated increase in private-sector wage growth, which it’s supposed to match by law.
The budget also includes previously proposed efforts to reduce personnel costs in part by having troops pay for a small share of their housing costs, having families rely on a more simplified Tricare program for their health care, and having retirees pay slightly higher medical fees and co-pays.
“Given the long-term fiscal realities faced within defense budget funding levels, the Department must continue to explore proposals that promote slower growth in pay and benefits costs,” an overview document states.
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