Message to the Congress Transmitting Proposed Legislation on Federal Pay Reduction

To the Congress of the United States:

I am pleased to transmit today for your immediate consideration and enactment the "Federal Pay Reduction Act of 1992." This legislation is part of my Agenda for American Renewal. The proposal is an important step toward "rightsizing" our Government -- making it more fiscally responsible and reducing its size and structure. Also transmitted is a section-by-section analysis.

There are many in America who are out of work or uncertain of their prospects. The Federal deficit constrains the capacity to rejuvenate the economy. It is therefore appropriate that those who lead the Government make a personal contribution -- toward reducing the deficit and as a symbol of our understanding of the concerns of so many Americans. Accordingly, this proposal would reduce the salary of the President, the Vice President, and the Speaker of the House of Representatives by a full 10 percent. For other leaders in our Government -- Members of Congress, senior officials paid more than $75,000 in all three branches of the Government, and high-ranking military officers -- the pay reductions would be 5 percent. An otherwise scheduled pay increase in January 1993 for these officials would not take place.

Under our Constitution, the President's salary can only be changed at the beginning of a new term of office. Pay reductions for all others affected will take place with the first pay period beginning on or after January 20, 1993. It is therefore essential that this legislation be enacted immediately, before the adjournment of the current Congress.

George Bush

The White House,

September 25, 1992.