Reuters: Regulatory News: Obama seeks to limit top pay for federal contractors

Reuters: Regulatory News Reuters.com is your source for breaking news, business, financial and investing news, including personal finance and stocks. Reuters is the leading global provider of news, financial information and technology solutions to the world's media, financial institutions, businesses and individuals. // via fulltextrssfeed.com

Obama seeks to limit top pay for federal contractors May 30th 2013, 21:53 WASHINGTON | Thu May 30, 2013 5:53pm EDT WASHINGTON May 30 (Reuters) - The White House proposed legislation on Thursday to cap the pay of federal government contractors at no more than the U.S. president's annual salary, saying it wanted to stop "wasteful expenditure." The president makes $400,000 a year and the current cap on pay for executives at federal contractors is due to be raised in the coming weeks to about $950,000 from $763,000, the White House Office of Management and Budget said. "This wasteful expenditure of taxpayer resources must stop," OMB official Joe Jordan said. Jordan said the cap on contractor pay has climbed so steeply because it is pegged to private sector executive pay increases. The administration's proposal would allow exceptions in situations where recruitment is difficult. The change would apply to thousands of employees and save hundreds of millions of dollars annually, Jordan said. But he said he was unable to provide more detailed information. The caps apply to what contractors can pay their top five executives. Past efforts to get Congress to agree to lower caps have gone nowhere. Senators Barbara Boxer, a Democrat, and Chuck Grassley, a Republican, introduced legislation last year to limit payments to the level of the president's salary. The White House proposal could be a small bargaining chip as it spars with congressional Republicans over the best ways to cut federal spending and trim a massive budget deficit that both political parties say they want to tame. Link this Share this Digg this Email Reprints

You are receiving this email because you subscribed to this feed at blogtrottr.com. If you no longer wish to receive these emails, you can unsubscribe from this feed, or manage all your subscriptions