# Lawmakers Urge Congress to Reject 2027 Pay Freeze

On September 21, 2026, 110 bipartisan, bicameral lawmakers urged Congress to reject a proposed 2027 pay freeze for most civilian federal employees and support either a 4.1% increase under the FAIR Act or at least a 3.8% increase. The proposal remains subject to congressional action. For contractors supporting federal missions, the outcome could affect agency hiring and retention in areas such as healthcare, benefits administration, national security, and cybersecurity, with potential consequences for staffing-dependent program delivery.

- Federal contractors should account for potential agency workforce and retention effects when planning staffing, delivery schedules, and customer coordination, particularly for work dependent on experienced civilian personnel.
- The proposed pay options are not final; procurement and program teams should distinguish the pending federal employee pay decision from contractor compensation, which the signal does not address.
- The named agencies and offices span healthcare, benefits administration, labor statistics, and cybersecurity functions that may rely on maintaining qualified federal staff.

**Jurisdictions:** federal
**Topics:** Policy
**Published:** September 21, 2026

### Government Entities
- Congress
- Department of Health and Human Services (HHS)
- Social Security Administration (SSA)
- Cybersecurity and Infrastructure Security Agency (CISA)
- Bureau of Labor Statistics (BLS)

### Sources
- [
	110 Lawmakers Push Congress to Reject 2027 Federal Pay Freeze | U.S. Representative James Walkinshaw
](https://walkinshaw.house.gov/news/documentsingle.aspx?DocumentID=992) - Walkinshaw