13 Mar 2025
💰Analysis of January 2025 Pay Schedule Changes for Businesses
January 2025 Pay Schedules
Summary
The rates of basic pay and locality payments for certain Federal civilian employees are adjusted effective in January 2025. The Executive order authorizes a 1.7 percent across-the-board increase for statutory pay systems and locality pay increases costing approximately 0.3 percent of basic payroll, reflecting an overall average pay increase of 2.0 percent. This notice serves as documentation for the public record.
Agencies
- Personnel Management Office
Business Impact
$$ - Med
The document outlines a pay increase for federal employees, which may affect business owners through adjustments in hiring, salary offerings, and competition for talent. The locality pay changes directly link to operational costs for businesses engaging with federal personnel or similar labor markets.