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Today at a Glance
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2027 Pay Freeze Is Official: President Trump transmitted his alternative pay plan letter to Congress on August 26, freezing both base and locality pay for most civilian federal employees at 2026 rates. Federal law enforcement is carved out for a 3.8% raise, and military members would receive 5-7%.
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EEO Overhaul Comment Clock Is Running: The EEOC’s proposed rewrite of the federal-sector complaint process was published in the Federal Register on Friday, and comments are due September 28, 2026. Today’s rules — including the 45-day deadline to contact an EEO counselor — remain fully in force.
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$400,000 Critical Position Pay: A final OPM rule effective August 26 makes the critical position pay authority easier to use, and a presidential memo authorizes up to 400 national-security investment positions at up to $400,000 in basic pay. The same rule provides that losing the higher rate is not grievable, appealable, or an adverse action when properly noticed.
Top Stories:
1. No Raise for Most Federal Employees in 2027 — Trump’s Alternative Pay Plan Freezes Base and Locality Pay
Source: Federal News Network, August 28, 2026
TL;DR: President Trump transmitted his alternative pay plan letter to Congress on Wednesday, August 26, stating that for 2027, base pay and locality pay for civilian federal employees will not change from 2026 rates. The letter says the decision “will maintain fiscal responsibility without harming the government’s ability to recruit and retain well qualified employees.” Federal law enforcement personnel are the exception: the plan calls for a 3.8% raise starting in January, with the Office of Personnel Management (OPM) to determine which law enforcement positions qualify. Active-duty military members would receive 5-7% depending on experience, and other uniformed service members 3.6%. The plan tracks the White House budget proposal from earlier this year, which made no mention of a civilian raise, and House appropriators likewise omitted a civilian raise from their 2027 spending bill. Democrats’ FAIR Act, which proposed 4.1%, has not advanced. Most civilian federal employees received a 1% raise in 2026, while law enforcement received 3.8%.
For federal employees, this means:
- Plan your 2027 budget around flat pay. Unless Congress acts through appropriations this fall, your January paycheck will match 2026 rates in both base and locality pay.
- The freeze is not final until the president signs the annual pay executive order, which usually happens in December. Congressional action on the spending bills is the last realistic path to any civilian raise.
- If you hold a law enforcement position, watch for OPM’s determination of which roles receive the 3.8% increase. Eligibility will follow OPM’s designations, not simply whether your job involves law enforcement duties.
Legal Insight. Under the Federal Employees Pay Comparability Act (FEPCA), General Schedule base pay adjusts each January by a statutory formula, 5 U.S.C. § 5303(a), and locality pay adjusts under 5 U.S.C. § 5304. The President can displace those formulas only by transmitting an alternative pay plan to Congress before September 1, based on national emergency or serious economic conditions, 5 U.S.C. § 5303(b); a parallel authority covers locality rates, 5 U.S.C. § 5304a. The August 26 letter satisfies that deadline, so the statutory default raises will not take effect automatically in January. Congress retains the power to legislate a different 2027 raise in appropriations law, which is how federal raises have been set over a president’s alternative plan in some prior years.
2. The EEOC’s Proposed Complaint-Process Overhaul Is Now Published — Comments Due September 28
Source: Federal Register (EEOC Notice of Proposed Rulemaking), August 28, 2026
TL;DR: The Equal Employment Opportunity Commission’s (EEOC) proposed rewrite of the federal-sector EEO complaint rules, 29 C.F.R. Part 1614, was published in the Federal Register on Friday, August 28, at 91 FR 55690, opening a public comment period that closes September 28, 2026. The proposal, approved by a 2-1 vote on August 26, would end mandatory pre-complaint EEO counseling in favor of direct filing, end the guaranteed right to a hearing before an EEOC Administrative Judge — reserving Administrative Judge proceedings for cases the Commission refers on appeal — and end administrative class complaints. The Commission’s own data in the notice show what is at stake: from FY2021 through FY2025, complainants who ultimately proved discrimination waited an average of 2.63 years for a decision and relief from an Administrative Judge, and one in four waited more than 3.26 years. Commissioner Kalpana Kotagal dissented, saying the proposal “will make it harder for federal employees to challenge discrimination and easier for agencies to evade responsibility,” according to Federal News Network’s reporting. Anyone — employees, unions, HR and EEO professionals, or members of the public — can file a comment at regulations.gov under RIN 3046-AB46.
For federal employees, this means:
- Nothing changes yet. Today’s rules remain fully in force, including the 45-day deadline to contact an EEO counselor after a discriminatory act, 29 C.F.R. § 1614.105(a)(1). Do not wait on this rulemaking to protect a live claim.
- You can comment through September 28 at regulations.gov. Specific, experience-based comments — about counseling, hearings, discovery, or class complaints — are the kind the agency must consider before finalizing the rule.
- If the rule is finalized as proposed, a hearing before an Administrative Judge would no longer be yours to elect. Building a strong record during the agency investigation stage would matter even more than it does now.
Legal Insight. The proposal would rewrite the core machinery of 29 C.F.R. Part 1614: mandatory counseling under § 1614.105, the hearing election under §§ 1614.108(f) and 1614.109, and class complaints under § 1614.204. Until a final rule issues after notice and comment under 5 U.S.C. § 553, every one of those rights remains enforceable exactly as written — including the 45-day counselor contact deadline and the 15-day window to file a formal complaint after receiving the notice of right to file, 29 C.F.R. § 1614.106(b). Missing those deadlines can end a claim no matter what the final rule eventually says. If you are weighing a complaint or have one pending and are unsure how this affects you, consult a federal employment attorney promptly.
3. Up to $400,000 for 400 Positions — OPM Finalizes Critical Position Pay Rule and Limits Appeal Rights When the Rate Ends
Source: Federal News Network, August 28, 2026
TL;DR: OPM published a final rule overhauling the critical position pay authority, effective August 26, 2026, at 91 FR 54937. Critical position pay, authorized by 5 U.S.C. § 5377, lets agencies pay above normal ceilings for positions requiring an extremely high level of scientific, technical, professional, or administrative expertise that are critical to the agency’s mission; no more than 800 positions governmentwide may hold the authority at one time. The new rule sets level I of the Executive Schedule — the rate paid to Cabinet secretaries — as the default maximum, allows higher rates with the written approval of the OPM Director, and removes the prior case-by-case presidential approval and the regulatory “rare circumstances” and “exceptional circumstances” tests. The rule implements a May 29, 2026 presidential memorandum authorizing critical position pay for up to 400 positions supporting national-security-related investment programs, at basic pay rates up to $400,000. For context, OPM authorized just 65 critical pay positions across 15 agencies in 2025. The rule also lets agencies require written service agreements as a condition of receiving the higher pay.
For federal employees, this means:
- If you are offered a critical position pay rate, the offer may come with a written service agreement governing future payments. Read it closely before signing — OPM may require one, and its terms will control.
- The higher rate is not permanent. Critical pay is subject to annual review, and the new rule confirms the rate can be reduced or terminated without the procedural protections that apply to other pay actions.
- Recruitment in these national-security investment roles is likely to accelerate, since the rule removes several layers of approval. Applicants weighing an offer should understand both the pay ceiling and the conditions attached to it.
Legal Insight. New 5 C.F.R. § 535.103(f) states that an employee has no right to grieve or appeal a decision to reduce, not increase, or terminate a critical position pay rate, though it preserves rights and remedies provided by other laws. The rule also amends OPM’s adverse action regulations, 5 C.F.R. Part 752, to exclude a reduction or termination of a critical pay rate from adverse action coverage when the agency informed the employee that the rate is time-limited and subject to annual review. In plain terms: the $400,000 can go away without the notice, reply, and appeal rights that protect against other pay reductions. Before signing a critical position pay service agreement, consider having a federal employment attorney review the terms so you know exactly what is guaranteed and what is not.
Legal Tip of the Day
When Your Leave Is Being Closely Monitored
Leave restriction letters can make routine absences feel risky and can quickly lead to discipline if instructions are missed. Read the letter carefully and identify exactly what you must do to request leave, call in, provide documentation, and obtain approval. Keep a personal record of each leave request, each response, and any medical or emergency documentation. Do not rely on verbal approval if the restriction requires written approval, and do not assume the agency will remember prior conversations. If medical issues are involved, consider whether accommodation or protected leave concerns may also exist.
In Case You Missed It
A few quick hits from our recent posts:
Who Is Andrea Lucas? The EEOC’s Chair — and Its Most Effective Opponent
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The Fork in the Road, 18 Months Later: 20,557 Replacements Were Hired
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DOL Emailed Disability Accommodation Data to a Personal Inbox
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Disclaimer:
This briefing is for general informational purposes only and does not constitute legal advice or create an attorney‑client relationship. Federal employment law is fact‑specific and time‑sensitive; you should consult a qualified attorney about your own situation and deadlines. Past results do not guarantee future outcomes.
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