Browsing: COLA

Q: Now that the Defense Authorization Bill has been passed stating that federal employees overseas will be paid “Locality Pay” as opposed to a Cost of Living Allowance, when will we begin to receive the locality pay? A: Under Public Law 111-84, in calendar year 2010, affected employees will receive one-third of the locality rate paid in the “rest of the U.S.” locality; in 2011, two-thirds of the otherwise applicable comparability payment for each nonforeign area; and in 2012 and after, the full amount of the otherwise applicable comparability payment. Since the 2010 locality rate has not yet been announced…