President Signs 2021 Federal Employee Pay Raise

On December 31st, President Trump signed an Executive Order which implements an Alternative Pay Plan for federal employee compensation in 2021.  This includes a 1% across the board raise for GS employees and no locality pay component.   This means the non-foreign COLA for employees in Hawaii and Guam will not change.

See links:

Federal Employee Pay Raise for 2021 – OPM issued the following four Compensation Policy Memoranda (CPM)—

• CPM 2021-01 January 2021 Pay Adjustments https://www.chcoc.gov/content/january 2021-pay-adjustments
• CPM 2021-02 Fiscal Year 2021 Prevailing Rate Pay Adjustments https://www.chcoc.gov/content/fiscal-year-2021-prevailing-rate-pay-adjustments
• CPM 2021-03 2020 Annual Review of Special Rates (Results) https://www.chcoc.gov/content/2020-annual-review-special-rates-results

CPM 2021-04 Continued Pay Freeze for Certain Senior Political Officials https:

//www.chcoc.gov/content/continued-pay-freeze-certain-senior-political-officials-4

Since there was no locality payment component in the 2021 pay adjustments, Hawaii locality pay amounts will remain at 19.56% of basic pay; for workers on Oahu, the non-foreign COLA offset will remain at 10.28%.  You can find a fact sheet on the Locality Pay/COLA transition here:

HPFEB Locality Pay Fact Sheet 2021