Fedweek

Congress hopes to finally resolve by the end of next week the now year-long battle over the size of the 2003 federal pay raise. An increase of 3.1 percent kicked in during January by default since no law setting a 2003 raise figure was enacted last year. Many employees are just now seeing the effects of the 3.1 percent amount in their paychecks, since raises are effective with the first full pay period of the year, which for many employees started January 11. House and Senate members are still in a conference over a Senate-passed measure that would set the raise at 4.1 percent, retroactive. The House last year passed a budget measure also endorsing 4.1 percent but that bill never made it into law.