The text of President Reagan's pay recommendation:
Under the Federal Pay Comparability Act of 1970, an adjustment in federal white-collar pay will be required in October, 1982.
The act requires that calculations be made annually of the adjustments that would be required in federal statutory pay systems to achieve comparability with private-sector pay for the same levels of work. Using the calculation methods developed in the past, my pay advisers have indicated that an average 18.47 percent increase would be required to achieve comparability as that concept is presently defined.
The comparability act gives me authority to propose an alternative adjustment in lieu of comparability, if such action is appropriate because of economic conditions.
Under that authority, in accordance with our economic recovery program, I am submitting to the Congress an alternative plan for a 4 percent increase in federal white-collar pay this October in lieu of the 18.47 percent increase indicated under current comparability calculation methods.
Current law governing military pay increases provides that the annual increase in military pay be the same as the average federal white-collar increase. However, Congress is currently considering legislation dealing with military pay increases. If legislation is enacted, it will supercede the increase that military personnel would otherwise receive under this alternative plan.