April 4, 2013

(Reuters) – President Barack Obama plans to give back 5 percent of his pay in a gesture of solidarity with government workers who must take unpaid leave as a result of deep spending cuts that went into effect last month.

The president’s self-imposed pay cut would be effective from March 1, when the spending cuts began, and would last through the end of December, an administration official said on Wednesday.

Obama earns $400,000 (265,128.92 pounds) a year. The official said the president decided on the 5-percent reduction, which would total $20,000, because it would be similar to the level of cuts to non-defense government agencies.

Defense and non-defense discretionary spending has shrunk across the board as a result of reductions under a process known as sequestration. To maintain critical functions, many agencies are making workers take unpaid leave, or furloughs.

“The President has decided that to share in the sacrifice being made by public servants across the federal government that are affected by the sequester, he will contribute a portion of his salary back to the
Treasury,” White House spokesman Jay Carney told reporters travelling with the president in Colorado and California.

The president’s gesture comes after the top Defense Department official said he would return part of his salary in an amount equal to pay lost by civilian employees.

Defense Secretary Chuck Hagel will give back the equivalent of 14 days worth of pay to the government, about $10,750, his spokesman said on Tuesday.

Obama’s decision was first reported by The New York Times.

Sequestration was originally designed as an outcome so harsh that budget negotiators would find another way to narrow trillion-dollar deficits.

However, Obama would not back away from his insistence that any spending cuts be paid for in part by higher tax revenues, while Republicans, who had conceded higher tax rates on the rich in a budget deal in
January, refused to agree to any tax hikes.

The $85 billion in overall cuts went into effect after the two sides reached impasse.

3 Comments on this post.

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  • Delia
    4 April 2013 at 8:58 pm - Reply

    Oh Geeesh!!!!!! , is that all he can spare 5% while he takes away 20% from military paychecks. I’m sure he makes close to half million dollars a year while militaries only makes enough to buy foods for thier family.. All DOD is getting a day cut out of thier paycheck as well , which means instead of 5 days pay a week , now only 4 days a week. That figures , big chunck for the poor and small chunk for Obambit.

    The Sequester was all his idea and fault , now hes going to punish everyone for his dumbness what a jerk .

    Why should our do-nothing politicians get paid for doing nothing? If their salaries got cut in half, they’d still be waaaaaaaaaaaaaay overpaid. Everyone in DC, especially Obama should have their pay drastically cut. I trust no politicians in either party. They are all a bunch of lying scumbags.

  • noz
    5 April 2013 at 8:51 pm - Reply

    this is all what obama can do?, trying hard to impress his power base in turning the troubled economy?obama repeatedly have fooled his supporters with their votes, successfully gained back the desk of the oval office, with HOPES of prospers. obama’s rewards are freebies pushed on the throats of 90 million workers out of work, resigned to the idea of career takers, gave up looking for work with realistic complaint, there are no decent jobs available out in the market, the effect of obamacare, heavy business taxations. jobs available are part time, menial like mc donald jobs, restaurants, etc. record huge number of american work force excluded from unemployment gave a lower data of 7.6% unemployed, the true unemployed figure is soaring 12%. food stamps claims up to 75 million, with 50 million actively collecting, costing taxpayers 75 billion a year, with over 3 billion in fraud taken by food stamp recipients.

    the livelihood of americans and legal residents with jobs have been without financial success either, due to heavy taxations and hyperinflation. cost of basic goods and services rises much faster than the ability of ordinary wages to keep pace. simple shelter, food, utilities, gas can cost more than the average person makes. workers living from shrinking pay checks to shrinking pay checks, doubling prices at the supermarkets, printing money causing falling dollar value, the refusal of lending nation to extend credit and huge national debt, increasing federal deficits create unstable commodities pricing. these are the problems obama and his cronies cannot solve. obama believes giving 5% of his salary is helping the country should make people PUKE. obama finally submitting a budget for the first time in his career as POTUS, ready to tackle the spending on entitlements, welfare programs remain to be seen and must be taken with a grain of salt.

    the economy is in the tank, since obama took office. so obama uses immigration reform and gun control assaulting the second amendment to deviate the public attentions, for those obama slobberers and fools too blind to see, the biggest problem of this nation is the economy, yes, its the economy STUPID. so all the wishful thinking, empty talk of granting illegal aliens legal status will improve the economy is a total propaganda. you all may fool people, but you can’t fool people all of the time.

  • JAY
    6 April 2013 at 3:58 pm - Reply

    Dont fool us b/tch. Take out 5% while you go on vacation every month. Is this all you can do for us. What a shame to the american people.