The Nation - News from Aug. 29, 1986

President Reagan rejected the idea of a 23.79% pay raise for civilian federal workers and instead proposed a 2% increase effective Jan. 1. Federal law requires the President to decide each year on what pay adjustment would be needed to bring federal pay into line with private-sector salaries. Reagan said an annual salary survey determined that figure to be 23.79%, but Reagan invoked a section of the law that enables him to submit a smaller proposed increase to Congress in deference to “economic conditions affecting the general welfare.”