Potential for new wage compensation for ongoing federal workers, following a ruling by the Supreme Court
The Supreme Court's recent ruling on April 30, 2023, in the case Feliciano v. Department of Transportation, has opened a new avenue for federal employees who have been impacted by wage differences during their active military duty. The decision, which temporarily upheld the firing of MSPB member Cathy Harris in May, is expected to increase the workload of the Merit Systems Protection Board (MSPB).
At the heart of the case is Federal Aviation Administration air traffic controller Nick Feliciano, who also served as a Coast Guard reserve petty officer. Feliciano was called up in July 2012 and remained on active duty until February 2017, supporting Operations Iraqi Freedom and Enduring Freedom. However, his claims for differential pay were previously denied by the Federal Circuit, citing the need to show a substantive connection between the reservist's service and a particular national emergency.
The Supreme Court's ruling, however, has overturned this decision, stating that military reservists called up to active duty during a national emergency are entitled to the difference between their military and civilian salaries. This decision makes it easier for reservists who want to file claims to prove that they were impacted.
Differential pay is provided for federal employees who are impacted and called to active duty. The MSPB has stated that claims would only be delayed if the initial decision is appealed by either party. The MSPB regional and field offices remain fully functional to handle these claims.
Michael Macomber, partner and CEO at Tully Rinckey PLLC, a national law firm with an extensive government services practice, commented on the ruling, stating that it highlights new resources that federal employees may not be aware they have access to. Macomber emphasized the importance of federal employees applying for benefits they are eligible for.
Tully Rinckey has received "dozens if not hundreds of inquiries" about federal employees' eligibility for differential pay claims since the ruling. However, the MSPB has not yet seen a noticeable uptick in claims following the Feliciano decision.
The current vacancy at the MSPB, due to the firing of Cathy Harris in February, may delay the processing and resolution of these claims. Despite this, the MSPB stated that corrective action on differential pay claims would only be delayed if appealed by either party.
This ruling comes as a relief for many federal employees who have been affected by their active military duty and the resulting wage differences. It underscores the importance of understanding and exercising one's rights in such situations. As more federal employees become aware of their eligibility for differential pay, it is expected that the MSPB will see an increase in claims in the coming months.
