Secretary of Defense William S.
Cohen announced a package of significant pay raises and retirement improvements for the nation's men and women in uniform on Dec 21. These improvements will be part of President Clinton's fiscal year 2000 budget. Secretary of the Navy Richard Danzig said, "I'm very happy with these improvements. This will put more money in the pockets of our Sailors and Marines. I appreciate the support of Secretary Cohen and the president, and I'm confident that this package will be well received in the Congress."

Chief of Naval Operations Adm. Jay L. Johnson said that yesterday's announcement was a very positive sign. According to Adm. Johnson, "The Secretary's press conference reaffirms the serious commitment we have to taking better care of our people." [... by boosting base pay, reforming pay tables and fixing the retirement system that now affects about two-thirds of the force.] The Department's pay and retirement package has three main parts.  The first component of the plan is to increase pay for all service members. Beginning Jan. 1, 2000, pay will increase across the board by 4.4 percent, and by 3.9 percent annually in the fiscal years 2001 through 2005.
"This increase is the largest in basic military pay in nearly a generation," said Cohen. "It is necessary to
compensate our service members adequately and fairly."

The second part of the program is targeted pay raises. In addition to the across the board increases,
military officials are proposing targeted raises for noncommissioned and mid-grade commissioned officers. This will enable the military to reward performance by compensating service members for

their skills, education, and experience. These targeted raises are designed to narrow the wage disparity with the private sector and encourage service members to continue their military service. Targeted pay increases will range from 1/2 of one percent to 5.5 percent and will take effect July 1, 2000. These targeted raises will come on top of the 4.4 across the board raise occurring Jan. 1, 2000. The pay table is also being reformed to make raises for promotion larger than those for longevity. The goal of this improvement is to further reward performance.

The third component of this initiative is improvements to the retirement system. The current retirement system that applies to service members who entered after 1986 is 40 percent of their basic pay when they retire after 20 years, while members who began their service prior to 1986 receive 50 percent. The change was made in the Cold War era following large pay
raises and has been a major source of dissatisfaction among service members.
"Today in this uncertain time of high demand and smaller forces, the retirement change -- popularly known
as Redux -- is undermining morale and it's hurting retention," said the Secretary. "Therefore, we are
committed to returning the 20 year retirement to 50 percent of base pay."
Secretary Cohen summed up this initiative by saying, "This is a good package. It addresses the real concerns that men and women in uniform have raised with me during my visits to ships and bases this year, and it also responds to market forces. It's going to help reward performance. These significant changes come into
a broader context of a continuing effort to achieve adequate military compensation and benefits. That effort
includes improved housing allowances, food allowances, cost of living,

as well as targeted bonuses and special incentive pay to recruit and retain skilled men and women who protect our country."
-USN-

Crewmembers aboard USS Juneau (LPD 10) are making final preparations for the Navy's first-ever crew swap exchange of command. The San Diego-based crew will be exchanging ships with the Sasebo, Japan-based crew aboard USS Dubuque (LPD 8).
Although the ships will be exchanging homeports, Sailors and their families will remain in place. Typically, when a ship moves to a new homeport, the Navy relocates the crew and their families along with the vessel. "It's best for everyone," said Capt. Alan M. Haefner, Juneau's commanding officer. "As we approach the actual date for the exchange of command, it's clearly evident that the individuals who envisioned this swap over a year-and-a-half ago had the right idea."
Juneau, which deployed in early June, arrived in Sasebo after brief port visits to her namesake city of Juneau, Alaska; and Seattle, Wash. The well-maintained Juneau moved to Japan in order to provide U.S. forward-deployed naval forces with the finest amphibious transport dock vessel available. "I think it's a great idea that we change out the ship and not the crew," said Fireman William Dickey of Lyme, N.H "I know a lot of guys who want to remain in San Diego and were really glad that they didn't have to relocate their families to Sasebo." Both ships are Austin-class amphibious transport docks specifically configured to carry Marines and their equipment to conduct amphibious operations in support of U.S.     national interests. Although the ships are similar, the two vessels were built in different shipyards and have undergone modifications and maintenance in different homeports. Juneau has spent the majority of the last 12 months installing equipment and operating as the Navy's first IT-21 LPD.
Upon the completion of the ship-swap in Japan, the crew of Juneau will become the crew of Dubuque and steam her back to San Diego for an extensive overhaul period. ~

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