CRAWFORD, Nov 30: Declaring large pay hikes for government employees would threaten US efforts in the war on terrorism, President George W. Bush on Friday scaled back raises most civilian workers were to receive in January.

Under a 1990 law, federal employees would receive a 3.1 per cent increase in basic pay, plus a “locality” increase based on private-sector wage changes in the metropolitan areas where they work.

In a letter to Congress, Bush announced he was using his authority to implement an alternative plan in times of “national emergency” or “serious economic conditions affecting the general welfare.”

He said he was limiting raises to the 3.1 per cent across-the-board boost.

Bush estimated that the average pay increase for eligible federal employees under the locality system would be 18.6 percent and deemed the cost “unacceptable” in light of the attacks of Sept. 11 last year.

Locality payments would remain at current levels because “our national situation precludes granting larger pay increases ... at this time,” Bush said.

A national emergency has existed since September 11, 2001, Bush wrote. Full statutory civilian pay increases in 2003 would interfere with our nation’s ability to pursue the war on terrorism.

The White House released the letter late on Friday in the middle of Bush’s long holiday weekend at his ranch in central Texas.

A spokesman said the changes would affect most federal employees but could not provide an exact number.—Reuters