3.8% pay raise for air traffic controllers, Education Dept cuts rejected: Highlights from final FY 2026 spending bills
Key Points:
- Congressional appropriators have released a four-bill "minibus" spending package for fiscal 2026, covering key departments such as Defense, Homeland Security, Labor, Health and Human Services, Education, Transportation, and HUD, moving Congress halfway toward a full-year spending deal before the current continuing resolution expires on January 30.
- The package includes a 3.8% pay raise for air traffic controllers contingent on operational improvements, funding to hire 2,500 new controllers, and a $1.58 billion FAA budget to address significant staffing shortages and overtime issues.
- The deal implements spending cuts to reduce federal workforce sizes in the Transportation Department and HUD by 5% and 24% respectively, saving $348 million in HUD salaries,