Civilians won't be the only D.O.D. employees to feel the sting of sequestration next year.
Uniformed military personnel will see smaller raises and fewer troops.
A Department of Defense spokesperson says the annual military pay raise will likely fall below the increase in inflation next year.
The White House and Pentagon have proposed a one-percent increase for active duty troops. That's the lowest percentage increase since the army was formed.
Force reductions will go along with the benefits changes. The Army and Marine Corps will take the hardest hit.