Obama proposes pay freeze

Federal employees will experience a two-year freeze on federal civilian employees’ pay based on a recent announcement from President Barack Obama, who said this will save more than $5 billion through 2012.

“The hard truth is, getting this budget under control is going to require some broad sacrifice, and that sacrifice must be shared by employees of the federal government,” he said. “After all, small businesses and families are tightening their belts … Their government should, too.”

The move will save more than $28 billion throughout the next five years, but  will need to pass through Congress before it is official. Military pay will not be affected.

South Korea to retaliate against the North

After an attack from North Korea last week, South Korea will retaliate, according to President Lee Myung-bak. The announcement came yesterday in his first address about the situation since the attack took place last Tuesday. The attack led to increased tension between the already strained nations, including rallies in the South against North Korea’s leader Kim Jong-il Monday. Four people were killed in last week’s attack. Leaders in China are also calling for talks among the two nations as pressure is mounting China to help North and South Korea resolve the conflict.

$113 billion for Irish bailout

Last week, Ireland revealed it was too deep in public debt to continue without financial support. The European Union agreed to lend roughly $113 billion in order to financially save the banking crisis in Ireland.

According to the Irish government, the country will use the funding immediately to increase the capital reserves of its banks. The E.U. has also earmarked another $3.2 billion to remain in reserves.

“It provides Ireland with vital time and space to successfully and conclusively address the unprecedented problems that we’ve been dealing with since this global economic crisis began,” Irish Prime Minister Brian Cowen said.

DADT may be here to stay

The controversial “don’t ask, don’t tell” repeal bill has garnered little support from the newly Republican-controlled Congress. Prominent Republican figure and South Carolina Sen. Lindsey Graham told Fox News on Sunday, “I don’t think there’s anywhere near the votes to repeal DADT on the Republican side,” Graham said. “I think in the lame-duck session DADT isn’t going anywhere.”

Graham made this statement after the Pentagon revealed a study that Americans do not oppose gay men and women serving in the U.S. military.

— Compiled by Assistant News Editor Sarah Kovash and Managing Editor Sarah Grieco