A bill to curb inflation by providing for the reduction of the annual rates of pay for Members of Congress and for certain appointed Federal officials, and for other purposes.

Amends the Legislative Reorganization Act of 1946 and the Federal Salary Act of 1967 to provide for the reduction of the annual rate of pay for Members of Congress by an amount which is the product of the rate of pay for the preceding annual pay period and the total percentage increase occurring in the Consumer Price Index for the fiscal year ending during such period. Specifies that if the increase in the Consumer Price Index does not exceed two percent for each of the two fiscal years preceding the year that the reduced rate of pay would take effect, there would be no reduction in pay. Declares that the annual rate of pay for each Member of Congress shall not be reduced to less than $42,500.

Sets forth similar provisions for employees of the executive branch who are appointed by the President or by the head of any executive department, and whose annual pay exceeds $40,000.