The threat of a government shutdown is a recurring issue in Washington. When federal funding lapses, hundreds of thousands of federal employees can be furloughed or required to work without pay This causes significant hardship for many civil servants and their families However, legislation passed in 2019 now guarantees that federal workers will receive back pay after the shutdown ends.
The Damaging Impacts of a Shutdown
During a shutdown, federal employees face difficult choices. Those who are furloughed have no way to earn income. This can make it impossible to pay mortgages, rent, utilities, and other bills. Even those required to work may have trouble covering expenses without their usual paychecks.
Past shutdowns have highlighted how a lapse in appropriations damages federal workers
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In 2013, 850,000 employees were furloughed during a 16-day shutdown. Many struggled financially and applied for unemployment benefits.
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The 2018-2019 shutdown lasted 35 days, the longest ever. Some workers took out loans or defaulted on payments without their salaries. Morale and productivity plummeted across agencies.
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The pain also extends to federal contractors. In 2019, low-wage contractors like cafeteria workers and janitors missed pay with no guarantee of eventual compensation.
Clearly, government shutdowns impose heavy costs on public servants who already deal with pay freezes and uncertainty from year to year.
The Government Employee Fair Treatment Act
To alleviate the hardships of a shutdown, Congress passed the Government Employee Fair Treatment Act in 2019. This law automatically provides back pay to both furloughed and excepted federal employees after a lapse in appropriations ends.
Key provisions of the law include:
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Guaranteed retroactive pay: All federal civilian employees are entitled to back pay for time spent furloughed or working without compensation during the shutdown. This pay will be provided at the “earliest possible date” after funding is restored.
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Benefits and leave protected: Health insurance, retirement contributions, and accrued leave remain in place during a shutdown. Missed premiums or TSP payments are made up later.
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Overtime and bonuses eligible: Any overtime worked by excepted employees during a shutdown will also be compensated with premium pay after reopening. Bonuses may still be awarded.
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Applies to future shutdowns: The law establishes back pay as standard practice so federal workers will be made whole after every funding gap, not just the 2019 lapse.
Ongoing Advocacy for Federal Employees
While the Government Employee Fair Treatment Act was an important achievement, members of Congress are still working to shield federal employees from the impacts of political gridlock in Washington.
Recent proposals have focused on compensating low-wage federal contractors for lost wages during a shutdown. There have also been calls for Congress to approve full-year spending bills on time rather than relying on short-term continuing resolutions.
Many organizations advocate for the federal workforce, including labor unions and nonprofits like the National Active and Retired Federal Employees Association. They continue to lobby for better pay, benefits, and workplace policies for America’s public servants.
The two million civilian federal employees working across the country and world deserve to be treated fairly, especially during challenging periods like a government shutdown. The 2019 law represents real progress toward providing some financial certainty for our dedicated civil servants in the event of future funding disruptions.
Congress approves bill to pay back federal employees once shutdown is over
FAQ
Do employees get paid during a government shutdown?
Does Congress still get paid during a government shutdown?
Will government workers get back pay?
What happens to contract workers during a government shutdown?
Do government employees get paid during a shutdown?
According to the Government Employee Fair Treatment Act which became law in 2019, whether an employee is furloughed or required to work during a shutdown, the employees must be compensated “at the earliest date possible after the lapse in appropriations ends.” Congress is paid during a shutdown.
Will federal workers get back pay after a shutdown?
In previous appropriations lapses, Congress had to approve back pay for furloughed federal workers following each shutdown, but that process has since been automated. Similarly, employees who worked overtime during the shutdown will be granted premium pay, although not until after the government has reopened.
Will trump guarantee back pay for federal employees impacted by shutdown?
Subscribe to Federal Drive’s daily audio interviews on Apple Podcasts PodcastOne President Donald Trump has signed a new bill into law guaranteeing back pay for federal employees impacted by the partial government shutdown. Government Employee Fair Treatment Act covers both furloughed and excepted employees.
Will furloughed federal workers be paid during a shutdown?
Salaries: Furloughed federal workers and employees who have been deemed essential and forced to work during a lapse in appropriations will not be paid during a shutdown.
What happens if a government shutdown occurs during a pay period?
If a shutdown occurs in the middle of a pay period, employees will still receive paychecks on time for work they did prior to the start of the shutdown. A small number of payroll staff will be excepted and continue to work during a shutdown to process and issue these payments. Read more: Government Shutdown
Can government contractors get paid during a government shutdown?
But Congress has no real mechanism to ensure the federal contracting community gets paid during a government shutdown. Individual companies can decide to pay their contractor-employees when the shutdown ends, but again, there’s no guarantee.