Bill To Pay Federal Employees During Shutdown

The government shutdown that occurred from December 22 2018 to January 25 2019 was the longest shutdown in US history, lasting 35 days. During this time, over 800,000 federal employees were furloughed or required to work without pay. The financial hardship imposed on these workers led Congress to pass legislation to guarantee pay for employees affected by any future shutdowns. This article provides an overview of the bill passed to ensure federal employees receive pay during government shutdowns.

Background on Government Shutdowns

When the US Congress and President fail to pass legislation funding government operations, a shutdown can occur. Without appropriations bills passed many federal agencies and employees are left unfunded and unable to continue working.

During a shutdown, federal employees are designated as either excepted, exempt, or furloughed:

• Excepted – Employees who perform essential duties, like security tasks or public safety roles. They work without pay during a shutdown.

• Exempt – Employees whose funding does not depend on annual appropriations bills. They continue working and receiving pay.

• Furloughed – Non-essential employees who are sent home without pay

In every previous shutdown, furloughed workers received back pay after the shutdown ended. But this was never guaranteed by law.

2018-2019 Shutdown Triggers Legislation

The 2018-2019 shutdown began on December 22, 2018 and lasted 35 days – the longest shutdown ever. Over 800,000 federal employees went without pay, with 420,000 required to work as “excepted” and 380,000 furloughed.

The financial impact on these workers quickly became devastating. Many struggled to pay mortgages, rent, and other bills. Food bank use spiked as federal employees sought aid.

In response, Congress passed the Government Employee Fair Treatment Act in January 2019 to guarantee pay for employees affected by the shutdown. The bill passed with overwhelming bipartisan support.

Key Provisions of the Government Employee Fair Treatment Act

The Government Employee Fair Treatment Act amended the Anti-Deficiency Act to require the following:

• Retroactive pay at the standard salary rate for furloughed federal employees after the shutdown ends.

• Retroactive pay at the standard salary rate for excepted employees who worked without pay.

• Permission for excepted employees to use paid leave during shutdowns.

• Retroactive compensation for any leave used by excepted employees.

• Expedited pay restoration – as soon as possible after the shutdown ends.

• Coverage for District of Columbia employees affected by shutdowns.

The Act applies to all lapses in appropriations beginning on or after December 22, 2018. This guarantees pay for any future shutdowns in addition to the 2018-2019 incident.

Implementing the Law

Soon after the bill was signed in January 2019, the Office of Personnel Management (OPM) issued guidance to federal agencies on carrying out the Act’s provisions. OPM instructed agencies to process paychecks for furloughed and excepted employees as soon as possible after the end of the shutdown.

Agencies were also told that employee leave canceled during the shutdown would not count against annual leave ceilings. And health insurance coverage continued for furloughed workers despite non-payment of premiums.

Impact on Federal Employees

The Government Employee Fair Treatment Act brought immense relief to the over 800,000 federal workers impacted by the 2018-2019 shutdown. No longer would these employees face weeks or months without pay during a funding gap.

Worker advocates praised the overdue pay guarantee provided in the Act. Many saw the legislation as an important step in reducing financial harm to federal employees caused by partisan political disputes in Congress.

However, the Act does not compensate federal contractors also out of work during shutdowns. Some members of Congress have pledged to address contractor pay in separate legislation.

The Government Employee Fair Treatment Act established crucial safeguards for federal employees affected by government shutdowns. By legally mandating retroactive pay, Congress reduced the financial shock that workers endured during the disastrous 2018-2019 shutdown.

While broader questions remain about the practice of shutdowns, this law marks an important step in mitigating damage to the federal workforce. Employees can now face funding gaps with greater confidence that their pay will be restored.