URGENT UPDATE: The Trump administration has just announced that furloughed federal workers may not be entitled to back pay, raising alarm for hundreds of thousands of employees affected by the ongoing government shutdown. According to a memo from the Office of Management and Budget, Congress may need to pass a law to ensure these workers receive compensation, undermining a previous understanding established by the 2019 Government Employee Fair Treatment Act.
In a notable shift, the White House memo confirms that furloughed employees, who are temporarily suspended from their jobs, are not automatically guaranteed back pay. This revelation contradicts earlier guidance from the White House Office of Personnel Management (OPM), which had assured furloughed workers they would receive retroactive pay once the shutdown ends. The OPM’s statement, issued just weeks ago, clearly indicated that “employees who were furloughed as the result of the lapse will receive retroactive pay for those furlough periods.”
The crux of the issue lies in a specific phrase within the 2019 law, stating that federal workers will be compensated “subject to the enactment of appropriations Acts ending the lapse.” The White House interprets this language to mean that explicit Congressional action is required for back pay, a stance that could significantly impact their own staff, with approximately one-third currently furloughed.
Senator Patty Murray, the leading Democrat on the Senate committee overseeing government funding, condemned the administration’s stance as an intimidation tactic. She stated, “The letter of the law is as plain as can be—federal workers, including furloughed workers, are entitled to their back pay following a shutdown.” Her comments, made on social media platform X, highlight the growing frustration among lawmakers regarding this interpretation.
This latest development adds to the uncertainty surrounding the shutdown, which has already led to speculation about potential mass firings. Although no such actions have yet occurred, the anxiety among federal employees continues to mount.
As this situation unfolds, all eyes will be on Congress to see if they will take action to clarify the back pay issue for furloughed workers. The implications of this decision could affect not only federal employees but also the broader economy, emphasizing the urgent need for resolution.
Stay tuned for further updates as this story develops.
