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White House memo argues furloughed workers not guaranteed backpay

  • On October 1, a government shutdown began after the Senate failed to pass either party's short-term spending bills and House Democrats opposed a bill that lacked continued Obamacare subsidies.
  • Due to the continued impasse, the White House is considering an analysis from the budget office suggesting a limited interpretation of the 2019 Government Employee Fair Treatment Act’s requirements for providing back pay to federal workers.
  • This memo maintains that Congress must specifically appropriate funds to pay furloughed workers for time missed during the shutdown, rather than providing automatic compensation.
  • The White House’s decision could leave up to three-quarters of a million federal employees without back pay, indicating that their compensation depends on Congress passing legislation to fund the government and resolve the shutdown.
  • If the deadlock persists, a large portion of federal employees are at risk of not receiving their initial paycheck by October 10, which heightens the urgency for Congress to reach a resolution.
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The Government's Fair Treatment of Employees Act 2019 has been widely interpreted as meaning that all government employees still employed during a government shutdown would be reimbursed immediately after the government's reopening.

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arcamax.com broke the news in on Tuesday, October 7, 2025.
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