When Feds Get F%*^#*

Depending on how the debt ceiling issue is settled - or not - furloughs could be just around the corner for hundreds of thousands of federal workers. If so, how...

Depending on how the debt ceiling issue is settled – or not – furloughs could be just around the corner for hundreds of thousands of federal workers. If so, how would they work and are you ready? Would it be a dreamy surprise mid-summer dream or a pre-back-to-school nightmare? Consider:

Dream scenario for a civil servant: The boss gives you Friday off. Stay home, sleep late. Have a good weekend! Oh, and take Monday, Tuesday and Wednesday off too. Go to the beach, catch up on reading, movies or sleep. Bond with the kids. In fact, just chill out. Don’t call us, we’ll call you.

Nightmare scenario for same fed: Turns out you have been furloughed through no fault of your own. Nobody knows exactly how long you will be off. Oh, and most other people where you work are still on the job because they are considered essential. You, on the other hand, are apparently not. Also, no work, no pay, so don’t incur any debts or pay any bills.

Sound stupid? Far-fetched? Yes, but it is also part of the drill when you work for the federal government. In the private sector many people work for companies where the board of directors is predominately remote, older men who are unelected millionaires. They can do pretty much what they want, including nothing! For feds it is different because the board of directors is composed of predominately remote, older men who are millionaires and who are elected.

Last week approximately 4,000 FAA employees were told that because of an unrelated funding dispute in Congress, their services were no longer needed for the time being.

As one reader/listener put it, “…aren’t all 4,000 feds, plus any contractors caught up in the mess entitled to unemployment benefits? And if the federal government furloughs more workers and contractors if an agreement is not met on the debt limit issue, wouldn’t they be entitled to unemployment benefits as well, thus shoving a HUGE financial burden onto the states? I’m surprised I haven’t seen anything in the media about this…I would think he states would be quite concerned…” – L. P.

So when will they be ordered back to work? Does the furlough have any impact on their health insurance coverage, their 401(k) plan. Can they apply for unemployment benefits? Will they get back pay when they finally return to work? Are you next?

There is a good chance feds will get retroactive pay when they return. But that is not guaranteed. And it is highly unlikely that contractors who were furloughed will get back pay.

We had an interesting discussion yesterday with Mike MacDonald, a furloughed FAA engineer who also happens to be regional vice president for the National Air Traffic Controllers Association. He was one of our guests on Your Turn. If you listened, you know all the answers and if not, or if you want to hear it again, you can do so anytime by clicking here.

MacDonald said it was his understanding that furloughed employees could keep their health insurance for up to a year, and agencies would continue to pay the lion’s share (about 70 percent) of the total premium. He said unemployment benefits might be available (depending on state laws) to feds and retirees. But there could be complications for workers who got them and were then given back pay from Uncle Sam.

Steve Watkins and Steve Losey, from the Federal Times, said there is “no guarantee” that workers furloughed now or in future would get back pay. And they said they expected more furloughs as agency budgets are reduced. They also said agency matching contributions to TSP accounts would probably be suspended, since employees could not contribute without income.

To reach me, mcausey@federalnewsradio.com.


NEARLY USELESS FACTOID

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