This memorandum is perceived as a strategic move to pressure Democrats amid the ongoing US government shutdown, now entering its eighth day.
The White House is challenging the established legal understanding that guarantees automatic back pay to hundreds of thousands of federal employees furloughed during a government shutdown, according to recent media disclosures.
A newly issued White House memorandum asserts that Congress must explicitly allocate funds for furloughed workers, presenting a revised interpretation of the “Government Employee Fair Treatment Act of 2019,” as reported by Axios.
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Axios broke the story Tuesday evening, referencing a memo from the Office of Management and Budget alongside statements from senior White House officials. This account was subsequently confirmed by multiple US news organizations.
The Fair Treatment Act was enacted during President Donald Trump’s first term, following a 35-day government shutdown spanning December 2018 to January 2019.
Currently, the Trump administration contends that the statute’s language mandates a distinct congressional appropriation rather than an automatic disbursement to furloughed employees, as the shutdown approaches its eighth day on Wednesday.
“Is automatic coverage for all furloughed employees guaranteed under this law? The prevailing belief is yes, but our interpretation is no,” a senior White House official told Axios.
However, this stance is not unanimously supported within the Republican Party.
Senator John Kennedy of Louisiana, a Republican, told CBS News that the president alone cannot decide on federal worker compensation.
“The president’s viewpoint is important, but ultimately, Congress must authorize the funds,” Kennedy stated.
“Historically, back pay for military and federal employees has always been approved by Congress, and this situation will be no different,” he added.
Since the shutdown began on October 1, up to 750,000 federal employees have been furloughed, with daily compensation costs estimated at roughly $400 million, according to the Congressional Budget Office.
The Office of Personnel Management, an independent federal agency, indicated in September that retroactive payments would be issued “as soon as possible” once the shutdown concludes. Currently, the government owes workers approximately $2.8 billion, with no resolution in sight.
Media outlets interpret the White House’s challenge to furloughed worker pay as a tactic to compel Democrats into negotiations to end the shutdown. President Trump has also previously threatened to terminate federal employees amid the impasse.
Numerous national parks and museums remain closed, and non-essential government services are suspended until the shutdown is resolved.
The shutdown’s repercussions extend beyond the capital.
On Monday night, Hollywood Burbank Airport operated without on-site air traffic controllers for six hours due to staffing shortages linked to the shutdown, according to a local ABC News affiliate.
Remote air traffic control was managed by a team based in San Diego, yet the airport experienced flight cancellations and delays. Similar disruptions have been reported at other airports since the shutdown commenced last week.
Democrats continue to block a Republican-backed funding bill in the Senate, aiming to leverage negotiations on healthcare policy.
Democrats demand that Republicans reverse Medicaid cuts and extend expiring healthcare subsidies. Without these measures, many Americans could face healthcare premium increases exceeding 100% in November, according to the nonpartisan Kaiser Family Foundation, a healthcare policy research organization.
The Republican proposal, which would fund the government through November 21, failed in the Senate on Tuesday with a 52-42 vote. Meanwhile, a Democratic alternative extending funding to October 31 and making subsidies permanent also did not pass, falling 55-45.
