President on Tuesday indicated that certain federal employees “do not merit compensation” during the government shutdown, suggesting his Administration is considering withholding back pay from hundreds of thousands of furloughed staff after the stalemate concludes.
When questioned about back pay for furloughed workers post-shutdown, Trump responded, “I would say it depends on who we’re talking about.” He continued, “For the most part, we’re going to take care of our people. There are some people that really don’t deserve to be taken care of, and we’ll take care of them in a different way.”
He offered no details or clarification regarding which federal personnel he considered undeserving of support. However, his statements point to an increasing readiness within the White House to leverage the shutdown as a tool in its wider campaign to reduce the size of the federal government.
These comments coincide with a recent White House legal analysis asserting that furloughed employees are not automatically due back pay upon their return, according to an administration official who spoke to TIME. The memo, initially reported by Axios, contends that Congress must explicitly allocate funds for retroactive compensation, which goes against earlier interpretations of the statute.
This memo seemingly clashes with the Government Employee Fair Treatment Act—legislation passed by Congress and signed by Trump in 2019 following the longest U.S. shutdown—which mandates that federal workers “shall be paid for the period of the lapse in appropriations.” Yet, the White House memo asserts that the phrase “subject to the enactment of appropriations Acts ending the lapse” signifies that Congress must explicitly appropriate these funds. Mark Paoletta, the White House budget office’s general counsel, penned that retroactive pay could not be automatically disbursed and would necessitate distinct legislation once the shutdown concludes.
This reading of GEFTA seems to conflict with guidance issued in September by the Office of Personnel Management, which informed agencies that federal law obligated the government “to provide retroactive pay…regardless of scheduled pay dates, and subject to the enactment of appropriations Acts ending the lapse.” A document containing frequently asked questions from the stated that “both furloughed and excepted employees will be paid retroactively.” That particular document was subsequently modified to remove the mention of the 2019 law.
The White House did not respond to a request for comment regarding its intention to proceed with the interpretation detailed in the memo, but the matter has already escalated into a key point of contention in the ongoing funding deadlock.
David Super, a law professor at Georgetown University Law Center, observed that Trump’s statements on Tuesday were “unclear,” but emphasized that if the President was referring to “standard government employees, the law is unequivocal—they are entitled to back pay.”
Super elaborated, saying, “What [GEFTA] stipulates is that government employees who are either furloughed or mandated to work shall receive payment as soon as feasible once the appropriation lapse concludes.” He added, “That appears to be at odds with the President’s assertions.” However, independent contractors are not afforded the same safeguards, as per Super.
Should the Trump Administration proceed with denying back pay to furloughed personnel, Super anticipates this would be met with a lawsuit that he believes “would swiftly prevail.”
Even certain Republicans conveyed bewilderment regarding the Administration’s legal position. House Speaker Mike Johnson, who supported the 2019 legislation assuring back pay, informed reporters on Tuesday that the White House memo “will be extensively debated”—but also stated: “I hope that the furloughed workers receive back pay.”
Johnson remarked, “Some legal analysts believe that is not a course the government should take.” He continued, “If that holds true, it should heighten the urgency and imperative for Democrats to act appropriately in this situation.”
Senate Majority Leader John Thune stated that retroactive pay was “a common procedure” and mentioned he was unaware of OMB’s reasoning. He affirmed, “My understanding is, yes, that they would receive payment.”
On Tuesday, Democrats charged the Trump Administration with trying to exploit the shutdown to undermine the civil service and exert pressure during negotiations. House Democratic Leader Hakeem Jeffries declared at a news conference, “The law is unequivocal—every single furloughed federal employee is entitled to back pay, period, full stop.” He added, “The law is clear, and we will ensure that law is upheld.”
The federal government has been partially shut down for over a week, affecting approximately 750,000 employees on furlough and numerous others working without compensation. Congressional negotiations have reached an impasse, as Democrats are demanding that any spending legislation incorporate an extension of Affordable Care Act subsidies slated to expire by year-end—a request Republicans have thus far dismissed. On Monday, both the House and Senate were unable to pass rival short-term funding bills, and no further votes are planned for this week.
Trump and Vice President J.D. Vance have consistently issued threats of widespread layoffs at departments they have characterized as “Democrat strongholds.” As of now, no dismissals have been publicly declared.
When queried about the potential number of permanent job eliminations, Trump stated on Tuesday: “I’ll be able to tell you that in four or five days if this keeps going on.”
He further added, “If this keeps going on, it’ll be substantial.” He continued, “And a lot of those jobs will never come back. But you’re going to have a lot closer to a balanced budget actually.”
