Government shutdown would harm employees more than deficit

The looming issue in Washington D.C. has been a potential government shutdown. If Congress can’t agree on a budget proposal, the government may have to temporarily close. There are individuals that are likely to be hurt by a shutdown if it takes place, though it appears that winning approval from less than the majority of the American individuals is more essential that other considerations. Government employees would feel the majority of the pinch.

Shutdown may not stop anything

Getting a spending bill passed has been very hard for congress. May 16, a government shutdown might happen if this isn't fixed. If a shutdown occurs, basic services will continue. Since the United State USPS is self-financed for the most part, it will continue to operate. According to MSNBC, any government service “involving the safety of human life or the protection of property” cannot legally be stopped in a government spending budget showdown. There may also be Social Security benefits continuing.

No more pay for government workers

This government shutdown is bad for government employees. They lose the most on it. Some won’t have to worry; air traffic controllers will still be needed, and allowing members of the military to miss a paycheck would be political suicide. Any clerical, managerial or financial companies can have a hold put on the company though. The Obama administration froze the pay for these employees already. It could be bad for government contract workers also. They’ll, reports the Wall Street Journal, lose money due to it. Any revenue that contractors or government employees lose is probably not reimbursed.

Plans for this

There are some contingency plans in case a government shutdown happens. The Credit Union Times reports that any members on temporary federal government shutdown layoffs can be able to get zero percent interest furlough loans from the Cabrillo Credit Union in San Diego. Government employees were offered a program comparable to this during the shutdown in 1995-1996 which several employees should search for at local credit unions. Reuters reports that Treasury Secretary Timothy Geithner said he might end up going into the Social Security Trust fund and other sources to help with the shutdown giving funding to employees if there’s a shutdown.

Information from

Wall Street Journal

online.wsj.com/article/SB10001424052748704587004576241033511757282.html?mod=googlenews_wsj

Reuters

reuters.com/article/2011/04/04/us-usa-budget-debt-idUSTRE7335BY20110404?pageNumber=1

MSNBC

msnbc.msn.com/id/42380178/ns/politics/

Credit Union Times

cutimes.com/2011/04/04/cabrillo-offers-0-interest-government-shutdown-loa