Shutdown Showdown: Trump's Retroactive Pay Proposal Sparks Controversy

The Trump administration proposes withholding retroactive pay for federal workers affected by the government shutdown, conflicting with past practices and a 2019 law. Up to 700,000 workers may be impacted, including furloughed scientists and civil servants. The proposal has generated political tension and debate within Congress.


Devdiscourse News Desk | Updated: 08-10-2025 01:57 IST | Created: 08-10-2025 01:57 IST
Shutdown Showdown: Trump's Retroactive Pay Proposal Sparks Controversy
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The Trump administration's stance on withholding retroactive pay for federal employees during the ongoing government shutdown has stirred profound controversy and debate. An internal document, disclosed to Reuters, reveals that the administration is considering not automatically granting back pay to workers once the impasse ends.

This policy, if implemented, would directly contradict the guidance issued by Trump's personnel office and a 2019 law that mandates pay restoration to all employees, both furloughed and those required to work. Historically, Congress has voted to ensure back pay during the 15 previous shutdowns since 1981. In contrast, a draft memo from the White House Office of Management and Budget argues that the law necessitates congressional approval for such payments.

The shutdown's impact on federal employees is significant, with essential workers continuing their duties without current compensation. This includes military personnel, border guards, and air traffic controllers who face financial hardship as paychecks are delayed. Meanwhile, budget proposals lacking consensus intensify legislative challenges, underscoring the need for a resolution.

(With inputs from agencies.)

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