The Office of Personnel Management’s (OPM) Recent Change to Shutdown Guidance - Back Pay Debate

• In January 2026, OPM updated its federal shutdown guidance and removed language that had previously said furloughed employees would automatically receive retroactive pay once a funding lapse ends.

• The new guidance instead says that whether furloughed employees receive pay for the period of a shutdown is now up to Congress, meaning it must be provided through future legislation.

• OPM also deleted sections explaining pay rates for furloughed and intermittent employees, and removed guidance on leave accrual and reduction-in-force policies.

OPM updated its shutdown guidance, putting guaranteed back pay after a government shutdown in doubt for furloughed federal employees

• Before this update, the Office of Personnel Management and Office of Management and Budget (OMB) had both interpreted the Government Employee Fair Treatment Act of 2019 (GEFTA) as automatically guaranteeing back pay for furloughed federal employees after a shutdown ends.

• GEFTA was passed after the 2018-19 shutdown to ensure both furloughed and excepted employees receive retroactive pay once funding is restored, without needing a separate Congress action every time.

• By removing references to GEFTA and the automatic back-pay guarantee, OPM’s guidance now places furlough pay contingent on Congressional action rather than established policy.

• This shift has raised considerable concern among federal workers and lawmakers, as it undermines the longstanding interpretation that retroactive pay was guaranteed by law.

• In the current partial shutdown context, Congress ultimately included language in a funding deal to ensure back pay for furloughed and excepted workers, and the president signed that package.

• But the change in OPM’s guidance reflects a broader policy shift by OMB/OPM and creates uncertainty over future shutdowns and pay protections.

• Previously: Furloughed federal workers were understood to be automatically entitled to retroactive pay under the 2019 law once appropriations resumed.

• Now: OPM’s updated guidance removes that guarantee and says payment is dependent on what Congress legislates — throwing the automatic back-pay assumption into question.

Sources: Federal News Network, Government Executive, FedSmith