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NRCA issues statement regarding federal government shutdown

October 2013

With Congress and President Obama unable to reach an agreement regarding a federal budget by Oct. 1, the start of fiscal year 2014, the government is operating indefinitely under a partial shutdown for the first time since 1996. During this time, only federal employees and functions deemed "essential" will be operating. This could significantly affect employers depending on the duration of the partial government shutdown. Potential effects on employers include but are not limited to the following:
  • The federal E-Verify program is not operating during the government shutdown. U.S. Citizenship and Immigration Services (USCIS) has indicated that the three-day period for verifying employment status via E-Verify is suspended while the automated system is not in operation. Employers using E-Verify should consult USCIS' website for guidance by clicking here.
  • Federal contractors could be affected; federal construction projects and solicitations for new federal construction projects may be delayed because many government supervisors will be furloughed during the shutdown.
  • Most employees of the Department of Labor, including those at the Occupational Safety and Health Administration and Wage and Hour Division, will be furloughed until the government reopens. Employers are reminded that all federal laws and regulations remain in effect and must be adhered to despite potential reduced enforcement activities during the shutdown.
  • All regular federal economic and employment statistics will not be issued until the government resumes full operation.
If you have specific questions about any federal government operations during the shutdown, please contact NRCA's Washington, D.C., office at (202) 546-7584 for further assistance.

Last week, NRCA joined a broad coalition of business groups in sending a letter to all members of Congress and the president urging them to avoid a government shutdown. The letter stated "it is not in the best interest of employers, employees or the American people to risk a government shutdown that will be economically disruptive and create even more uncertainties for the U.S. economy." The letter also called on Congress and the president to take action to resolve the government's budget problems by passing tax and spending reforms aimed at the long-term drivers of the federal debt. To view a copy of the letter, click here.

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