In the realm of HR management, few situations are as challenging as a government shutdown. When a shutdown occurs, the repercussions are widespread, affecting federal employees and government contractors. In this blog, we’ll explore a critical aspect of HR administration during a government shutdown: handling Family and Medical Leave Act (FMLA) leave and paid time off (PTO).
The Impact Of A Government Shutdown
A government shutdown can disrupt the lives of millions of employees, including approximately 4 million military and civilian workers. Among them, 2.2 million are federal employees, while the remainder consists of active-duty military and civilian workers. These shutdowns can occur when Congress fails to pass a budget, and the consequences can be extensive.
During a government shutdown, certain federal employees must continue working without pay. This group includes individuals involved in law enforcement, national defense, and life and property protection. Examples range from postal workers and federal prison guards to FBI agents, Border Patrol officers, airport security screeners, and air traffic controllers.
Understanding FMLA Leave During A Shutdown
For HR professionals, managing FMLA leave is one of the most complex aspects of a government shutdown. According to guidance from the Office of Personnel Management (OPM), employees on FMLA leave are advised to commence a leave without pay during a government shutdown. This recommendation stems from the lack of an established work schedule during a shutdown, making it impossible to accommodate FMLA leave.
As a result, all previously scheduled FMLA leave and PTO during a shutdown furlough period are canceled. This cancellation applies to employee FMLA leave requests and other PTO forms. It’s crucial for HR professionals to grasp that any scheduled FMLA leave should not be deducted from the employee’s FMLA entitlement during a furlough.
PTO Becomes Unpaid
In a government shutdown scenario, various types of paid leave, such as:
- Vacation days
- Parental leave
- Military leave
- Court leave
- Bone marrow or organ donor leave
- Transition into unpaid leave
In addition, this unpaid leave does not count against the employee’s allotted PTO. The OPM’s guidance for shutdown furloughs clarifies that employees must be placed in furlough status without pay during scheduled time off. If there is government-funded paid leave during a shutdown, there is no authority to provide that pay since the government is effectively shut down. Any PTO taken during this period results in a debt to the government that lacks legal authorization until the funding issue is resolved.
The Importance Of Communication
Employers should ensure that they provide furlough notices to workers scheduled to be on FMLA leave during a government shutdown. The only exception is if employees are not expected to work during the furlough period for reasons such as accompanying a military spouse overseas on a one-year leave without pay, per the OPM’s December 2021 guidance.
Accurate Record-Keeping Is Key
During a government shutdown, accurate record-keeping for FMLA leave is paramount. HR professionals must maintain clear documentation of when employees are at work and when they are not. This documentation ensures legal compliance and helps manage the complex web of leave policies during a shutdown.
The Assistance Of A PEO
Partnering with a professional employer organization (PEO) during a government shutdown can be a game-changer for HR professionals and organizations. PEOs like GMS specialize in managing complex HR functions, including leave administration, with precision and compliance. Through this partnership, small business owners can confidently navigate the intricate rules and regulations of government shutdowns. Partnering with a PEO ensures that employees’ rights are upheld and allows HR professionals to focus on strategic initiatives, knowing that the intricacies of FMLA leave and PTO are in capable hands. In times of uncertainty, a PEO can provide the stability and support needed to weather the storm, allowing organizations to emerge stronger on the other side. Interested in learning more? Contact us today.