Government Shutdown--Impact on Employee Benefits

Date: Wed, 27 Dec 1995 14:09:09 GMT

To: "USGS Employees"<distribution>
Subject: ALL EMPLOYEES DISTRIBUTION


To: USGS Employees
Subject:  Government Shutdown--Impact on Employee Benefits

MEMORANDUM

To:       USGS Employees

From:     Kathleen B. Rutledge
             Acting Chief, Office of Human Resources

Subject:  Government Shutdown--Impact on Employee Benefits

The Director has notified us of the possibility of a Government-wide
shutdown of operations if we have a lapse in appropriations between
Fiscal Years 1995 and 1996, or if the current debt ceiling expires without
action by Congress.  In the event that such a budget crisis occurs, we
would likely be required to place most employees in an emergency
furlough status.  In this type of furlough, employees would remain away
from work the entire period of the furlough, rather than one or two days
a week as might be the case with a planned furlough.

The attached information sheet explains the impact of a continuous
furlough on employee benefits.  We hope you find this information useful
for your own personal contingency planning.  If you have specific
questions about this information, please call your servicing personnel
office.

Attachment



CONTINUOUS FURLOUGH--IMPACT ON EMPLOYEE BENEFITS AND
OTHER ISSUES

Leave/Pay

Employees may not take leave on furlough days and thus avoid being
furloughed.  If there is no money for salary, there is no money for leave.
Previously approved leave is canceled if it coincides with a furlough day.

Employees receive no pay if a furlough day occurs on a holiday.

If a continuous furlough extends for an entire pay period (80 hours),
employees earn no leave during that pay period.

Retirement

Retirement coverage continues for up to 6 months in a calendar year at
no cost to the employee or the USGS.

Life Insurance

Life insurance enrollment continues for up to 12 months without cost to
the employee or the USGS for basic or optional insurance.

Health Benefits

Health benefits enrollment continues for up to 365 days in a nonpay
status.
However, employees are responsible for their share of the premiums.
Payment can be deducted in a lump sum when the employee returns to
duty.

Thrift Savings Plan

If the employee receives no pay for a pay period, both employee
contributions and the Government match are suspended.  If the employee
receives reduced pay, contributions are a percentage of that reduced
amount, except when the employee has elected to contribute a fixed
dollar amount.  In this case, the fixed dollar amount, rather than a
percentage, will be deducted from pay.

Unemployment Insurance

Depending on the laws of the State in which the employee works,
employees may be eligible for unemployment compensation for those
weeks when income does not exceed the State's prescribed ceiling.
Benefits vary from State to State as to amount and waiting periods.
Employees should contact their State employment agencies for
information.

Workers' Compensation for On-the-Job Injuries

Workers' compensation is paid to employees only if they are injured while
in the performance of their duties.  Employees on furlough are not
considered to be in a duty status and do not qualify for benefits.
Employees designated as essential for purposes of orderly suspension
of activities or protection of life and property are covered if they are
injured in the performance of officially-ordered work.


Outside Work

Employees may accept non-Federal employment while they are on
furlough, as long as there is no conflict of interest or Hatch Act
restriction.  Guidelines for outside work can be found in the Employee
Conduct Handbook which has been distributed to all employees.

Volunteer Services

The USGS cannot accept volunteer service--either from employees or
from volunteer workers--during the period of furlough.

Within-Grade Increase Credit

Time in a nonpay status is creditable toward a within-grade increase on
an aggregate basis as follows:

        o  General Schedule

           --  2 workweeks (a total of 10 workdays in a nonpay
status)--for steps 2, 3, and 4;

           --  4 workweeks (20 days)--for steps 5, 6, and 7; and

           --  6 workweeks (30 days) for steps 8, 9, and 10.

        o  WG, WL, WS:

        --  1 workweek--for step 2

        --  3 workweeks--for step 3

        --  4 workweeks--for steps 4 and 5