Unemployed Federal Workers: Are You on the Hook for Benefits?

Unemployed Federal Workers: Are You on the Hook for Benefits?

As the government shutdown continues, 800,000 federal workers are going without pay. The New York Times reported that each employee has missed on average over $5,000 in pay so far. Many of these workers have said they have less than a month of savings.

With no income and little savings, thousands of federal workers have already begun filing for unemployment benefits. At this time, these federal workers will qualify for unemployment benefits. However, their benefit amount will be taken out of their back pay once the shutdown ends.

What you may not know is that as a private-sector employer, you could be on the hook for some of the unemployment risk. If you were the previous employer during the base period for a federal worker who files for unemployment, you will be partially responsible. Here's what that means:

  • Unemployment claims-related workloads will increase for your employees
  • Your organization's tax rates could increase as a result of the increased claims volume

HIREtech helps organizations manage the unemployment claims process and employment tax rates. To learn how we can help your organization, contact This email address is being protected from spambots. You need JavaScript enabled to view it..