As the U.S. government’s 2025 shutdown stretches into its 41st day, and several federal workers await relief, the Senate backed the funding bill to reopen the government on Monday. The stopgap measure not only funds agencies through January 2026 but reaffirms retroactive compensation for workers sidelined since Oct. 1.
At the heart of this process is the Government Employee Fair Treatment Act of 2019 (GEFTA), a bipartisan safeguard ensuring “all federal employees shall receive pay for the period of the lapse in appropriations” starting after Dec. 22, 2018.
The package still requires approval from the House of Representatives and President Donald Trump. Processing of the pay begins immediately upon the bill’s enactment.
OPM and the Department of the Treasury direct agencies to recalibrate payroll systems, treating furlough days as paid hours for salary, overtime, and benefits accrual, per OPM’s updated shutdown furlough guidance (January 2024).
Furloughed workers accrue annual and sick leave as if on duty, avoiding penalties under the Fair Labor Standards Act. For the biweekly cycle ending Nov. 15, most expect lump-sum deposits by Nov. 21-28, including October-November arrears plus current earnings—mirroring the 2019 timeline, where pay resumed within two weeks of reopening, according to the Partnership for Public Service.
How Was GEFTA Enacted?
GEFTA, enacted as Public Law 116-1 and signed by President Donald Trump during his previous term, amended the Antideficiency Act (31 U.S.C. § 1341) to mandate back pay for both furloughed employees—sent home without duties—and excepted “essential” staff, like air traffic controllers and border agents, who labored unpaid.
“The law requires agencies to issue back pay at the earliest date possible after the lapse ends, regardless of scheduled pay dates,” states the Office of Personnel Management (OPM) in its January 2019 Compensation Policy Memorandum 2019-04, which guided the 35-day 2018-2019 shutdown’s resolution.
Controversy Behind Pay For Furloughed Workers
An October 2025 OMB draft memo, obtained by Axios, controversially argued the law required explicit congressional funding, contradicting OPM’s September 2025 guidance affirming automatic pay.
Bipartisan lawmakers, including Sens. Tim Kaine (D-Va.) and Lisa Murkowski (R-Alaska), rebuked this in an Oct. 21 letter to OMB Director Russell Vought, calling it “unlawful” and vowing legal challenges.
The National Active and Retired Federal Employees Association echoed: “GEFTA is bipartisan law… passed overwhelmingly,” per President John Hatton.
Market Turns Positive On Reopening Optimism
The futures of the S&P 500, Nasdaq 100, and Dow Jones indices rose after the news of the Senate’s passing of the funding bill.
—
Originally Posted November 10, 2025 – Senate Reaffirms Back Pay For 41 Days Of Missed Wages As Shutdown Nears End
Disclosure: Benzinga
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Disclosure: Interactive Brokers Third Party
Information posted on IBKR Campus that is provided by third-parties does NOT constitute a recommendation that you should contract for the services of that third party. Third-party participants who contribute to IBKR Campus are independent of Interactive Brokers and Interactive Brokers does not make any representations or warranties concerning the services offered, their past or future performance, or the accuracy of the information provided by the third party. Past performance is no guarantee of future results.
This material is from Benzinga and is being posted with its permission. The views expressed in this material are solely those of the author and/or Benzinga and Interactive Brokers is not endorsing or recommending any investment or trading discussed in the material. This material is not and should not be construed as an offer to buy or sell any security. It should not be construed as research or investment advice or a recommendation to buy, sell or hold any security or commodity. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.
Disclosure: Security Futures
Security futures involve a high degree of risk and are not suitable for all investors. The amount you may lose may be greater than your initial investment. Before trading security futures, please read the Security Futures Risk Disclosure Statement. For a copy visit the Warnings and Disclosures section of your local Interactive Brokers website.
Join The Conversation
If you have a general question, it may already be covered in our FAQs page. go to: IBKR Ireland FAQs or IBKR U.K. FAQs. If you have an account-specific question or concern, please reach out to Client Services: IBKR Ireland or IBKR U.K..
Visit IBKR U.K. Open an IBKR U.K. Account