Pay Workers What They’ve Earned Act
Pay Workers What They’ve Earned Act
Plain Language Summary
# Pay Workers What They've Earned Act - Summary **What the bill does:** This bill would require the federal government to reimburse federal employees, state employees, and contractors for financial hardships they experience during government shutdowns. When a shutdown occurs and workers lose paychecks, they often rack up debt by taking out loans, using credit cards, or missing payments. This bill would have the government reimburse employees for those costs—including loan fees, credit card interest, late fees, and fines—that resulted directly from lost wages during the shutdown. **Who it affects:** Federal employees, state employees, and workers employed by federal contractors are the primary beneficiaries.
The bill specifically mentions the District of Columbia government as well. Essentially, any worker who loses income due to a shutdown and incurs financial penalties as a result could be eligible for reimbursement. **Current status:** The bill (HR 5628) was introduced by Representative Steven Horsford (D-Nevada) in the 119th Congress and is currently in committee, meaning it has not yet been voted on by the full House of Representatives. No action has been taken on it yet.
CRS Official Summary
Pay Workers What They’ve Earned ActThis bill requires the federal government to reimburse states and employees of the federal government, the District of Columbia government, or federal contractors for certain costs incurred as a result of a lapse in appropriations (i.e., a government shutdown). Employee costs that must be reimbursed include costs incurred by an employee as a direct result of a lapse in appropriations, including expenses for loans and credit cards, and any fees, fines, or interest resulting from the employee's inability to make payments as a direct result of a loss in salary due to the lapse in appropriations. With respect to a lapse in appropriations that begins on or about October 1, 2025, employees must be reimbursed for any shutdown costs on the earliest date possible after the enactment of this bill (subject to the enactment of an appropriations act ending the lapse). For subsequent lapses in appropriations, the bill requires that each employee be reimbursed for any shutdown costs on the earliest date possible after the end of a lapse in appropriations that lasts at least 14 days.States must be reimbursed for payments for assistance programs that would otherwise be provided by the federal government but for a lapse in appropriations that lasts at least 14 days. The states must be reimbursed no later than 90 days after the end of the lapse in appropriations. The reimbursements required by this bill are subject to the availability of appropriations.
Latest Action
Referred to the House Committee on Oversight and Government Reform.