Even Short Government Shutdowns Impact Contractors

Nextgov: As agency operations grind to a halt amid a government shutdown, it’s not only federal employees who are facing a stop-work order. The myriad of government contractors supporting day to day operations are also on hiatus, and such companies should ensure they are well prepared, whether for a short shutdown or a long haul.

Federal contractors should have heard from their respective agency customers by now about whether their work would be exempt from a shutdown—due to national security or threat to life or property—but many might still be left with uncertainty, particularly when it comes to retaining their workforces.

“If you viewed this as a company town, it’s like the factory shut down, and we don’t know when it’s going to reopen,” said Democratic Congressman Gerry Connolly, whose state of Virginia is tied along with Maryland and the District as home to the most federal contracting dollars per capita, according to WalletHub. “It creates enormous anxiety and uncertainty for federal workers and federal contractors who are trying to be good public servants. The effect is devastating.”

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