Congress has passed a short-term funding bill helping to avoid an imminent government shutdown, at least until December 3, 2021. But what happens after December 3 if another funding plan isn’t in place?

What happens when the US government goes into shutdown? A federal government shutdown can have a wide and rippling impact on the US that is conducting business across the globe. 

Not only are federal employees impacted, along with federal offices and courts, but also the thousands of contract workers who are under contract with the federal government.  

Read on to learn about the impact a government shutdown could have on contract workers of the federal government. 

How Should Contractors Prepare for a Potential US Government Shutdown?

The federal government has private contracts set up with companies who work on US military bases and installations across the world. The workers get paid by their own company who’s contracted by the US government. 

Would they be impacted by a shutdown? The short answer is yes. Just like a federal employee, when the federal government shuts down, money will not be going to contractors.

Contractors should anticipate a potential shutdown and get prepared. They could have workers with nothing to do or pay to give to them. 

What Is the Defense Base Act?

A government shutdown could impact the processing of claims for the Defense Base Act. Let’s first understand the Defense Base Act, so you can understand how a shutdown might impact it. 

When you work for a private employer they are almost always required by the state to carry workers’ compensation insurance. This protects workers if they’re injured on the job.

The Defense Base Act works as a form of workers’ compensation for civilian employees who are working on military bases for the US government. 

DBA Coverage

Defense Base Act coverage helps to protect workers who’re injured or become ill while under contract with the US government. Like filing a workers’ compensation, the Defense Base Act allows you to file a claim for injury or illness. 

These claims get filed through the Department of Labor as a Defense Base Claim. A worker would want an attorney who is well versed in DBA claims and the process for them when making a claim with the federal government. 

Impact of DBA Claims From a Government Shutdown

Will DBA claims be impacted by a government shutdown? Like all parts of the federal government, those handling DBA claims would likely be furloughed during a shutdown, meaning they won’t be handling any type of case during the shutdown period. 

If you anticipate filing a DBA claim, you want to do it before there is a potential shutdown. You also want to be prepared that if there is a shutdown, nothing could be happening with your case. 

Seek the advice of an experienced attorney who works with DBA claims to best know how to proceed.

Government Shutdown and DBA Claims

The reason leaders in government work so hard to avoid a government shutdown is because of the real impact a shutdown has on so many lives. This would, of course, include those who have filed a DBA claim. 

If you have questions about a possible DBA claim, we can help. Contact us today to set up a free consultation about your case.