Pentagon To Notify Congress Of Plans To Furlough 800,000 Civilian Employees Amid Sequester: Official

Pentagon To Lay Out Massive Furlough Plans To Handle Sequester
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392984 01: (FILE PHOTO) An aerial view of the Pentagon, headquarters of the Department of Defense, in Washington, DC in an undated photo. Officials from the Pentagon announced August 7, 2001 that Defense Secretary Donald Rumsfeld, accompanied by Joint Chiefs of Staff Chairman Gen. Henry H. Shelton, will leave August 11 for Moscow to meet with Russian Defense Minister Sergei Ivanov. (Photo by Ken Hammond/Courtesty of the U.S. Air Force/Getty Images)

* Up to 800,000 civilian workers face 22 days unpaid leave

* Notification to Congress required 45 days in advance

* Prompted by budget cuts, move would save $5 billion

By David Alexander

WASHINGTON, Feb 19 (Reuters) - The Pentagon is expected to notify Congress this week that it plans to put some 800,000 civilian employees on unpaid leave for up to 22 days in the coming months if a new $46 billion budget cut goes into effect on March 1, a defense official said on Tuesday.

The official, speaking on condition of anonymity, said congressional notification could come as early as Wednesday. Deputy Defense Secretary Ashton Carter told reporters in late January that congressional notification of the furloughs would come "in the next few weeks."

The Defense Department, which is considering having workers take off one day per week for 22 weeks, is required to notify Congress 45 days before furloughing employees. Individual employee notification is required 30 days in advance and is expected to take place in the coming weeks, the official said.

With the department nearly five months into its fiscal year, it is running out of time to provide congressional notification and still be able to carry out the plan, which Carter said would save as much as $5 billion.

"Obviously this is a terrible thing to have to do to our employees and to the mission," Carter told reporters in January. "But it's necessary because it'll save $5 billion and we have to find that money."

The unpaid leave would not affect uniformed personnel, whose jobs and pay have been exempted from the cuts by President Barack Obama.

But Carter said 44 percent of Defense Department civilians are veterans and most do not work at a desk in Washington but carry out other functions in communities across the country.

The Pentagon is facing $46 billion in across-the-board budget cuts on March 1 under a mechanism known as sequestration unless Congress takes action to delay them.

The rigid cuts, which hit programs equally regardless of strategic importance, were ordered in the Budget Control Act of 2011 in an effort to force lawmakers to negotiate an alternative package of reductions to curb the government's trillion dollar deficits. But Congress failed to reach a deal.

The cuts - which total about $500 billion over a decade - were supposed to go into force on Jan. 2, but lawmakers delayed them until March 1 in order to have more time to try to achieve a deal. Little headway has been made since then.

The reductions come as the Pentagon is already trying to implement $487 billion in cuts to projected spending over a decade that were also part of the Budget Control Act.

Pentagon officials accepted those cuts and integrated them into a new defense strategy unveiled last year, but they have expressed alarm over the additional reductions, saying they will cause a readiness crisis this year and do damage over the long run.

Some analysts are skeptical, however, saying Pentagon officials are exaggerating the likely effects of the cuts in an effort to pressure Congress into taking steps to stop the reductions.

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Before You Go

What The GOP Doesn't Want You To Know About The Deficit
The Deficit Has Grown Mostly Because Of The Recession(01 of11)
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The deficit has ballooned not because of specific spending measures, but because of the recession. The deficit more than doubled between 2008 and 2009, as the economy was in free fall, since laid-off workers paid less in taxes and needed more benefits. The deficit then shrank in 2010 and 2011. (credit:AP)
The Stimulus Cost Much Less Than Bush's Wars, Tax Cuts(02 of11)
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Republicans frequently have blamed the $787 billion stimulus for the national debt, but, when all government spending is taken into account, the stimulus frankly wasn't that big. In contrast, the U.S. will have spent nearly $4 trillion on wars in the Middle East by the time those conflicts end, according to a recent report by Brown University. The Bush tax cuts have cost nearly $1.3 trillion over 10 years. (credit:Getty)
The Deficit Grew Under George W. Bush(03 of11)
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When George W. Bush took office, the federal government was running a surplus of $86 billion. When he left, that had turned into a $642 billion deficit. (credit:AP)
The Deficit Is Shrinking(04 of11)
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Last year's federal budget deficit was 12 percent lower than in 2009, according to the Office of Management and Budget.The deficit is projected to shrink even more over the next several years. (credit:AP)
Investors Are Paying Us To Borrow Money(05 of11)
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The interest rate on 10-year Treasury bonds is negative, according to the Treasury Department. Investors are even paying us for 30-year Treasury bonds, when adjusted for inflation. (credit:AP)
Investors Are Not Running Away(06 of11)
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Conservative commentators have been warning for years that investors will run away from Treasury bonds because of the national debt. So far it's not happening. Interest rates on Treasury bonds continue to hover at historic lows. (credit:AP)
Health Care Reform Reduces The Deficit(07 of11)
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Republicans have blasted the Affordable Care Act as "budget-busting." But health care reform actually reduces the deficit, according to the Congressional Budget Office. (credit:Getty)
The U.S. Is Borrowing Less From China(08 of11)
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The U.S. government is borrowing much less from foreign countries than before the recession, according to government data cited by Paul Krugman. That is because the U.S. private sector is financing our bigger deficits. (credit:Getty)
We Spend A Lot On Defense(09 of11)
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Defense spending constituted 20 percent of federal spending last year, or $718 billion, according to the Center on Budget and Policy Priorities. This adds up to 41 percent of the world's defense spending, according to Bloomberg TV anchor Adam Johnson. Mitt Romney has vowed to not cut defense spending if elected president. (credit:AP)
We Spend A Lot On Health Care(10 of11)
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Health insurance, including Medicare and Medicaid, constituted 21 percent of federal spending last year. In contrast, education constituted 2 percent of federal spending. Meanwhile, Mitt Romney and Paul Ryan have promised not to change Medicare for Americans age 55 and older. (credit:AP)
Republicans May Want Large Deficits For Now(11 of11)
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The federal budget deficit ballooned under Ronald Reagan, and that may be just the way Republicans like it. Some Republican thinkers have proposed "starving the beast": that is, cutting taxes in order to use larger deficits to justify spending cuts later. Since Republicans ultimately want lower taxes and a smaller government, what better way is there to cut spending than to make it look urgent and necessary? (credit:AP)