Hagel Announces Reduction in Civilian Furlough Days

  • Published
  • American Forces Press Service
Hundreds of thousands of Defense Department
civilian employees who have had to take a weekly unpaid day off from work
since July 8 are getting some relief, as the total number of furlough days
has been reduced from 11 to six, Defense Secretary Chuck Hagel announced
today.

Here is the complete text of the secretary's announcement:

When I announced my decision on May 14 to impose furloughs of up to 11 days
on civilian employees to help close the budget gap caused by sequestration,
I also said we would do everything possible to find the money to reduce
furlough days for our people. With the end of the fiscal year next month,
managers across the DoD are making final decisions necessary to ensure we
make the $37 billion spending cuts mandated by sequestration, while also
doing everything possible to limit damage to military readiness and our
workforce. We are joined in this regard by managers in non-defense agencies
who are also working to accommodate sequestration cuts while minimizing
mission damage. As part of that effort at the Department of Defense, I am
announcing today that, thanks to the DoD's efforts to identify savings and
help from Congress, we will reduce the total numbers of furlough days for
DoD civilian employees from 11 to six.

When sequestration took effect on March 1, DoD faced shortfalls of more than
$30 billion in its budget for day-to-day operating costs because of
sequestration and problems with wartime funding. At that point we faced the
very real possibility of unpaid furloughs for civilian employees of up to 22
days.

As early as January, DoD leaders began making painful and far reaching
changes to close this shortfall: civilian hiring freezes, layoffs of
temporary workers, significant cuts in facilities maintenance, and more. We
also sharply cut training and maintenance. The Air Force stopped flying in
many squadrons, the Navy kept ships in port, and the Army cancelled training
events. These actions have seriously reduced military readiness.

By early May, even after taking these steps, we still faced day-to-day
budgetary shortfalls of $11 billion. At that point I decided that cutting
any deeper into training and maintenance would jeopardize our core readiness
mission and national security, which is why I announced furloughs of 11
days.

Hoping to be able to reduce furloughs, we submitted a large reprogramming
proposal to Congress in May, asking them to let us move funds from
acquisition accounts into day-to-day operating accounts. Congress approved
most of this request in late July, and we are working with them to meet
remaining needs. We are also experiencing less than expected costs in some
areas, such as transportation of equipment out of Afghanistan. Where
necessary, we have taken aggressive action to transfer funds among services
and agencies. And the furloughs have saved us money.

As a result of these management initiatives, reduced costs, and
reprogramming from Congress, we have determined that we can make some
improvements in training and readiness and still meet the sequestration
cuts. The Air Force has begun flying again in key squadrons, the Army has
increased funding for organizational training at selected units, and the
Navy has restarted some maintenance and ordered deployments that otherwise
would not have happened. While we are still depending on furlough savings,
we will be able to make up our budgetary shortfall in this fiscal year with
fewer furlough days than initially announced.

This has been one of the most volatile and uncertain budget cycles the
Department of Defense has ever experienced. Our fiscal planning has been
conducted under a cloud of uncertainty with the imposition of sequestration
and changing rules as Congress made adjustments to our spending authorities.

As we look ahead to fiscal year 2014, less than two months away, the
Department of Defense still faces major fiscal challenges. If Congress does
not change the Budget Control Act, DoD will be forced to cut an additional
$52 billion in FY 2014, starting on October 1. This represents 40 percent
more than this year's sequester-mandated cuts of $37 billion. Facing this
uncertainty, I cannot be sure what will happen next year, but I want to
assure our civilian employees that we will do everything possible to avoid
more furloughs.

I want to thank our civilian workers for their patience and dedication
during these extraordinarily tough times, and for their continued service
and devotion to our department and our country. I know how difficult this
has been for all of you and your families. Your contribution to national
security is invaluable, and I look forward to one day putting this difficult
period behind us. Thank you and God Bless you and your families.