True Shutdown Fairness Act

Guaranteed Pay for Federal Employees: The bill provides for "standard employee compensation" to "covered employees," which includes those who were furloughed or deemed excepted employees (Section 2(a)(3), Section 2(b)(1)(A)). This ensures workers receive their regular pay, allowances, and benefits even during a government shutdown.

Financial Protection for Contract Employees: The Act provides payments to agencies to cover the "standard employee compensation" of contract employees (Section 2(b)(1)(B)). This helps ensure that those working for contractors are not left without pay when agency work is interrupted or stopped.

Compensation for Contractor Costs: Contractors can receive price adjustments to cover "reasonable costs" incurred because of a lapse, such as paying employees who were furloughed, laid off, or had a reduction in hours or compensation (Section 2(c)(1), Section 2(c)(3)). This also includes costs to restore paid leave that employees were required to use during the lapse.

Job Security Measures: The bill prohibits the use of these funds to "propose or implement a reduction in force" or any similar effort to permanently reduce the number of agency employees during a lapse in appropriations (Section 3(b)(1)).

Protection Against Extended Administrative Leave: The Act prevents agencies from placing employees on administrative leave for more than 10 work days in any calendar year during a lapse (Section 3(b)(2)).