Senate moves shutdown-ending deal that would ensure backpay and unwind some federal layoffs
The agreement came together on the shutdown’s 40th day and would approve full-year appropriations for the Veterans Affairs Department, Agriculture Department and the legislative branch. All other agencies would operate at their fiscal 2025 levels under a continuing resolution that would expire after Jan. 30.
Most Democrats still voted against the deal as it will not take any affirmative step to abate health care premium increases for millions of Americans next year, the key demand that led to the shutdown in the first place. Still, a sufficient number of Senate Democrats joined nearly all Republicans to approve the bill after stating the funding lapse was hurting too many people for it to continue. The upper chamber must still take additional votes to send the measure to the House, though the bill could wind up on President Trump’s desk later this week.
In one concession to Democrats, the bill will unwind the more than 4,000 layoffs the Trump administration issued during the shutdown. Those reductions in force are currently paused by a federal court.
The court injunction applies to the duration of the shutdown and the Trump administration mostly had not indicated whether it would seek to move forward with the RIFs after the government reopens. In the interim, the employees remain on the rolls in a paid leave status. Some agencies, such as the Interior Department, have suggested the shutdown had no bearing on their layoffs plans.
The legislation would ban all agencies from carrying out any RIFs through January. The package of three full-year funding bills would largely reject funding cuts proposed by President Trump, particularly those within USDA.
The measure will also ensure the Trump administration follows a 2019 law that guarantees back pay for all federal workers furloughed during the shutdown, something the White House had suggested it would not do. Those who worked during the shutdown are also guaranteed retroactive pay.
Sen. Tim Kaine, D-Va., said he voted for the bill in part to protect federal employees, though his state counterpart, Sen. Mark Warner, D-Va., voted against it.
“This legislation will protect federal workers from baseless firings, reinstate those who have been wrongfully terminated during the shutdown, and ensure federal workers receive back pay, as required by a law I got passed in 2019,” Kaine said. “That's a critical step that will help federal employees and all Americans who rely on government services.”
Sen. Chris Van Hollen, D-Md., who also represents one of the largest shares of federal workers, voted against the measure despite pleading to continue fighting for civil servants.
“I am prepared to work toward a compromise, but this funding bill before us tonight does not come close to meeting those terms,” Van Hollen said, adding the measure failed to prevent the Trump administration from “ignoring the law and withholding funds for important priorities.”
Sen. John Thune, R-S.D., announced on Sunday that as part of the deal he will allow a vote in December on continuing Affordable Care Act subsidies. House Speaker Mike Johnson, R-La., has not made the same promise.
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