Federal workers who are putting in the hours and not receiving pay are out of luck when it comes to state assistance.
A sign that reads “Closed due to federal government shutdown,” is seen outside of the National Gallery of Art on the 6th day of the government shutdown, in Washington, Monday, Oct. 6, 2025. Not every federal employee who is going without pay because of the government shutdown can draw on state unemployment insurance benefits to cover the gap.
And even those who tap benefits should plan on paying the money back eventually. As the federal government shutdown enters its 18th day, and as bank account balances dwindle, some federal workers are becoming more desperate to find income to tide them over until the uncertain day Congress passes a spending bill. “Employers may not prohibit a worker from filing for unemployment insurance benefits under any circumstances,” said Cher Haavind, the deputy executive director of the Colorado Department of Labor and Employment, during an online webinar for federal workers held Friday. “It does not mean a worker will be determined to be eligible, but your employer may not restrict you from applying.” The CDLE counts about 54,300 federal workers, excluding military, in the state. So who is eligible? There are three categories of federal workers during the current shutdown — furloughed workers who don’t work and don’t get paid; “excepted” workers who must report to work and don’t get paid and exempted workers who work and get paid. In a bureaucratic twist, those holding “excepted” roles and working their full shifts aren’t eligible to collect state unemployment benefits. Those on furlough and not working, who are in a better position to take on side gigs, are eligible for Unemployment Compensation for Federal Employees or UCFE. A definitive breakout isn’t available, but some estimates put the share of excepted workers at 55% to 60% of the total. They include FBI, TSA and Border Patrol agents, staff at federal prisons, National Weather Service forecasters, food and safety inspectors and active duty military. Exempt workers, about 5% of the total, are still working and still getting paid through independent funding sources. They include U.S. Postal Service workers and employees of the Federal Reserve. Furloughed workers are at around 35% to 40% of the total. They are on unpaid leave and waiting to be called back. Complicating a count, different workers at a given agency can fall into different categories. About 81% of workers at the U.S. Department of Commerce are on furlough, while only 5% of those at Homeland Security are,Federal employees have two additional forms to file when they apply for unemployment benefits, said Phil Spesshardt, who directs the state’s Division of Unemployment Insurance. Unemployment benefits in Colorado cover 55% of the average weekly wage paid over the prior five quarters. Private employers report wages quarterly for each employee, and based on that, pay a premium into a state fund that covers benefits. The state knows what it needs to pay when those workers file. But the federal government works on a reimbursement system and doesn’t report wages to the state, adding some extra steps. Federal workers must obtain two additional forms — an SF-8, which verifies federal employment and the SF-50, which verifies a worker is on furlough or has lost their job. Given that human resources departments at federal agencies are operating at limited capacity, workers may not receive those forms in a reasonable amount of time. Furloughed federal workers can expedite their unemployment claims by filing a, which details their status and pay. To support that form, workers should file copies of pay stubs from this year and their W-2 statements from last year. Spesshardt and Haavind urged eligible federal workers to file quickly if furloughed or suffering a job loss because of a reduction in force. But they also urged them to be patient. “Benefits are generally paid within four to six weeks. Each claim has to be adjudicated. Each separation is different, each claim is different,” Haavind said. “It can take a month before payments start flowing.”Denver’s Referendum 310 will determine fate of flavored tobacco sales in the cityThose filing for benefits must also be ready to pay the state back once they receive their unpaid wages. To do so, they should call 303-318-9035 or 1-877-464-4622. Payment plans, if needed, will be offered. The Federal Employee Fair Treatment Act of 2019 requires federal workers, whether working through a shutdown or furloughed, to be reimbursed for unpaid wages during a “lapse in appropriations.” The White House, however, has countered that it doesn’t consider backpay as automatic and that payments must be approved by Congress in any funding bill. Spesshardt said if furloughed federal workers don’t receive their back pay, then they won’t have to pay the state back. But the likelihood is that they eventually will. Furloughed workers are still considered attached to their jobs and won’t have to look for other employment, a standard requirement for those seeking unemployment benefits.Owner of Denver-area spa accused of offering clients sex during massagesAs Demaryius Thomas' Broncos Ring of Fame induction arrives, many still grapple with his deathRenck: Nuggets' Christian Braun is not Kentavious Caldwell-Pope. He's betterI spent three months in jail because a prosecutor hid evidence of my fiancee's suicide
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Colorado food banks sound alarm over rising need amid federal cuts to nutrition assistanceThis spring, the Trump administration cut about $500 million in U.S. Department of Agriculture funding that went toward the Emergency Food Assistance Program, which supplements states’ food bank su…
Read more »
Federal Government Shutdown Drags On, Negotiations Stalled, Amidst Ongoing DisputesThe federal government shutdown enters its 16th day, with the Senate voting again on a failed GOP funding bill and divisions remaining over healthcare subsidies. The administration works to pay certain federal employees while grappling with the financial fallout.
Read more »
Federal government orders Texas to delay November SNAP benefits amid shutdownMillions of Texans who rely on SNAP benefits could face delays next month after the federal government instructed states to hold off on sending November payments.
Read more »
GOP lawmaker seeks 'permanent' federal presence in Memphis after Trump crime orderFox News Channel offers its audiences in-depth news reporting, along with opinion and analysis encompassing the principles of free people, free markets and diversity of thought, as an alternative to the left-of-center offerings of the news marketplace.
Read more »
Federal immigration officers in Chicago area ordered to wear body cameras after protest clashesA federal judge in Chicago has ordered federal immigration agents to wear body cameras.
Read more »
NLRB sues California over new law empowering state agency to enforce federal labor rightsThe NLRB lawsuit argues California's Assembly Bill 288 usurps the authority of the federal labor board in regulating private sector labor disputes and union elections.
Read more »