DOD furlough trim hurts contractors

The Defense Department’s trimming of furlough days for its employees will impact contractors, as the department intends to delay and cut contracts, FedBiz Daily is reporting.

Because spending cuts need to come from somewhere, the Defense Department has opted not to cut as much via furloughs, and instead could be planning to delay contracts, but the upside is that this could ensure that programs stay on schedule and companies get paid on time, FedBiz Daily reported.

Reader Comments

Fri, Aug 9, 2013 Valerie Rossi

This is already occurring. We have had two Navy contracts no renew b/c the govt is choosing to delay furlough and cut contractors instead. And I quote "we thought it was important for contractors to feel the pain too".

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