Attorneys for Federal Employees — Nationwide

Nearly 200,000 federal workers and supporters follow our updates across TikTok, Instagram, YouTube, Facebook, and LinkedIn. Each briefing gives you the three stories that actually matter to your job, plain‑English legal guidance, and one short practice to protect your peace of mind. If it helps you, forward it to a colleague—new readers can subscribe at https://fedlegalhelp.com/newsletter. 

Today at a Glance

• The White House FY2027 Budget Proposes a Pay Freeze for Civilian Federal Employees — While Giving the Military a 5-7% Raise: The budget, released Friday, says nothing about civilian pay in 2027. An OMB spokesperson confirmed there would be no increase. Military members would receive between 5% and 7% depending on rank. Non-defense civilian agencies would face a 10% across-the-board budget cut.
• Trump Signed an Order on Friday to Pay All DHS Employees — on Day 50 of the Shutdown: The memo expands on the TSA pay order from two weeks ago, directing DHS to use available funds to pay FEMA, Coast Guard civilians, and CISA staff. The shutdown itself has not ended. Congress is still working toward a legislative fix. Employees should expect back pay but verify the amounts when they arrive.
• CISA, FEMA, and Coast Guard Civilians Who Went Unpaid Are Sounding the Alarm — Debts Are Piling Up and Security Clearances May Be at Risk: Federal News Network published accounts from DHS employees across components who have now worked more than seven weeks without pay, describing missed mortgage payments, mounting credit card debt, and concern that financial distress during a shutdown could show up in future security clearance reviews.

Top Stories:

1. The White House Proposed a Pay Freeze for Civilian Federal Employees in 2027 — and a 5-7% Raise for the Military

Source: Government Executive — April 4, 2026

TL;DR: The White House released its FY2027 budget proposal on Friday. The document makes no mention of a pay raise for civilian federal employees. An OMB spokesperson confirmed to Government Executive that under the proposal, civilian workers would receive no pay increase next January. Military members, by contrast, would receive between 5% and 7% — with the highest increases going to the lowest-ranked personnel. The budget also proposes a 10% cut to non-defense discretionary spending — a $73 billion reduction — while requesting a 44% increase in defense spending to $1.5 trillion, the largest defense budget request in decades. IRS would face additional cuts to both taxpayer services and enforcement staffing under the proposal. The budget calls for eliminating dozens of programs across agencies including EPA, HUD, and Education. Congress rejected most of the Trump administration's proposed cuts in FY2026; the same dynamic could play out again.

For federal employees, this means:

• If you are a civilian federal employee — GS, WG, or most other pay systems — the administration's opening position for 2027 is zero pay increase. That is not yet final. The president has authority to issue an alternative pay plan by September 1 of each year, and Congress can legislate a different outcome. Last year, OMB passback documents also indicated a pay freeze, and Trump ultimately signed a 1% raise in December.
• The gap between proposed military and civilian compensation — 5-7% versus zero — is the starkest in recent memory. For federal employees who recruit, retain staff, or work alongside military counterparts, this gap has real workforce implications.
• The 10% proposed cut to non-defense agencies is a signal of the administration's budget priorities entering FY2027 negotiations. Even if Congress rejects the deep cuts — as it largely did for FY2026 — the proposal shapes what agencies plan for, including staffing levels and program continuity.

Legal Insight:

A pay freeze is not an adverse action subject to MSPB appeal, and it does not by itself create a legal claim. But the downstream effects of flat compensation matter in specific legal contexts. If you are in the process of evaluating a VSIP or VERA offer, your current salary is your "high-3" base for retirement annuity calculation purposes — a year of flat pay is a year without growth in that base. If you are in a job classification or series where pay compression is already an issue, extended pay freezes affect your future career trajectory in ways worth understanding now. Consider talking with a federal benefits advisor or attorney if you have questions about how compensation decisions affect your retirement calculation or your response to any pending separation offer.

2. Trump Signed an Order to Pay All DHS Employees — on Day 50 of the Shutdown That Congress Still Has Not Ended

Source: CNN — April 4, 2026

TL;DR: On Friday, April 4 — day 50 of the DHS shutdown — President Trump signed a presidential memorandum directing DHS to use available funds to pay all of its employees, including FEMA workers, Coast Guard civilians, and CISA staff who had gone without pay since February 14. The memo titled it a national security emergency and applied the same "reasonable and logical nexus" funding standard used in the earlier TSA pay order. The shutdown itself has not ended. On Thursday, the Senate unanimously passed a bill to fund most of DHS through September — excluding ICE and CBP — and the House is now considering whether to pass that bill. Republican congressional leaders announced a two-track plan: pass the Senate bill for most DHS components now, then fund ICE and CBP through separate party-line legislation later. That plan is not yet enacted. Congress is still working.

For federal employees, this means:

• If you are a FEMA, Coast Guard civilian, or CISA employee who has been working without pay since February 14, back pay is now formally authorized by executive order. Expect processing and banking timelines similar to the TSA experience — most employees saw deposits arrive within a few business days of that order. Confirm your amounts when they arrive and document any discrepancies.
• The shutdown's underlying cause — a congressional standoff over ICE and CBP funding — has not been resolved. The executive order pays people; it does not fund the agency. DHS is still operating under a funding lapse. The two-track congressional plan requires the House to pass a bill it has twice rejected. Whether that happens before Congress leaves for its next recess is not guaranteed.
• If you are a civilian at CBP or ICE who has been working unpaid and was not covered by the earlier TSA-specific order, confirm directly with your agency whether Friday's order covers your position and when to expect payment.

Legal Insight:
The Government Employee Fair Treatment Act of 2019 guarantees back pay for all federal employees who worked or were furloughed during an appropriations lapse once funding is restored — that right is statutory and does not depend on an executive order. What the executive order adds is an instruction to pay now, before the lapse formally ends, using redirected funds. If your back pay calculation appears incorrect when it arrives — wrong number of pay periods, missing partial payments, or incorrect overtime calculations — document the discrepancy immediately in writing and contact your payroll office. Because the legal mechanisms for challenging an incorrect back pay calculation depend on how the error is classified, consider talking with your union and a qualified federal employment attorney if a discrepancy is not resolved promptly.

3. FEMA, Coast Guard, and CISA Employees Say Seven Weeks Without Pay Is Threatening Their Security Clearances — and Their Lives

Source: Federal News Network — April 2, 2026

TL;DR: Federal News Network published detailed accounts from CISA, FEMA, and CBP civilian employees who spoke anonymously about the financial and psychological toll of working unpaid for more than seven weeks. CISA employees described depleting TSP loan options from the first shutdown — and having none left for this one. FEMA employees expressed frustration that TSA's back pay while they remained unpaid signaled that their work was less valued. CBP civilian staff estimated approximately 9,000 civilians across the agency have been working unpaid, and said agency management has not been transparent about which employees are covered by which funding streams. Multiple employees raised a concern that financial distress incurred during the shutdown — missed mortgage payments, credit card debt, medical bills — could appear in future security clearance adjudications and affect their ability to keep their jobs.

For federal employees, this means:

• If you have missed payments, drawn down retirement savings, or taken on debt during this shutdown, document that the cause was a federal funding lapse — in writing, with dates. If a future security clearance review raises financial concerns, your ability to demonstrate the cause was involuntary and government-created is your primary defense.
• The concern about security clearances is not hypothetical. Financial issues are one of the most common grounds for clearance denial or revocation under the adjudicative guidelines. Temporary financial distress caused by a government shutdown is a recognized mitigating factor — but only if you can document it clearly and demonstrate you have returned to financial stability.
• If you have not already explored TSP loan options, the Thrift Savings Plan continued standard operations throughout the shutdown. A General Purpose TSP loan can be obtained without a hardship demonstration and may have lower costs than commercial debt taken on during a shutdown.

Legal Insight:
Federal employees facing security clearance concerns arising from shutdown-related financial distress have specific options. The adjudicative guidelines issued under Security Executive Agent Directive 4 identify financial considerations as one of 13 categories of potentially disqualifying conduct — but they also identify mitigation factors, including whether the financial difficulties were caused by circumstances largely beyond the employee's control and whether the employee has taken responsible steps to resolve them. If you are a federal employee who has received a Statement of Reasons related to financial issues, or who anticipates a clearance review in the near term, the connection between that review and shutdown-caused financial distress is the kind of fact that requires careful legal analysis and documentation. Consider talking with a qualified federal employment attorney who handles security clearance matters before you respond to any agency inquiry about your finances.

Legal Tip of the Day

If You’re Asked to Sign Something You Don’t Fully Understand 

Documents may be presented quickly, sometimes with pressure to sign. These can include acknowledgments, agreements, or statements. Take time to read carefully and ask questions. Signing does not always mean agreement, but it can still carry consequences. It is reasonable to request time before signing.

In Case You Missed It

A few quick hits from our recent videos and posts:

DOJ Leadership Changes and Federal Employee Risks

IRS W-2 Errors Force Employees to Amend Tax Returns

Federal Workforce Cuts vs Defense Spending

Need Help with Discipline or Performance?