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Panetta: Defense furloughs would be 'disruptive and damaging'

In a letter Defense Secretary Leon Panetta told Congress there were no 'viable alternatives' to putting civilian defense employees on furlough should scheduled budget cuts take effect on March 1. President Obama spoke in favor of avoiding the cuts on local television around the country, Wednesday. 

Outgoing Defense Secretary Leon Panetta speaks during a Feb. 13, 2013 news conference. Panetta warned Congress Wednesday that if planned spending cuts take effect on March 1, civilian defense employees will be put on furlough.

AP Photo/Susan Walsh

February 20, 2013

Defense Secretary Leon聽Panetta formally notified聽Congress聽on Wednesday that the聽Pentagon聽plans to put civilian defense employees on unpaid leave this year if $46 billion in across-the-board聽U.S. government聽spending cuts take effect on March 1.

The announcement of congressional notification begins a 45-day process that could ultimately lead to 22 days of unpaid leave for most of the department's 800,000 civilian employees around the globe.

In a letter released by聽House of Representatives听厂辫别补办别谤听John Boehner, Panetta聽said the furloughs would be "disruptive and damaging" to the聽Pentagon's defense mission, but there were no "viable alternatives" to reduce spending if the budget cuts occur.

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笔谤别蝉颈诲别苍迟听Barack Obama聽has been sounding the alarm about the impact of the $85 billion in automatic across-the-board government spending cuts due to take effect starting next month. The president turned to local television stations across the country on Wednesday to increase public pressure on congressional Republicans to avert the cuts.

In addition, Secretary of State聽John Kerry听诲别蹿别苍诲别诲 U.S. foreign affairs spending against the backdrop of looming cuts, saying it protects U.S. security and creates jobs.

"Foreign assistance is not a giveaway. It's not charity. It is an investment in a strong聽America聽and in a free world," Kerry said at the聽University of Virginia.

An administration official, who asked not to be named, said that even聽White House聽operations will be not spared under the cuts.

笔别苍迟补驳辞苍听颁辞尘辫迟谤辞濒濒别谤听Robert Hale聽said there would be "very limited exceptions" to the furloughs, including civilians in combat zones, foreign civilians at overseas bases, some police and healthcare workers and political appointees exempted by law.

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Hale declined to estimate what percentage of the civilian workers were likely to be furloughed but said it would be more than half. Another defense official said, "we expect more than 80 percent to be furloughed."

The unpaid leave, which will essentially cut the pay of civilian employees by 20 percent, is expected to save up to $5 billion, one of many cuts required as the聽Pentagon聽tries to slash $46 billion in spending by the end of the year.

The across-the-board cuts, known as sequestration, are due to take effect on March 1 unless聽Congress聽decides to delay them. They were mandated by the Budget Control Act of 2011 because lawmakers and the聽White House聽failed to reach a compromise on alternative spending reductions.

The聽Defense Department, which had warned for weeks about the furlough plan, has imposed a hiring freeze on civilian personnel and ordered the termination of many of its 46,000 temporary and contract workers. Officials said about 6,000 had already been laid off, with more likely to come.

The聽Pentagon聽has stressed that most civilian defense employees are not working at desks in Washington but are spread across the country doing jobs like teaching, nursing and maintaining equipment.

The greatest impacts will be in聽Virginia, which will be hit with lost payroll of $660.8 million;聽California, with $419.7 million;聽Maryland, with $359.3 million;聽Texas, with $290.8 million; and聽Georgia, with $203.1 million.聽Vermont聽will take the smallest hit, with lost payroll of $3 million.

Panetta announced the congressional notification in a message to department employees as he was traveling to聽Brussels聽for a NATO meeting, where he was expected to warn Western allies that looming budget cuts would affect U.S. contributions to NATO readiness.

Requests for exceptions to be reviewed聽

"We think the alliance's readiness could be diminished if sequestration takes effect,"聽Pentagon聽spokesman聽George Little聽told reporters flying with Panetta聽to聽Brussels. He noted that bilateral training with European allies could be affected, as could rotational deployment of U.S. forces to聽Europe.

"You put this all together, lack of U.S. readiness equals NATO lack of readiness," Little said, adding that Panetta聽had been "very unhappy" earlier in the day about having to issue the message on civilian furloughs.

In his note to defense employees,聽Panetta said the department was "doing everything possible to limit the worst effects" of sequestration, "but I regret that our flexibility within the law is extremely limited."

"The president has used his legal authority to exempt military personnel funding from sequestration, but we have no legal authority to exempt civilian personnel funding from reductions," he added.

The聽Pentagon聽is required by law to advise聽Congress聽45 days before furloughing any workers. The department is planning to put most civilian workers on unpaid leave for one day a week for 22 weeks between April and Sept. 30, the end of the fiscal year.

The military services also were formally notified of the decision on Wednesday and have until early March to ask the聽Pentagon聽for exceptions, officials said.

The聽Defense Department聽will review the requests and approve exceptions by mid-March, after which workers will receive 30 days notice of the impending furloughs, they said.

Hale told reporters that聽Pentagon聽officials felt compelled to move ahead with civilian furloughs because of increasing financial pressure on the department's operations and maintenance account, which is used to pay for the war effort in聽Afghanistan.

"Furloughs are really the only way we have to quickly cut civilian personnel funding," Hale told reporters at a briefing.