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| Federal Shutdown |
In cities like Sacramento in particular, with thousands of federal workers, the expected furloughs of those workers would just add to the nervousness over state-worker furloughs. A UC Davis economist adds that those job losses would also keep the unemployment rate from improving, just as recent labor reports were starting to show slight recovery from job losses of one and two years ago, when the recession began.
“We had a great report this month on job growth,” said Robert Smiley, former dean of the graduate school of management at U.C. Davis. “The furloughs could potentially wipe out that growth and all the growth that’s occurred since the economy hit the trough of this recession.”
The shutdown will not affect military facilities, including the Exchange at Travis Air Force Base, according to store manager Pete Machott. He said the Exchange serves 11,000 active military personnel and retirees from as far away as Reno. Machott said Exchange stores have non-appropriation budgets, which means they generate their own operating funds.
The deadline for federal lawmakers to reach a budget deal is 9 p.m. Pacific Standard Time – or midnight Eastern Standard Time – on Friday. If that doesn’t happen, many federal workers may not have a job to go to on Monday.
Sources: http://www.kcra.com
