Free Daily Headlines :

  • COVID-19
  • Vaccine Info
  • Money
  • Politics
  • Education
  • Health
  • Justice
  • More
    • Environment
    • Economic Development
    • Gaming
    • Investigations
    • Social Services
    • TRANSPORTATION
  • Opinion
    • CT Viewpoints
    • CT Artpoints
DONATE
Reflecting Connecticut’s Reality.
    COVID-19
    Vaccine Info
    Money
    Politics
    Education
    Health
    Justice
    More
    Environment
    Economic Development
    Gaming
    Investigations
    Social Services
    TRANSPORTATION
    Opinion
    CT Viewpoints
    CT Artpoints

LET�S GET SOCIAL

Show your love for great stories and out standing journalism

UTC says government shutdown will mean furloughs for thousands of workers

  • by Ana Radelat
  • October 2, 2013
  • View as "Clean Read" "Exit Clean Read"

Washington — Despite receiving billions of dollars in last-minute contracts before the federal government shut down this week, UTC, parent company of Pratt & Whitney and Sikorsky Aircraft, tonight announced it would be “forced to furlough thousands of workers” because of the shutdown.

Just hours before the shutdown, East Hartford-based Pratt received a $2.5 billion contract from the Pentagon to continue to make spare parts for fighter jets and other aircraft.

First affected, however, would be Sikorsky Aircraft. If the shutdown does not end by next Monday, nearly 2,000 Sikorsky workers are expected to be placed on furlough.

If the shutdown continues through next week, Sikorsky will put an additional 1,000 employees on temporary layoff. Employees who would be affected work at facilities in Stratford; West Palm Beach, Fla.; and Troy, Ala.

A shutdown that extends into next week would result in more people furloughed at Pratt & Whitney too.

In a statement, United Technologies said the temporary layoffs the company plans are a result of the shutdown’s furlough of federal auditors who audit and approve operations at Pratt & Whitney, Sikorsky and most other large defense contractors.

“Without the required … inspectors, who were deemed non-essential federal employees, certain defense manufacturing work must be halted, which will result in employee furloughs,” the United Technologies statement said.

United Technologies said the number of furloughed workers at Pratt & Whitney, Sikorsky and UTC Aerospace Systems could exceed 5,000 if the government shutdown continues into next month.

The shutdown is unchartered territory for Connecticut’s $13 billion defense industry. The Pentagon was excluded from the last federal government shutdown, which occurred 17 years ago and lasted three weeks. That’s because Congress had already approved a defense spending bill, even as it stumbled on the rest of the federal budget.

This time, the Pentagon is not exempt from shutdown but tried to blunt its impact on defense contractors by issuing dozens of contracts in the days and hours before the federal government closed.

Pratt & Whitney’s new $2.5 billion contract will be paid out of the Pentagon’s revolving working capital fund, which has some leftover money.

“We are pleased that this arrangement has been implemented, as it fosters greater efficiency in executing contracts, and will reduce time and labor for both the government and Pratt & Whitney,” the company said in a statement.

Company spokesman Matthew Bates said the contract would extend until 2018. He also said the company has already received an initial payment in the amount of $8.7 million.

Loren Thompson, a military expert with the nonprofit Lexington Institute, an Arlington, Va., think tank, said looming shutdown or no, the Pentagon usually issues a flood of new contracts at the end of a fiscal year, Sept. 30.

“When it comes to defense contracting, the year has a slow start and ends with bang,” Thompson said.

Despites its notice of impending furloughs, Sikorsky was also among those awarded a last-minute contract, worth $84 million, to continue to service the military’s UH-60 Black Hawk helicopters.

But most of the state’s defense contractors weren’t as lucky. They  will have to wait for the shutdown to end before they can bid for new contracts.

The federal Anti-Deficiency Act generally does not allow the government to enter into contracts without active appropriations. That means the Pentagon had to stop issuing contracts on Oct. 1 when the 2014 fiscal year began without a budget, the result of an impasse in Congress.

Even those working with funds Congress approved in 2013 or earlier may have problems as civilian staff, such as the inspectors who are vital to United Technologies’ operations and other Pentagon staff, are furloughed.

Frank Kendall, undersecretary of Defense for acquisitions, said contractors working on contracts awarded in fiscal 2013 or before will “generally” be paid.

“There may, however, be delays or disruptions in payments because of the effects of shutdown on government employees who process payments,” Kendall wrote in a memo.

For now, General Dynamics’ Electric Boat, in Groton, will continue operating as usual, company spokesman Robert Hamilton said earlier Wednesday.

“We’ve got funded contracts, and we don’t anticipate a short shutdown will affect us,” Hamilton said.

One thing that will help Electric Boat is that the company was awarded $176 million in two contracts about a week ago. The money is available because it uses funds appropriated in the 2013 federal fiscal year.

One EB contract, worth about $26 million, is to perform maintenance work on the USS Providence. The other, worth about $152 million, would continue engineering work and upgrades on other Virginia Class submarines.

“We’re going to continue to monitor the situation,” Hamilton said.

Sen. Richard Blumenthal, D-Conn., who held an event Monday at Habco Inc., a Glastonbury defense contractor that says the federal budget crisis has left future operations uncertain, said the length of the shutdown will dictate the extent of its impact on Connecticut’s defense industry.

“If it’s a few days, it may be minimal,” Blumenthal said. “But if it’s two or three weeks or several months, it may have real consequences.”

Even contractors that have money to continue operations face uncertainty and difficulty planning for the future, Blumenthal said.

Sign up for CT Mirror's free daily news summary.

Free to Read. Not Free to Produce.

The Connecticut Mirror is a nonprofit newsroom. 90% of our revenue comes from people like you. If you value our reporting please consider making a donation. You'll enjoy reading CT Mirror even more knowing you helped make it happen.

YES, I'LL DONATE TODAY

ABOUT THE AUTHOR

Ana Radelat

SEE WHAT READERS SAID

RELATED STORIES
Connecticut should work to reduce rates of inmate calling services 
by David Lamendola

Many telecommunications issues are really complicated and only interesting to a handful of policy-oriented folks. But once in a while an issue arises that has easily understandable implications for all of society. High rates for inmate calling services (ICS) is one of these issues. The way it usually works is that an incarcerated person make collect calls from detention facilities, and their family pays the bill. Unfortunately, some providers charge extremely high rates for these calls – a 15 minute phone call to a loved one costs an incarcerated person $5 in Connecticut.

The public health bill no one is talking about, but should be
by Brian Festa

On February 16,  the legislature's Public Health Committee conducted a public hearing on two bills, S.B. 568 and H.B. 6423, both of which would eliminate the religious exemption to mandatory vaccinations for Connecticut schoolchildren.  The hearing was capped at 24 hours, depriving nearly 1,500 members of the public who had registered for the hearing their opportunity to be heard.  The vast majority of those who did testify, and who submitted written testimony, opposed the bill.  The committee is expected to vote on the bill as early as  today. 

Students need more resources, fewer officers
by Tenille Bonilla

"School resource officer" is just a nice way to say cop. But what students really need is more resource and less officer.

Restaurants and other business can go back to full capacity on March 19 as Lamont rolls back COVID restrictions in CT
by Mark Pazniokas and Jenna Carlesso

Connecticut will eliminate COVID-19 capacity limits on restaurants, houses of worship, retailers and most businesses on March 19.

1,500 Hartford school staff to be vaccinated this week at pop-up clinic
by Adria Watson

Vaccinations are taking place Thursday and Friday. A second round will be scheduled in coming days.

Support Our Work

Show your love for great stories and outstanding journalism.

$
Select One
  • Monthly
  • Yearly
  • Once
Artpoint painter
CT ViewpointsCT Artpoints
Opinion The public health bill no one is talking about, but should be
by Brian Festa

On February 16,  the legislature's Public Health Committee conducted a public hearing on two bills, S.B. 568 and H.B. 6423, both of which would eliminate the religious exemption to mandatory vaccinations for Connecticut schoolchildren.  The hearing was capped at 24 hours, depriving nearly 1,500 members of the public who had registered for the hearing their opportunity to be heard.  The vast majority of those who did testify, and who submitted written testimony, opposed the bill.  The committee is expected to vote on the bill as early as  today. 

Opinion Students need more resources, fewer officers
by Tenille Bonilla

"School resource officer" is just a nice way to say cop. But what students really need is more resource and less officer.

Opinion The Board of Regents’ changes must not shortchange its students or faculty
by Carrie Andreoletti, PhD

As a university professor and a lifespan developmental psychologist, I tend to approach my work from a developmental perspective. This means I aim to foster a lifelong love of learning and to help others find a sense of meaning and purpose, as well as confidence in their ability to reach their goals. My approach to higher education is shaped by my desire to provide the best possible education for my students. This is why the recent Board of Regents’ proposed changes at the four state universities have me worried.

Opinion How to close schooling opportunity gaps created by the pandemic
by Carol Gale

We ask school district leaders to trust your public servants whose daily work life involves assessing student needs and planning or modifying instruction to meet those needs. Listen to their voices, as we have, and allocate precious resources on interventions that will offer increased opportunities for Hartford students to succeed.

Artwork Grand guidance
by Anne:Gogh

In a world of systemic oppression aimed towards those of darker skintones – representation matters. We are more than our equity elusive environments, more than numbers in a prison and much more than victims of societal dispositions. This piece depicts a melanated young man draped in a cape ascending high above multiple forms of oppression. […]

Artwork Shea
by Anthony Valentine

Shea is a story about race and social inequalities that plague America. It is a narrative that prompts the question, “Do you know what it’s like to wake up in new skin?”

Artwork The Declaration of Human Rights
by Andres Chaparro

Through my artwork I strive to create an example of ideas that reflect my desire to raise social consciousness, and cultural awareness. Jazz music is the catalyst to all my work, and plays a major influence in each piece of work.”

Artwork ‘A thing of beauty. Destroy it forever’
by Richard DiCarlo | Derby

During times like these it’s often fun to revisit something familiar and approach things with a different slant. I have been taking some Pop culture and Art masterpieces and applying the vintage 1960’s and 70’s classic figures (Fisher Price, little people) to the make an amusing pieces. Here is my homage to Fisher -Price, Yellow […]

Twitter Feed
A Twitter List by CTMirror

Engage

  • Reflections Tickets & Sponsorships
  • Events
  • Donate
  • Newsletter Sign-Up
  • Submit to Viewpoints
  • Submit to ArtPoints
  • Economic Indicator Dashboard
  • Speaking Engagements
  • Commenting Guidelines
  • Legal Notices
  • Contact Us

About

  • About CT Mirror
  • Announcements
  • Board
  • Staff
  • Sponsors and Funders
  • Donors
  • Friends of CT Mirror
  • History
  • Financial
  • Policies
  • Strategic Plan

Opportunity

  • Advertising and Sponsorship
  • Speaking Engagements
  • Use of Photography
  • Work for Us

Go Deeper

  • Steady Habits Podcast
  • Economic Indicator Dashboard
  • Five Things

The Connecticut News Project, Inc. 1049 Asylum Avenue, Hartford, CT 06105. Phone: 860-218-6380

© Copyright 2021, The Connecticut News Project. All Rights Reserved. Website by Web Publisher PRO