Dive Brief:
- Some AEC firms that work for the federal government, such as URS Corp., are having to lay off staff because the people they work with have been idled by the government shutdown.
- Other companies would not say if they have furloughed workers assigned to federal projects, but one joint venture working at the Savannah River Site in South Carolina already had laid off some staff in anticipation of a reduced FY 2014 budget, and a local report said second joint venture may run into problems at month's end if the stalemate continues until then.
- The U.S. Army Corps of Engineers, the U.S. Environmental Protection Agency and the Nuclear Regulatory Commission are not processing applications or issuing permits and other paperwork.
Dive Insight:
The effects of a prolonged federal government shutdown likely will be more like an engine gradually choking on sludge and gunk than like a loud bang that makes it clear something bad happened. At some point, companies that anticipated federal work or that need federal approvals for projects will run out of jobs into which they can slot people who whose assigned work is being held up.