Fair Pay for Federal Contractors Act of 2025 provides back pay to federal contractors affected by lapses in appropriations.
The Fair Pay for Federal Contractors Act of 2025 aims to provide compensation to employees of federal contractors who were furloughed, laid off, or experienced reduced hours or pay due to lapses in appropriations. The bill also seeks to restore paid leave used by employees during such lapses. Adjustments to contract prices are allowed regardless of contract terms. The Office of Federal Procurement Policy must report on these adjustments within a year of the act's enactment. Appropriations are authorized for fiscal year 2026 to cover these adjustments.
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