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US Commerce Secretary Wilbur Ross said on Thursday that federal workers affected by the government shutdown should seek low-interest loans to compensate for lost wages. Photo: Bloomberg

US Commerce Secretary Wilbur Ross to unpaid federal workers: let them get loans during government shutdown

  • Ross, a billionaire, is bewildered by unpaid workers seeking charity during the ongoing federal government shutdown
  • Many of his own employees have not been paid for weeks, and he thinks they should seek loans
US Politics

US Commerce Secretary Wilbur Ross on Thursday said he did not understand why federal workers were visiting food banks during the government shutdown, saying they should instead seek low-interest loans from banks and credit unions to supplement their lost wages.

“I know they are, and I don’t really quite understand why,” Ross said on CNBC when asked about federal workers going to food banks. Ross is a billionaire and long-time friend of US President Donald Trump.

“The idea that it’s paycheck or zero is not a really valid idea,” he said. “There’s no reason why some institution wouldn’t be willing to lend.”

Ross leads one of the agencies that is directly affected by the shutdown, and many of his employees have not been paid for weeks.

The White House is working to quell a growing anger among the 800,000 federal workers who are expected to miss their second paycheck this week, as many have begun calling in sick or refusing to show up for work.

Ross with US President Donald Trump in 2017. Ross is a billionaire and long-time friend of Trump’s. Photo: AFP

The Trump administration has scrambled to try to deflect the impact of the shutdown on the economy, but they have done this in part by requiring thousands of unpaid federal workers to continue doing their jobs.

Many of those workers are beginning to revolt, either calling in sick or saying they cannot afford petrol.

“It’s kind of disappointing that the air traffic controllers are calling in sick in pretty large numbers,” Ross said.

This sort of grin-and-bear-it line is similar to the position Trump has taken, saying he believes federal workers will make “adjustments” during the shutdown.

Many federal workers are reticent to quit, even though they are not being paid, because they will lose benefits they have accrued for years. So they are trying to see how long they can hold on financially as the shutdown shows no sign of ending.

Food banks all over the country have reported a spike in visits, and some have begun setting up services in discreet locations to help federal workers who are worried about the stigma of asking for free food.

A protest this month against the government shutdown sponsored by the American Federation of Government Employees at the Hart Senate Office Building at the US Capitol in Washington, DC. Photo: EPA-EFE

Trump has signed a bill into law that would repay the federal workers for their lost wages when the shutdown ends, but he is also preparing for the shutdown to stretch on for several more months. Trump has demanded that Congress appropriate US$5.7 billion to build a wall along the Mexico border, and Democrats have said they will not support it.

Ross’s jab at the air traffic controllers came a day after organisations that represent air traffic controllers, pilots, and flight attendants warned of major safety and security risks that the shutdown was causing.

“In our risk-averse industry, we cannot even calculate the level of risk currently at play, nor predict the point at which the entire system will break,” the groups said. “It is unprecedented.”

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