Furlough Resource Center

What is a Furlough?

A furlough is temporary leave that occurs when federal or state funds are not available to pay an employee. If funding is restored, the furlough will end. In situations where funding is not restored, it may become necessary to implement a Reduction in Force

Frequently Asked Questions

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If funds are not available through an appropriations law or continuing resolution (government shutdown), or due to a federal funding freeze, a furlough occurs. A furlough is the placement of an employee in a temporary non-duty, non-pay status because of lack of work or funds, or other nondisciplinary reasons. A furlough may impact some state employees when their agency no longer has the funding necessary to support their positions. While an employee is on furlough, the employee is on leave without pay.

An end date cannot be determined until federal funding is restored.

Yes, but because the federal furlough may end at any time, the state’s Dual Employment and Secondary Employment policies continue to apply. Before engaging in outside employment, contact your supervisor to ensure compliance with these policies and obtain agency approval. In some cases, when a furlough is expected to be longer in duration, an agency may instruct employees that the Dual Employment and Secondary Employment policies are waived, and there is no need to contact the supervisor before obtaining alternate employment.

The State Health Plan premium is paid one month in advance; for example, the September payroll includes the cost of coverage for the month of October. If the furlough continues beyond the end of that month, employees should contact their agency HR Office for more information about paying premiums.

The employee’s NCFlex insurance programs’ coverage will terminate effective the end of the month of their last paycheck unless the employee continues their NCFlex coverage by paying the vendors directly. Refer to page 40 of the Enrollment Guide. NCFlex continues to work with vendors, and NCFlex will reach out to agencies if there is an update to this answer. For more information, please refer to the NCFlex guide on continuing your benefits after separation.