The Washington Post

The looming debt-ceiling fight has the feel of déjà vu for fiscal crisis-weary feds.

As the government bumps up against the debt ceiling, one place it cannot look for more headroom is the federal employee retirement savings program.

The government once again plans to resort to a financial maneuver involving federal employee retirement savings pending an increase in the national debt limit.

The measure would temporarily end the government's move to avoid default by disinvesting from a major portion of the federal-worker retirement fund.

The measure would allow the government to avoid default for a few months. It would also withhold congressional pay if lawmakers fail to craft a budget by mid-April.

How the triple threats of the debt limit, sequestration and a government shutdown could affect federal employees.

Bill to be considered next week would postpone a debt-ceiling showdown, but it doesn't protect federal agencies from looming across-the-board cuts.

  • Josh Hicks and Lisa Rein
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  • Jan 18, 2013
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The Treasury Department on Tuesday used a financial maneuver involving the Thrift Savings Plan to free up money to keep the government operating pending an increase in the federal debt ceiling.