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Sequestration Budget Cuts Hitting Defense1 Contractors2
Davis Interiors is a small company in Norfolk, Virginia that makes specialized3 furniture and fixtures4 for U.S. navy ships. Administrator5 Whitney Metzger says the firm is already feeling the impact of sequestration.
“We have had to cut back on employee hours. Almost everyone in this company has had to go down to a four-day work week. Some employees have had to go down to a three-day work week. We are anticipating lay-offs, probably soon,” said Whitney.
Davis Interiors is one of the many private contractors in Eastern Virginia that service the nation’s largest naval6 base and other military installations. All together, they employ more than 40,000 people.
The Defense Department’s plan to furlough almost 90,000 employees has not yet impacted the regional economy. But the cancellation7 of maintenance contracts for 11 ships based in Norfolk is already causing pain to contractors like Davis Interiors.
David Williams has worked for Davis Interiors for 25 years. He says this is the second time in two years that government budget cuts have caused sudden work slowdowns.
“I am very concerned about it because, I mean, I am still trying to recover from the last time this happened, and you get behind on your bills, and you struggle,” he said.
Whitney Metzger says with foreign wars winding8 down, defense contractors in the area know that military spending will be reduced, but the sudden sequester9 cuts are too severe and could put them out of business.
“We don’t know what is going to happen. We have contracts that we have been awarded that we will be able to see through, but after those, because of sequestration, no new contracts are being issued to anyone," said Metzger.
Defense contractors in this region are the first to feel the impact of the sequester, and, if they remain in place, economists10 predict the entire state of Virginia will soon spiral into recession.
1 defense | |
n.防御,保卫;[pl.]防务工事;辩护,答辩 | |
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2 contractors | |
n.(建筑、监造中的)承包人( contractor的名词复数 ) | |
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3 specialized | |
adj.专门的,专业化的 | |
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4 fixtures | |
(房屋等的)固定装置( fixture的名词复数 ); 如(浴盆、抽水马桶); 固定在某位置的人或物; (定期定点举行的)体育活动 | |
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5 administrator | |
n.经营管理者,行政官员 | |
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6 naval | |
adj.海军的,军舰的,船的 | |
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7 cancellation | |
n.删除,取消 | |
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8 winding | |
n.绕,缠,绕组,线圈 | |
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9 sequester | |
vt.使退隐,使隔绝 | |
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10 economists | |
n.经济学家,经济专家( economist的名词复数 ) | |
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