Title 5 › PART III — EMPLOYEES › Subpart B — Employment and Retention › CHAPTER 33 — EXAMINATION, SELECTION, AND PLACEMENT › SUBCHAPTER VI — ASSIGNMENTS TO AND FROM STATES › § 3373
When a federal employee is sent to work for a State or local government under this law, they stay a federal employee. They are treated either as on a temporary detail to their regular job or as on leave without pay. Federal liability rules, like the Federal Tort Claims Act, still cover them. Who supervises the work can be set by agreement between the federal agency and the State or local government. The State or local government may or may not pay back the federal agency for travel, moving, or the worker’s pay; any money paid back goes into the agency’s accounts. If the worker is on leave without pay and the State or local pay is lower than their federal pay, the agency must pay the difference as supplemental pay. They keep earning annual and sick leave as if they stayed in their federal job. They can keep federal health and life insurance if they keep paying their share. Time on the assignment counts toward step increases, retention, leave accrual, and retirement if the worker and the agency put the required retirement payments into the federal retirement fund. For certain federal programs, the service and pay are treated as federal service and wages, and if the work could also qualify for State unemployment, the worker may choose State or federal coverage. If the worker dies or is hurt doing the job, they are treated like other federal employees for injury benefits. If they (or their survivors) can get both State and federal benefits for the same injury or death, they must choose which to accept within one year; that choice is usually final.
Full Legal Text
Government Organization and Employees, Source: USLM XML via OLRC
Legislative History
Reference
Citation
5 U.S.C. § 3373
Title 5, Government Organization and Employees
Last Updated
Sep 22, 2026
Release point: 119-110