AÂ Wells Fargo Securities report says the ongoing government shutdown that hit the one-month mark Monday is hurting the U.S. economy and contractors that support federal agencies.
The financial services company reported Friday the White House estimates a 0.1 percent decline in gross domestic product per week
Wells Fargo noted that government contractors face “a shrinking window to make up lost work or benefit from task orders†that agencies could have released in January.
“We see the financial impact increasing exponentially with time,†the company added.
The report said contractor employees are also at risk of potential layoffs as some private companies, particularly smaller businesses, “seek to limit cash drain.â€
