800,000 employees could be furloughed if spending cuts go into effect, Pentagon says On the edge of the so-called "fiscal cliff," Pentagon officials said Monday they could have to order furloughs for up to 800,000 civilian employees if lawmakers failed to cancel pending spending reductions. The military's service chiefs, who have already been making cuts as part of a separate, long-term effort to wean down the defense budget, are now working to assess the impact of the congressionally mandated cuts if the White House and lawmakers fail to strike a last-minute deal. If no such agreement is reached before the end of 2012, the sweeping fiscal retrenchment would begin Wednesday. "Senior leaders in the department are working hard on how to communicate to the workforce what the consequences might be," a senior defense official said Monday, speaking on condition of anonymity to discuss the Pentagon's contingency planning. Defense officials were planning to inform Congress of the possible need for the furloughs, which would take place over the next several months. Even if the sweeping cuts, part of a process known as sequestration, go into effect, it is possible that lawmakers could find ways in coming weeks to allocate separate funding for the Pentagon. Neither party wants to see a dramatic cut in defense spending. During a recent trip to Kuwait, Afghanistan and Turkey, Secretary of Defense Leon E. Panetta told U.S. service members that he was deeply worried about the effect the cuts could have on national security and military readiness. The Pentagon would have to slash $500 billion over the next decade, on top of the cuts it has been working toward as the country eases off a war footing, Panetta said. "That would do significant harm for our ability to provide strong defense for the country," Panetta told U.S. troops in Kuwait, speaking emphatically behind a podium. It would be reckless for the Congress to allow that to happen. If sequestration occurs, Pentagon officials might be forced to make significant personnel cuts to the Army and Marine Corps, which are already in the midst of a gradual force reduction. The department would also be likely to have to put on hold or downscale costly weapon system upgrades and purchases. Panetta told Pentagon employees in a memo issued Dec. 20 that military personnel rosters would not be affected by sequestration during the 2013 fiscal year, noting that the White House has said it would use its authority to protect the force in the short term. Civilian employees would be vulnerable to furloughs, a type of unpaid leave, however. "Let me assure you that we will carefully examine other options to reduce costs within the agency before taking such action," he wrote.