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Who works, who waits: What the latest US government shutdown means

The US government shutdown affects over 750,000 federal employees, halting some services, delaying salaries, and raising questions about the impact on essential programmes and daily life

US senate, White house, United states

| Image: Bloomberg

Rahul Goreja New Delhi

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The United States (US) government has shut down again, the 11th time in the past 40 years, leaving more than 750,000 federal employees expected to be furloughed, while many others continue working without salaries.
 

But what is a US govt shutdown?

A government shutdown occurs when Congress fails to pass the funding legislation required to keep the federal government running. The latest shutdown follows the Republican-controlled Senate’s failure to pass key funding bills on Tuesday midnight (local time).
 
The Senate requires a 60-vote majority to pass such bills. With Republicans holding only 53 seats, they needed Democratic support to secure approval. 
 
 
Democrats withheld their support for the bill, contending that its provisions could make healthcare less accessible for ordinary Americans. They used the leverage to reverse the Medicaid cuts in President Donald Trump's mega-bill passed this summer and extend tax credits that make health insurance premiums more affordable for millions of people.
 
However, the Republicans proposed a short-term measure to fund the government generally at current levels, reported Associated Press (AP).
 
In a joint statement, Democratic leaders accused Trump and Republicans of shutting down the federal government, saying that after months of policies that have made life harder and more expensive, they are refusing to safeguard Americans’ healthcare.
 
Similarly, the Republicans blamed the Democrats for the shutdown, causing a stalemate. 
 

Who works and who doesn't?

Ahead of the shutdown, federal agencies posted plans outlining which staff would work and which would be furloughed. Departments like Homeland Security, in-hospital medical care, among others, are keeping most employees on duty. Others are furloughing large numbers of workers, meaning they are not required to report to work.
 
According to CBS News, the departments with the largest furloughs include the Department of Defense (334,904 civilian staff furloughed, 406,573 retained), Health (32,460 furloughed, 47,257 retained), Commerce (34,711 furloughed, 8,273 retained), State (16,651 furloughed, 10,344 retained), and National Aeronautics and Space Administration (Nasa) (15,094 furloughed, 3,124 retained).
 
Essential employees will work but will not receive immediate salaries, while furloughed workers also face delays. Both are entitled to back pay once the government reopens, BBC reported.
 
A notable exception to this is Congress members, as their salary is protected under the Constitution. Though some, like Democratic Senator Andy Kim, have pledged to forgo their salaries during a shutdown, arguing that “government leaders shouldn't be playing with other people's chips".
 

Why this matters?

 
The shutdown is expected to trigger significant slowdowns and potential layoffs. Ahead of the shutdown, former President Trump suggested that “vast numbers of people” could be laid off, calling the impact “irreversible,” according to the BBC.
 
The shutdown could also disrupt services such as air travel. While air traffic controllers and Transportation Security Administration (TSA) workers are considered essential and must continue working, during the last shutdown, many began calling in sick, causing widespread airport delays, the report added.
 
Philip Swagel, director of the Congressional Budget Office, said that a brief government shutdown has limited economic impact, particularly because federal employees are legally entitled to back pay. But if a shutdown continues, then that can give rise to uncertainties about the role of government in our society, and what's the financial impact on all the programmes that the government funds, reported AP.

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First Published: Oct 01 2025 | 4:36 PM IST

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