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US govt shuts down over funding

7,50,000 staffers to be furloughed, essential employees required to work without pay

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A sign board reads that the US Capitol Visitor Centre is closed, on the first day of the government shutdown, in Washington. Photo: Reuters
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The United States government plunged into a shutdown Tuesday midnight after a bitter standoff in Congress that prevented the passage of a funding Bill, forcing hundreds of thousands of federal employees off work and halting large swathes of government operations.

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The impasse arose after Republicans and Democrats failed to reach an agreement on a stopgap spending measure.

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The deadlock left federal agencies without legal authority to operate, triggering the country’s first shutdown in over six years. According to estimates, nearly 750,000 government employees will be furloughed, while many others deemed essential — including military personnel, border patrol, and air traffic controllers — will be required to work without pay until a deal is struck.

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The Republicans control both chambers of Congress, but in the Senate — the upper chamber — they are short of the 60 votes they need to pass a spending Bill. The shutdown is expected to have immediate impact across sectors. National parks and museums are likely to close, federal permits and visas will face delays, and aviation authorities will furlough thousands of workers. Social Security, Medicare, and Medicaid will largely continue because they are funded via mandatory spending. The US Postal Service, which operates outside annual appropriations, will also remain functional. Experts say that the US economy could also take a hit if the stalemate drags on.

Layoff opportunity for Trump admn?

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Reports suggest that Trump and his administration seem intent on using the crisis to advance major restructuring of government agencies. He has warned of “irreversible” cuts and mass layoffs if the deadlock persists, signalling his willingness to use the shutdown as leverage to reshape federal programmes. Negotiations are expected to continue this week, but there was little sign of an immediate breakthrough. Until then, the world’s largest economy remains partially paralysed, with millions of Americans bracing for disruptions in everyday services.

Vote to end crisis fails

  • A vote to end the government shutdown hours after it began failed on Wednesday, as Democrats in the Senate held firm to the party’s demands to fund health care subsidies that US President Donald Trump and Republicans refuse to provide.
  • The tally showed cracks in the Democrats’ resolve but offered no breakthrough. In Washington, blame was being cast on all sides on the first day of the shutdown. AP
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