Wednesday marked the day the U.S. government abruptly shut down. Congress was unable to come to terms on a short term spending bill before the post-midnight deadline. This stalemate resulted from the pronounced divide between the GOP and Dems on key issues, most notably funding for healthcare. As a result, some 40 percent of federal employees—or nearly 750,000 people—will soon be furloughed. Doubtless mass layoffs will be announced in short order – within days at best.
Democrats are adamant that they get assurances that healthcare funding targeted towards lower-income Americans would be protected. They view this as an important climbdown before any spending deal is reached. House Minority Leader Hakeem Jeffries stated, “Nowhere have Democrats suggested that we’re interested in changing federal law,” underscoring their commitment to preserving essential benefits amidst the negotiations.
Once again, Republicans are forcing a temporary stop-gap measure. This continuing resolution would fund the government at existing levels through mid-November. Despite controlling both chambers of Congress, they lack the 60 votes required to pass a funding bill due to the Democrats’ opposition. Senate Minority Whip John Thune remarked, “It’s not about who wins or who loses or who gets blamed… [Democrats] have taken the American people hostage in a way that they think benefits them politically.”
That standoff now mostly revolves around extending healthcare provisions that Democrats insist are essential for American families. Republican lawmakers purport that these pandemic-era extensions are no longer necessary to address ongoing, post-COVID-19 pandemic related challenges. They think it’s time to let go and stop doing them. Their argument is that keeping these provisions would create new fiscal and budgetary obligations for taxpayers.
Senator Chris Murphy, a Democrat from Connecticut, expressed disbelief at the unfolding situation, stating, “I’ve never witnessed this in my life.” His remarks are a testament to the increasing awareness about the impacts of the shutdown on federal employees and services.
Russell Vought, the White House’s budget chief, told Republican lawmakers in a closed door meeting recently. He educated them on the impending layoffs and the negative impact the shutdown would have. In light of the situation, JD Vance articulated a stark warning: “Let’s be honest, if this thing drags on, we are going to have to lay people off.” This sentiment illustrates the high stakes and urgency to come to an agreement as economic impacts worsen each day.
As negotiations drag on, we expect one final vote on the short-term funding bill being pushed by House Republicans sometime Friday. On the ground, tensions are still at a boiling point, with both sides deeply entrenched and unwilling to engage. Mike Johnson, a Republican leader, stated plainly, “There’s nothing to negotiate. There’s nothing we can pull out of this bill to make it any leaner or cleaner than it is.”
Outrageous as the current impasse is, many legislators are understandably venting their furies. They’re horrified at what a government shutdown will do to everyday Americans. One unnamed administration official remarked, “If they are so worried about the effect this is having on the American people… what they should do is reopen the government, not complain about how we respond.”
With each day of the shutdown, federal workers prepare for the unknown. Permanent layoffs soon could follow. Legs reports that the Trump administration has promised extreme job losses in federal agencies.