The U.S. government entered a shutdown at 12:01 a.m. on Wednesday, October 1st, after both Republican and Democratic proposals to fund federal programs failed in the Senate. Lawmakers were unable to reach an agreement on measures that would have extended funding past Tuesday’s deadline, leaving millions of federal workers and essential services in limbo.
The shutdown followed the collapse of a Democratic-backed spending bill designed to maintain health care subsidies under the Affordable Care Act and reverse Medicaid cuts, as well as a GOP stopgap measure that would have funded the government for seven weeks. White House Office of Management and Budget Director Russell Vought instructed agencies to carry out plans for an orderly shutdown, while Senate Minority Leader Chuck Schumer urged Republicans to negotiate in good faith.
President Donald Trump met with congressional leaders on Monday in an effort to avert a shutdown but appeared unable to broker a compromise. Vice President JD Vance emphasized that the standoff would affect federal workers and citizens alike, citing potential delays in federal assistance programs, flight disruptions, and unpaid service members. “It’s craziness, and people are going to suffer because of this,” Vance told Fox News.
Federal operations that continue include Medicare, Medicaid, Social Security, and military defense, although staffing shortages could cause delays. Around 750,000 federal workers are expected to be furloughed, while hundreds of thousands deemed essential, including air traffic controllers, TSA officers, and some military personnel, will work without pay. Federal contractors, such as janitors and security personnel, are not guaranteed compensation. Agencies such as the Food and Drug Administration and the Centers for Disease Control will operate at reduced capacity, which will limit their oversight of food safety and public health programs.
The economic fallout from the shutdown is expected to have a ripple effect nationwide. The Department of Labor may postpone its upcoming jobs report, and nonprofit food banks in the D.C. area are reporting a rise in demand as families face interrupted income. Previous shutdowns have resulted in billions of dollars in lost economic activity, with essential services and federal payments continuing, but administrative functions delayed.
Congress is expected to vote again on Wednesday, likely on the same measures that failed Tuesday, but with no clear path to compromise, federal employees, service members, and Americans relying on government programs face continued uncertainty.