US shutdown begins, Trump threatens mass layoffs: Donald Trump failed to agree Senate on a funding bill
Digital Desk
The US federal government has officially shut-down, marking the first such closure in over six years. US President Donald Trump failed to agree Senate on a funding bill before the fiscal year deadline, leaving millions of federal workers, military personnel, and visa holders grappling with the fallout.
A government shutdown occurs when the US Senate fails to pass appropriations bills to fund federal agencies for the new fiscal year, which begins October 1.
Without funding, non-essential government operations halt, and many federal employees are either sent home without pay or required to work without immediate compensation.
Essential services, like national security and air traffic control, continue, but even these face strain. He current shutdown began after both Republican and Democratic proposals failed in the Senate, with Democrats pushing for extended healthcare tax credits and Republicans refusing to budge.
This is the 21st funding gap since 1977, with the 2018-2019 shutdown lasting a record 35 days and affecting 800,000 workers. The 2013 shutdown lasted 16 days, firing 850,000 employees.
The stand-off between Republicans and Democrats, centred on healthcare subsidies and budget priorities, has left critical services at risk and threatens to ripple through the economy.
Visa holders and immigration services
Visa holders may also face significant disruptions, as immigration services are partially affected. While US Citizenship and Immigration Services (USCIS) is primarily funded by fees and should continue processing applications, a prolonged shutdown could strain operations.
The Department of Justice’s Executive Office for Immigration Review, handling immigration hearings, will continue under Trump’s national emergency declaration on illegal immigration.
However, during the 2018-2019 shutdown, 86,000 immigration hearings were cancelled, worsening backlogs.
Senate Minority Leader Chuck Schumer and House Minority Leader Hakeem Jeffries, demanded extensions to Affordable Care Act subsidies set to expire by year’s end.This act was passed by US' former Democrat President
Republicans, controlling both the House and Senate, rejected these demands, with President Donald Trump dismissing negotiations as 'unserious.'
A Republican-backed stopgap bill to fund the government for seven weeks passed the House but failed in the Senate, lacking the 60 votes needed.
Meanwhile, the White House’s Office of Management and Budget (OMB) instructed agencies to prepare for mass layoffs, escalating fears of permanent job cuts.
The human toll
The shutdown’s most immediate impact falls on federal employees. According to a letter from Congressional Budget Office Director Phillip Swagel, approximately 750,000 federal workers could be furloughed daily, costing the government $400 million per day in lost productivity.
This number may fluctuate as agencies adjust, with some recalling workers and others firing more as the shutdown drags on.
The shutdown’s ripple effects extend beyond workers and visa holders:
· Economic Losses
· Public Services
· Travel Disruptions
· Community Impacts