Implications of the Federal Government Shutdown

October 21st, 2025
Patrick Li

With no end in sight, this year’s government shutdown is quickly approaching the second longest on record. Many have begun to speculate, predicting that it could become the longest—surpassing 35 days from the first Trump administration.

The Trump Administration, in short, is using the current shutdown to further policies that it favors, while dismantling those it deems unnecessary. Democrats are insisting that any funding bill must include provisions to reinstate assistance for millions of Americans that will lose health insurance coverage or face higher premiums if a budget is not passed.

As of March 31, the federal government employed nearly 2.3 million people. The Congressional Budget Office estimates that of those 2.3 million, 750,000 would be furloughed each day—meaning that they do not work until the shutdown ends. Others are considered “excepted” and do go to work for roles that are deemed critical for essential services: TSA agents, grid workers, air traffic controllers, etc..

While both groups of workers will receive pay, salaries will be retroactively paid. This means that they are faced with the prospect of missing a full chunk of pay later this month after a partial one earlier for work done in September.

On the contrary, America’s nearly 1.3 million active-duty service members were provided temporary respite. Looking to miss a paycheck on Wednesday, Trump directed the Pentagon to redirect money from other avenues of the budget; a second relief seems unlikely.

As of right now, the general public is ostensibly split on who is to blame for the impasse. Nearly 6 in 10 US adults say that specifically Trump and Republicans in Congress have “a great deal” or “quite a bit” of responsibility for the shutdown, yet nearly 54% say the same about Democrats in Congress.

Regardless, the Trump Administration has now put on hold nearly $18 billion to fund a new rail tunnel beneath the Hudson River between New York City and New Jersey and an extension of the city’s Second Avenue subway. Cancelling $7.6 billion in grants that supported hundreds of clean energy projects in 16 states, it seems as though—as a result of all of them empirically voting for Democrat Kamala Harris in last year’s presidential election—many witholdings are politically motivated. The administration cited reasons apart from the shutdown for the funding changes.

There unfortunately does not appear to be an easy way out of the shutdown. As of right now, Republicans—in response to mass left-wing backlash—insist any negotiations on health care occur after the government is fully open for business. Senate Majority Leader John Thune (R-S.D.), put it bluntly: “We’re not conducting negotiations in a hostage situation.”