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Here are some effects of a government shutdown if Congress, Trump don't reach a deal - WTOP News

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  Published in Politics and Government on Wednesday, October 29th 2025 at 5:23 GMT by WTOP News
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Immediate Employee and Service Disruptions

At the most visible level, the shutdown would see the sudden furlough of roughly 800,000 federal workers, including those at the Department of Transportation, the Bureau of Labor Statistics, and the Centers for Disease Control. While many “essential” staff would remain on duty—such as air traffic controllers, FBI agents, and border patrol officers—numerous non‑essential personnel would be required to stay home. The article notes that this would affect 10% of the total federal workforce, creating a sudden drain on resources in already overburdened departments.

The shutdown would also halt the issuance of most federal benefits. Payments of Social Security and Medicare, for instance, would pause, though the federal government has historically used the “payroll advance” system to keep benefits flowing. The piece cites a Congressional Research Service (CRS) report that explains how the Treasury’s cash‑on‑hand reserves might suffice for a few weeks, but that the cumulative delay would likely create administrative headaches and public confusion. Small businesses that rely on government loans or subsidies could see their funding cut, potentially putting contracts at risk.

Impact on National Security and Infrastructure

Defense agencies would face a cascading series of operational restrictions. While active military units and aircraft on patrol could remain functional, procurement of new equipment and maintenance of existing hardware would be slowed or halted. The article quotes a retired Navy officer who warned that a prolonged shutdown could impede missile defense upgrades and delay critical training exercises. Moreover, the lack of funding would mean that defense contractors could not be paid on time, risking supply chain disruptions for vital components.

Transportation and infrastructure projects would also feel the strain. The Department of Transportation, responsible for a vast portfolio of road, rail, and airport maintenance, would have to stop paying federal employees and contractors, forcing many projects to pause. The piece highlights that the National Highway System’s construction budget could fall short of the projected 2026 targets, delaying improvements to highways that serve millions of commuters and freight carriers.

Health Care and Environmental Consequences

The shutdown’s effect on the U.S. Food and Drug Administration (FDA) could delay the review of new drug approvals, a situation that the article indicates might push out the availability of life‑saving treatments for patients. Additionally, the Environmental Protection Agency (EPA) would be unable to enforce environmental regulations, potentially compromising ongoing cleanup efforts at Superfund sites and delaying inspections at hazardous waste facilities.

Health care facilities that receive federal funding—such as rural health clinics and community hospitals—would risk losing critical reimbursements. The article references a study by the Urban Institute, which found that a two‑month shutdown could result in a 7% decrease in services at federally funded clinics, disproportionately affecting low‑income populations.

Judiciary, Research, and Social Services

The federal judiciary, including the Supreme Court, would face delays in case processing. The article points out that the backlog of cases could grow as judges and clerks are furloughed, affecting litigants who depend on timely rulings. Additionally, agencies like the National Institutes of Health (NIH) would halt grant reviews and research funding, potentially stalling important scientific projects.

Social services such as the Department of Housing and Urban Development would also be impacted. Housing subsidies and low‑income housing projects that rely on federal funds would experience funding gaps, leading to delays in new housing developments and maintenance of existing structures.

Economic Ripple Effects

The article also dives into macro‑economic ramifications. A shutdown could cause a measurable dip in GDP growth, as federal spending accounts for roughly 15% of the U.S. economy. While economists agree that the contraction would be short‑term, the resulting uncertainty could dampen business investment. The article cites a Federal Reserve bulletin that estimates a two‑month shutdown could result in a 0.3% contraction in GDP.

Moreover, the shutdown could trigger a ripple effect in the private sector. Companies that contract with federal agencies—from software vendors to construction firms—would face payment delays, potentially causing layoffs or budget reallocations. The cumulative effect could strain the financial health of small and mid‑size firms that rely heavily on government contracts.

Political Fallout and Public Perception

Finally, the piece discusses the political cost of a shutdown. Public opinion polls consistently show that voters disapprove of government shutdowns, with up to 70% expressing a negative view. The article quotes a former congressional staffer who warned that a shutdown would erode public trust in both parties, as voters blame the political leadership for allowing the crisis to unfold. In the context of an upcoming election cycle, a shutdown could become a political liability, forcing leaders to scramble for a resolution before the next election.

In sum, the article paints a comprehensive picture of the far‑reaching effects of a government shutdown: from the immediate furlough of hundreds of thousands of workers to the long‑term impacts on national security, infrastructure, health care, the judiciary, the economy, and public trust. It underscores the importance of bipartisan cooperation to prevent a shutdown that would disrupt the fabric of government and the lives of ordinary Americans.