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American Focus > Blog > World News > Everything you need to know if the government shuts down on Oct. 1
World News

Everything you need to know if the government shuts down on Oct. 1

Last updated: September 29, 2025 4:51 pm
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Everything you need to know if the government shuts down on Oct. 1
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WASHINGTON — As the nation approaches a potential government shutdown later this week, tensions between Democrats and Republicans remain high.

Democratic leaders have expressed their opposition to a temporary funding bill that would maintain government operations at current levels until November 21. Their concerns stem from the bill’s lack of provisions to extend Affordable Care Act subsidies, set to expire at the close of 2025.

Senate Majority Leader John Thune (R-SD) and House Speaker Mike Johnson (R-La.) insist that the discussion on subsidies should be deferred, urging that the House proceed with the temporary funding measure before adjourning for the remainder of September.

JIM LO SCALZO/EPA/Shutterstock

“The issue regarding Obamacare subsidies can be deliberated later, ideally by the end of the year, not at this critical time when we need to ensure the government remains operational,” Johnson stated during his appearance on CNN’s “State of the Union” on Sunday.

However, the bill failed to achieve the necessary 60 votes in the Senate during the filibuster on September 19, leading Johnson to send House members back to their constituencies for the Rosh Hashanah holiday.

Consequently, Senate Minority Leader Chuck Schumer (D-NY) faces a significant choice: either accept the House GOP’s straightforward continuing resolution to fund the government or align with House Minority Leader Hakeem Jeffries (D-NY) in favoring a government shutdown.

If an agreement is not reached by the deadline, government operations will halt after 11:59 p.m. this Tuesday. Here’s what that could entail:

Senate Majority Leader John Thune (R-SD) maintains that the temporary funding proposal is the most viable bipartisan approach to sustain government operations until November 21. AP
Senate Majority Leader Chuck Schumer (D-NY) is under pressure from the more progressive elements of his party after his vote to prevent a government shutdown in March, raising the stakes for him this time. AP

Who will receive compensation? What will operate during a shutdown?

During a shutdown, Congress members, political appointees from the Trump administration, and all essential federal and congressional workers—including postal workers, air traffic controllers, and others—will continue to receive their paychecks.

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Social Security, Medicare, Medicaid, and the Supplemental Nutrition Assistance Program (SNAP) will remain fully operational, ensuring federal benefits are disbursed without interruption.

Conversely, military personnel, non-essential federal workers, and White House staff will receive their pay retroactively once the shutdown concludes.

During a federal shutdown, military personnel, non-essential federal workers, and White House staff would have to wait until after the shutdown to receive payment. EPA

Typically, partial government shutdowns lead to furloughs for employees in non-essential positions, with a return to duty once the shutdown is resolved.

What about the risk of permanent job cuts?

Russ Vought, the Director of the Office of Management and Budget (OMB), has indicated that a government shutdown could result in the permanent layoff of thousands of non-essential federal workers.

In a memo circulated to all agencies last week, Vought instructed officials to prepare Reduction in Force (RIF) plans for all non-essential programs during the shutdown period.

OMB Director Russ Vought has warned that a significant number of non-essential employees could face permanent layoffs if a shutdown occurs. AFP via Getty Images

“It’s crucial for the Administration to be ready for a shutdown should the Democrats push for it,” Vought noted in his memo.

Furthermore, Vought advised that once the fiscal year 2026 budget is approved, agencies should adjust their RIF strategies to retain only the minimum staff necessary for compliance with statutory responsibilities.

The proposed workforce reductions would take effect after 60 days, assuming the shutdown persists that long.

Vought’s directive has created a challenging situation for Democratic leaders like Schumer and Jeffries, especially considering their previous remarks regarding the adverse consequences of shutdowns on government workers. AP

Vought’s strategy has placed Democrats, including Schumer and Jeffries, in a precarious position given their history of comments on the impact of shutdowns on government employees.

“More than a million active-duty service members may not receive their pay, which would undermine troop readiness and compromise national security at the southern border—an issue that our colleagues who claim to prioritize border security are conveniently ignoring,” Senate Majority Leader Chuck Schumer asserted.

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“Small businesses might lose crucial funding, homebuyers could struggle to obtain loans, and our supply chains would face disruptions, thereby raising costs for American families.”

The four congressional leaders from both parties are scheduled for a meeting with President Trump Monday afternoon to explore a potential solution. AP

How likely is a shutdown to occur?

Schumer faced backlash from progressive party members for his support of measures to prevent a government shutdown last March, intensifying the pressure on him not to surrender this time around.

At that time, the Senate Democratic leader stated that “allowing Trump to gain even more authority is a much worse alternative.”

However, he has not dismissed the possibility of conceding once again.

The funding measure failed to pass the Senate’s 60-vote filibuster on Sept. 19, leading to the House’s recess until October. Getty Images

“We remain hopeful that it will not come to this,” Schumer added on CNN’s “State of the Union.” “The American public is largely in our favor by nearly a two-to-one margin.”

“Ultimately, we must secure an improved bill compared to what was proposed last time.”

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