Summary: The federal government entered a partial shutdown at 12:01 a.m. ET after Congress failed to pass stopgap funding, forcing agencies to activate contingency plans. Essential services continue, but hundreds of thousands of employees are furloughed, others work without pay, and non‑urgent programs pause.
How we got here
Senate action to extend funding failed late Tuesday, starting the fifteenth shutdown since 1981. Negotiators remain apart on policy riders and spending levels; leadership signaled more talks but offered no immediate path to a deal. Sources: Reuters live updates and initial shutdown report.
What’s open vs. closed (first 24–72 hours)
- Air travel: Open, under strain. The FAA said about 11,000 employees are furloughed, while ~13,000 air‑traffic controllers and ~50,000 TSA officers must work without pay. Staffing stress can slow security lines and flight ops. Source: FAA/Reuters.
- National security & public safety: Military operations, border security, and law‑enforcement activities continue. Civilian support staff may be furloughed, creating service gaps. Sources: OPM guidance; agency contingency plans.
- Social Security/Medicare: Payments continue. Field offices offer limited services; new applications and some appeals may be delayed. Source: Reuters guide; OPM.
- Passports/visas: Limited. State continues operations as fee‑funded resources allow; local conditions vary. Source: Reuters guide.
- National parks & museums: Varies. Some sites close or reduce services; others may operate with carryover funds until exhausted. Source: Reuters guide.
- Food & health oversight: Routine FDA/USDA inspections and some NIH/NSF admin functions pause; critical recalls and patient care continue. Grant processing generally slows. Source: Reuters guide; OPM.
- Economic data: Many BLS/BEA releases pause until funding resumes, complicating market analysis. Source: Reuters guide.
- Small business & housing: New SBA loans and some FHA/USDA services typically pause; existing disbursements may continue. Source: Reuters guide.
Who’s affected—and how
- Federal workforce: Hundreds of thousands furloughed; “excepted” employees (controllers, TSA, certain law enforcement) work without pay until appropriations resume. Back pay has historically followed prior shutdowns, but cash‑flow stress hits now. Sources: OPM; Reuters.
- Travelers & airlines: Expect longer security lines and potential delays if staffing tightens. Aviation groups warn of a material hit to efficiency. Source: Reuters FAA/TSA coverage.
- Seniors & veterans: Benefit checks continue, but service backlogs can grow. Some counseling, claims, or call‑center functions may slow. Source: Reuters guide.
- Researchers & students: New grants and agency reviews (NIH/NSF/DOE) are delayed; labs reliant on federal approvals can face slips. Source: OPM/agency plans.
- Small businesses & contractors: SBA guarantee processing pauses; unpaid federal invoices pressure cash flow. Source: Reuters guide.
- Markets: Near‑term volatility may rise as federal statistics pause and investors fly blind on some indicators. Source: Reuters coverage.
What happens next
- Talks & timeline: Watch leadership statements on a short stopgap (CR) and any changes to policy riders. If negotiations slip past the week, operational risks rise.
- Workforce stress: Extended no‑pay periods can trigger higher sick‑outs and attrition in high‑stress roles (ATC/TSA), compounding delays.
- Data & oversight: A pause in federal statistics clouds fiscal/monetary decisions; routine oversight slows.
Sources
- Reuters — US government begins shutdown after funding vote fails (Oct 1, 2025)
- Reuters — Live updates: shutdown starts after Senate vote fails (Oct 1, 2025)
- Reuters — What stays open, what closes during a shutdown (Sep 30, 2025)
- Reuters — FAA would furlough 11,000; controllers/TSA work without pay (Sep 30, 2025)
- ABC News — The U.S. government has shut down: what to know (Oct 1, 2025)
- OPM — Guidance for Shutdown Furloughs (PDF, Sept 2025)