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Indonesia News Portal for Traders | Financial & Business Updates

22 October 2025 12:00  |

US Government Shutdown Enters Fourth Week, Thousands of Employees Forced to Leave

The United States government has officially entered its third week of shutdown, after Congress failed to approve a fiscal year 2026 budget. Approximately 900,000 federal employees are now furloughed, while thousands more remain working without pay at essential agencies.

The shutdown has shut down a number of non-essential public services, including Smithsonian museums, research institutions, and social assistance programs that rely on federal funding. Public contracts and projects have also been delayed, placing additional pressure on private contractors and local governments.

So far, the US Senate has tried 11 times to pass a stopgap funding bill, but each time it failed to reach the required 60-vote threshold. President Trump has asserted that he will not meet with Democratic leaders until the government reopens, prolonging the political deadlock.

As an emergency measure, the Department of Defense is using internal funds to continue paying military personnel, while federal courts have begun furloughing employees as non-appropriated funds run out. In fact, the National Nuclear Security Administration (NNSA) has furloughed approximately 80% of its workforce due to funding shortages.

The shutdown has resulted in economic losses of approximately US$15 billion per week. Social safety net programs like SNAP (food assistance) are at risk of running out of funds for November, affecting tens of millions of Americans.

Furloughed federal employees are facing financial pressures, ranging from lost wages to the risk of disruption to health benefits and mortgage payments. Global markets are responding, with increased volatility in the US dollar, stocks, and commodities, including gold and oil.

There are no immediate signs of an unwinding of the shutdown in the coming days. Political experts warn that the longer this impasse persists, the greater the pressure on the US economy and social stability. Global investors are closely monitoring these developments to anticipate the impact on financial markets and international trade. (mrv)

Source: Newsmaker.id

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