TLDR
- Over 250,000 federal workers missed paychecks with 2 million more expected to go unpaid next week
- Air traffic control shortages now cause more than 50% of flight delays, costing the travel sector $1 billion weekly
- IRS furloughed 34,000 staff members while the Taxpayer Advocate Service shut down completely
- Economic data releases suspended including jobs reports and GDP estimates, leaving Fed and analysts without key information
- National parks, Smithsonian museums, and flood insurance program all facing closures or service disruptions
The United States government shutdown entered its tenth day on Friday with no agreement between President Trump and Congress. Federal workers and citizens across the country are experiencing growing problems.
More than 250,000 federal employees did not receive their paychecks this week. An additional 2 million workers will miss payments by next week. Military personnel could go without pay on October 15 for the first time in decades.
Air travel has become the most visible problem. Flight delays caused by air traffic controller shortages have affected airports in Dallas, Chicago, and Washington DC. Transportation Secretary Sean Duffy reported staffing issues now cause over 50% of delayed flights, up from the typical 5%.
The US Travel Association calculates these delays are costing $1 billion per week in lost spending. Air traffic controllers must slow aircraft movement to maintain safety with reduced personnel.
Tax Services and Benefits Programs Face Cuts
The Internal Revenue Service furloughed approximately 34,000 workers after funds expired. Around 40,000 employees continue working to prepare for the 2026 tax season. The Taxpayer Advocate Service has completely ceased operations.
The Women, Infants and Children nutrition program depends on a $150 million emergency fund that is nearly depleted. The White House stated tariff revenues would support the program but provided no timeline or method. Food stamp benefits for 41 million Americans through SNAP are only funded until October 31.
National parks stay open with skeleton crews and minimal restroom facilities. Smithsonian museums and the National Zoo will close October 11. The National Flood Insurance Program cannot write new policies or renew existing coverage during hurricane season.
Economic Reports Delayed as Data Blackout Continues
The shutdown prevents release of critical economic indicators. The Bureau of Labor Statistics postponed last week’s employment report but recalled workers to complete the September Consumer Price Index by month’s end.
Reports on retail sales, housing starts, and business inventories from the Census Bureau face delays. The Bureau of Economic Analysis halted operations before the October 30 third-quarter GDP report. The Federal Reserve and private economists cannot accurately assess economic conditions without this information.
Each week of shutdown reduces GDP by 0.1 to 0.2 percentage points according to economists. Federal workers may receive back pay after the shutdown ends, potentially offsetting some economic damage.
The Environmental Protection Agency started issuing furlough notices Wednesday evening. Plans call for sending home 90% of EPA staff, stopping most enforcement and permit processing.
The Department of Homeland Security brought back 1,800 employees for week two. These workers primarily fill management roles and positions in the Coast Guard and Customs and Border Protection.
Justice Department attorneys return to work when judges refuse case delays. IRS employees may be recalled as tax filing season approaches.
Stock markets showed mixed results during the shutdown. The S&P 500 and Nasdaq tracked small weekly gains while the Dow Jones headed for losses. Nvidia shares reached record highs, limiting broader market declines.
The Bureau of Labor Statistics recalled furloughed employees to prepare the Consumer Price Index, originally scheduled for October 15 release.
