Tuesday, 02 January 2024 12:17 GMT

US Government Enters Shutdown For First Time In Nearly 7 Years


(MENAFN- Gulf Times) The US government shut down early Wednesday for the first time in nearly seven years, after Congress (the primary constitutional institution in the US, consisting of the Senate and the House of Representatives) failed to pass a funding law to ensure the continued operation of institutions.

Following the vote's failure on Tuesday, Russell Vought, director of the White House Office of Management and Budget (OMB), informed federal agencies that they "should now execute their plans for an orderly shutdown."

The US has previously experienced four government shutdowns that affected services for more than one business day, the most recent of which was during US President Donald Trump's first term in 2019.

A federal government shutdown results in the temporary layoffs of hundreds of thousands of federal employees. Some workers, classified as essential, are required to continue working but will not receive their pay until the shutdown is resolved. In contrast, certain positions that are not funded by annual appropriations from Congress will continue to receive pay during this time.

The current crisis involves $1.7 trillion in funding, amounting to one-quarter of the $7 trillion government's budget, with the largest remainder to health and retirement programmes and interest payments on the growing $37.5 trillion debt.

US government shut down Congress

MENAFN01102025000067011011ID1110134214

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.

Search