(MENAFN- Live Mint) The federal government shutdown enters its second week, with no clear resolution in sight. The House remains closed, and the Senate is deadlocked after a series of failed votes on a plan to reopen government operations. President Donald Trump has escalated tensions by threatening to mass fire federal workers and withhold back pay.

Health care dispute at the core

The deadlock centers on federal health care subsidies under the Affordable Care Act (ACA). Congress temporarily increased these subsidies during the COVID-19 pandemic, boosting enrollment to a record 24 million. Those enhanced payments are set to expire at the end of the year.

Sen. Bernie Sanders (I-Vt.) urged negotiations on the Senate floor:“You have to negotiate. That's the way it works.”

While Trump signaled willingness to discuss health care subsidies with Democrats, he insisted the government must reopen first. House Speaker Mike Johnson confirmed talks with the president, saying,“And yes, he wants to solve problems.”

Democrats express frustration

Democrats argue that Republicans failed to address the expiring subsidies earlier this year. House Democratic Leader Hakeem Jeffries (D-N.Y.) said,“Tens of millions of people are about to experience dramatically increased health insurance costs - how is that acceptable in the wealthiest country in the history of the world?”

Missed paychecks and failed votes

Federal employees face missed paychecks, and Trump is threatening to eliminate guaranteed back pay - a stark departure from past shutdowns. The White House argues that Congress would need to approve any back pay, citing the law.

Senate efforts to pass the House GOP's bill to reopen the government without addressing ACA subsidies continue to fail. Sen. Angus King (I-Maine) indicated he may switch his vote to side with Democrats.

Political calculations drive deadlock

Both parties are using the shutdown to bolster their political messaging ahead of the 2026 midterms. A Senate Democratic memo emphasized that holding the line on health care resonated with voters.

“It would be a mistake to take the pressure off Republicans,” the memo warned.

Meanwhile, a House GOP memo instructed candidates to focus on the shutdown's economic impact at the district level.

Signs of private talks

Some Republicans and Democrats are quietly discussing possible solutions. Sen. Susan Collins (R-Maine) has offered proposals, and Reps. Marjorie Taylor Greene (R-Ga.) and Sen. Josh Hawley (R-Mo.) have acknowledged the need to address health insurance rate hikes.

Trump signaled willingness to negotiate on health care subsidies but emphasized reopening the government as the first priority.

No clear resolution

With both sides dug in, trust low, and deadlines approaching, the path to ending the shutdown remains uncertain.

(With AP inputs)

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