Senate Nears Vote to End Historic Federal Shutdown, Potential Reversal of Layoffs
WASHINGTON – The US Senate is moving toward a vote to end the ongoing federal government shutdown, with a new resolution to fund operations through late January expected to also partially reverse layoffs of federal workers enacted during the closure. the shift comes as the economic consequences of the shutdown mount, prompting increased pressure on lawmakers to reach a deal.
Senator Thom Tillis of North carolina indicated the mounting effects of the shutdown have pushed the chamber toward an agreement. He stated the final piece of the resolution would not only fund government operations into late January but also reverse at least some of the Trump management’s federal worker layoffs.
The potential end to the shutdown arrives with warnings of economic repercussions. white House economic adviser Kevin Hassett cautioned on CBS’s Face the Nation that continued closure could lead to negative economic growth in the fourth quarter, notably if air travel does not normalize by Thanksgiving, which falls on November 27th this year.
The shutdown has also impacted social safety nets, with the US Department of agriculture reportedly instructing states to “undo” Supplemental Nutrition Assistance Program (Snap) benefits for families in need.
Simultaneously occurring, a political sticking point remains regarding healthcare.Republicans rejected a proposal from Senate minority leader Chuck Schumer to reopen the government in exchange for a one-year extension of tax credits lowering costs for plans under the Affordable Care Act (frequently enough referred to as obamacare). These subsidies are set to expire at the end of the year, and health experts estimate Americans shopping for 2026 Obamacare plans could see monthly premiums more than double on average.
Democratic Senator Adam Schiff of California expressed concern that President Trump’s healthcare proposals aim to weaken the ACA and allow insurance companies to deny coverage based on pre-existing conditions, stating Trump would be “giving [insurance companies] more power to cancel people’s policies and not cover them if they have a pre-existing condition.”