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Government Shutdown and White House Cuts Funds for Millions

  • Mahlani Tanap
  • Oct 31, 2025
  • 3 min read

On October 1, 2025, the U.S. government shut down after Congress failed to agree on a new budget. As of October 30, the shutdown has entered its 30th day, making it one of the longest in history.This 30 day shutdown has caused many federal offices to close or operate with very limited staff. What makes this shutdown rather unusual is the way the White House has responded to it. Instead of waiting for an agreement on the budget, the administration has started to cut funding and permanently lay off thousands of federal workers. 

The White House has either frozen or canceled billions of dollars in federal spending. Around $18 billion in funding reserved for infrastructure projects in New York has been put on hold. Another $8 billion intended for clean energy and climate change programs has been canceled. Several health programs that support mental health and senior care have also lost their funding. Earlier this year, Congress passed a law that cut nearly $8 billion from international aid and public broadcasting funds. Some officials say these cuts are aimed at programs that they believe are unnecessary or too focused on issues such as diversity and environmental policies. 

At the same time, the administration has begun to permanently lay off federal employees through a process called "reduction in force”, or RIF. As of right now, more than 4,000 federal workers have lost their jobs in departments such as Education, Health, and the Environment. This differs from the temporary furlough that usually happens during shutdowns, as some affected workers describe the layoffs as more critical than a typical shutdown measure and believe that important government programs are getting terminated. Reports now suggest that more layoffs could occur in early November if no budget is reached. Some agencies. like the Environmental Protection Agency, have been warned that up to 89% of their employees could soon be furloughed.

Questions have been raised about the legality of the White House’s actions. According to the law, Congress has the power to decide how the government's funds are spent, and the president is expected to follow those decisions. Several lawmakers, employee unions, and legal groups have filed lawsuits against the administration. Some members of Congress, including a few from the Republican Party, have expressed concerns about the impact of these cuts. Multiple federal lawsuits have been filed challenging the administration's authority to make these cuts without congressional approval.

Additionally, programs that help Americans are being affected by the shutdown. For instance, the WIC program, which provides food assistance to low-income women and children, could soon run out of funding. National museums, parks, and the National Zoo have closed due to staff shortages. Millions of people that have SNAP and EBT benefits could soon be in trouble if,  by November 1, funding is not yet restored. President Trump has stated that they are planning to find a way to keep funds going, by stating, “We’re going to get it done”. Other programs related to housing, education, and environmental protection are also either slowing down or stopping completely.

Currently, negotiations between Congress and the White House have made little progress, as President Trump stated that he wants significant spending cuts before agreeing to reopen the government. Many lawmakers disagreed with this approach and claimed that the shutdown is being used to remove programs instead of reaching a budget deal. Senate Majority Leader John Thune has recently said that the negotiations have slightly improved, but the path ahead still remains uncertain. The Congressional Budget Office estimates that the ongoing shutdown could cost up to $14 billion to the U.S. economy if it continues through November.

This shutdown is quickly becoming one of the most serious in years; it could very well disrupt government operations as well as how the current government functions. As Congress and the White House continue to disagree, it is unclear what will happen next. The outcome of this shutdown could affect many federal groups and how the government works in the future.

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