Connect with us
LIVE

Business

1.3 million active-duty service members face missed paychecks as government shutdown stubbornly lags on

Published

on

1.3 million active-duty service members face missed paychecks as government shutdown stubbornly lags on

WASHINGTON (AP) — The pressure to end the second-longest federal government shutdown is gaining new urgency this week as millions of Americans face the prospect of losing food assistance, more federal workers miss their first full paycheck and recurring delays at airports snarl travel plans.

The building strain on lawmakers to end the impasse was magnified by the nation’s largest federal employee union, which called on Congress to immediately pass a funding bill and ensure workers receive full pay. Everett Kelley, president of the American Federation of Government Employees, said the two political parties have made their point.

“It’s time to pass a clean continuing resolution and end this shutdown today. No half measures, and no gamesmanship,” said Kelley, whose union carries considerable political weight with Democratic lawmakers.

Still, Democratic senators, including those representing states with many federal workers, did not appear ready to back down. Virginia Sen. Tim Kaine said he was insisting on commitments from the White House to prevent the administration from mass firing more workers. Democrats also want Congress to extend subsidies for health plans under the Affordable Care Act.

“We’ve got to get a deal with Donald Trump,” Kaine said.

But shutdowns grow more painful the longer they go. Soon, with closures lasting a fourth full week as of Tuesday, millions of Americans are likely to experience the difficulties firsthand.

“This week, more than any other week, the consequences become impossible to ignore,” said Rep. Lisa McClain, chair of the House Republican Conference.

Shutdown’s impact is set to grow dramatically

The nation’s 1.3 million active-duty service members are at risk of missing a paycheck on Friday. Earlier this month, the Trump administration ensured they were paid by shifting $8 billion from military research and development funds to make payroll. But it is unclear if the Trump administration is willing — or able — to shift money again.

Larger still, the Trump administration says funding will run out Friday for the food assistance program that is relied upon by 42 million Americans to supplement their grocery bills. The administration has rejected the use of more than $5 billion in contingency funds to keep benefits flowing into November. And it says states won’t be reimbursed if they temporarily cover the cost of benefits next month.

The Department of Agriculture says the contingency fund is intended to help respond to emergencies such as natural disasters. Democrats say the decision concerning the Supplemental Nutrition Assistance Program, known as SNAP, goes against the department’s previous guidance concerning its operations during a shutdown.

Advertisement

Senate Democratic leader Chuck Schumer of New York said the administration made an intentional choice not to the fund SNAP in November, calling it an “act of cruelty.”

Will lawmakers find a solution?

At the Capitol, congressional leaders mostly highlighted the challenges many Americans are facing as a result of the shutdown. But there was no movement toward negotiations as they attempted to lay blame on the other side of the political aisle.

“Now government workers and every other American affected by this shutdown have become nothing more than pawns in the Democrats’ political games,” said Senate Majority Leader John Thune, R-S.D.

The House passed a short-term continuing resolution on Sept. 19 to keep federal agencies funded. Speaker Mike Johnson, R-La., has kept the House out of legislative session ever since, saying the solution is for Democrats to simply accept that bill.

But the Senate has consistently fallen short of the 60 votes needed to advance that spending measure. Democrats insist that any bill to fund the government also address health care costs, namely the soaring health insurance premiums that millions of Americans will face next year under plans offered through the Affordable Care Act marketplace.

Window-shopping for health plans delayed

The window for enrolling in ACA health plans begins Saturday. In past years, the Centers for Medicare and Medicaid Services has allowed Americans to preview their health coverage options about a week before open enrollment.

As of Monday, Healthcare.gov appeared to show 2025 health insurance plans and estimated prices, instead of next year’s options. CMS was expected to temporarily bring back all its workers furloughed during the shutdown, in part to manage the ACA open enrollment period.

Twenty-eight senators, mostly Democrats, signed a letter urging Trump’s administration to let ACA enrollees start previewing next year’s health insurance options on its marketplace website.

Republicans insist they will not entertain negotiations on health care until the government reopens.

“I’m particularly worried about premiums going up for working families,” said Sen. David McCormick, R-Pa. “So we’re going to have that conversation, but we’re not going to have it until the government opens.”

Advertisement

Congressional leaders dig in deeper

Schumer said Republicans would prefer to shut the government down than work with Democrats in preventing massive spikes in their health insurance costs. He said the average American doesn’t want to pay an extra $20,000 a year to cover their health insurance.

“And we Democrats want to solve this crisis right away,” Schumer said. “So lowering health care is not a crazy demand.”

Vice President JD Vance planned to attend a Republican luncheon on Capitol Hill Tuesday. But with President Donald Trump traveling in Asia and congressional leaders dug into their positions, a quick deal appeared unlikely.

Meanwhile, some rank-and-file lawmakers urged colleagues to consider the impact of their standoff on the lives of federal employees and Capitol police officers who have not been paid for weeks.

“We have got to come together, which means we’ve got to talk to one another,” Sen. Lisa Murkowski, an Alaska Republican, said in a floor speech urging leaders to stop focusing on who was winning the political fight. “Right now, those that are losing are the American people.”

___

Associated Press writers Mary Clare Jalonick in Washington and Marc Levy in Harrisburg, Pennsylvania, contributed to this report.

Source link

Title

This industrial giant is emerging as a big AI play, says Wells Fargo This industrial giant is emerging as a big AI play, says Wells Fargo
Crypto4 months ago

This industrial giant is emerging as a big AI play, says Wells Fargo

  Wells Fargo sees Caterpillar continuing to roar higher, emerging as an artificial intelligence play. The bank initiated shares of...

Novo Nordisk's strategy tested as investors push back on board revamp Novo Nordisk's strategy tested as investors push back on board revamp
Crypto4 months ago

Novo Nordisk’s strategy tested as investors push back on board revamp

    Flags with the logos of Danish drugmaker Novo Nordisk, maker of the blockbuster diabetes and weight-loss treatments Ozempic...

Alibaba plans AI subscriptions, stablecoin-like payments with JPMorgan Alibaba plans AI subscriptions, stablecoin-like payments with JPMorgan
Crypto4 months ago

Alibaba plans AI subscriptions, stablecoin-like payments with JPMorgan

  Key Points Alibaba plans to use “tokenization” of payments for cross-border transactions in its business-to-business arm. Kuo Zhang, president...

Abraham Lincoln set off an education revolution in 1862 with the Land Grant Act. We need the same thing today for AI Abraham Lincoln set off an education revolution in 1862 with the Land Grant Act. We need the same thing today for AI
Crypto4 months ago

UK borrowing costs spike on report government to scrap plans to raise income tax

    Rachel Reeves, U.K. chancellor of the exchequer, delivers a speech in London, UK, on Tuesday, Nov. 4, 2025. Bloomberg...

An Indonesian Unicorn's Vision For Digital Payments An Indonesian Unicorn's Vision For Digital Payments
Crypto4 months ago

Trump’s threatened the BBC with a $1B lawsuit: Here’s what’s going on

    US President Donald Trump speaks to reporters as he arrives at Palm Beach International Airport on Oct. 31,...

We're downgrading a portfolio stock. Plus, what's causing the market's rally We're downgrading a portfolio stock. Plus, what's causing the market's rally
Crypto4 months ago

UBS’s picks for global returns next year

  Investors looking for global diversification opportunities should look to a specific subset of stocks in Europe, according to UBS...

Nvidia will soar nearly 75%, says Loop Capital Nvidia will soar nearly 75%, says Loop Capital
News4 months ago

AI companies admit they’re worried about a bubble

    Eakarat Buanoi | Istock | Getty Images LISBON, Portugal — Top tech executives told CNBC they’re concerned about...

CEO Southeast Asia's top bank DBS says AI adoption already paying off CEO Southeast Asia's top bank DBS says AI adoption already paying off
News4 months ago

CEO Southeast Asia’s top bank DBS says AI adoption already paying off

Tan Su Shan, deputy chief executive officer and managing director of institutional banking at DBS Group Holdings Ltd., speaks during...

China's economic slowdown deepens in October as housing slump worsens and investments shrink more than expected China's economic slowdown deepens in October as housing slump worsens and investments shrink more than expected
News4 months ago

China’s economic slowdown deepens in October as housing slump worsens and investments shrink more than expected

CHENGDU, CHINA – OCTOBER 18: People walk past the Louis Vuitton store at Taikoo Li, a high-end shopping area that...

U.S. to remove tariffs on some products from Ecuador, Argentina, Guatemala and El Salvador U.S. to remove tariffs on some products from Ecuador, Argentina, Guatemala and El Salvador
News4 months ago

U.S. to remove tariffs on some products from Ecuador, Argentina, Guatemala and El Salvador

The United States said Thursday it will remove tariffs on some foods and other imports from Argentina, Ecuador, Guatemala and...

Advertisement