What It Means
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A "government shutdown" in the United States is a situation in which the federal government stops providing services deemed "non-essential," putting large percentages of government employees on unpaid leave from their jobs.
Click through to learn more about government shutdowns, what causes the situations to happen, and the impact they have on the U.S. economy.
The Cause
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Government shutdowns in the United States generally stem from disagreements over the federal budget between the House of Representatives and the Senate, particularly when the two chambers of Congress are controlled by rival political parties. Sometimes they are caused by the budget being vetoed by the president.
A federal law known as the Anti-Deficiency Act makes it a possible felony to spend taxpayer money without an approved federal budget. As a result, the lack of an agreed-upon budget causes many federal agencies to cease operations and employees to lose pay for the duration of the shutdown.
Affected Services
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During a government shutdown, the majority of "non-essential" government employees are furloughed, or given unpaid leave from their jobs. Among the agencies and services that close their doors during a shutdown are:
- National Park Service
- National Monuments
- Bureau of Labor Statistics
- Smithsonian Institution
- Forest Service
- Agricultural Research Service
- National Science Foundation
- National Archives
Other departments, such as the Centers for Disease Control, Environmental Protection Agency, NASA, IRS, Federal Housing Administration, Department of Education, and Department of Commerce, do not entirely stop operations, but furloughs of the vast majority of their employees can cause delays.
Services That Are Not Affected
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Not all government agencies close their doors during a government shutdown. Among those to remain open are:
- Department of Homeland Security
- U.S. Postal Service
- Justice Department
- Federal Reserve
- National Weather Service
- U.S. Secret Service
- Transportation Security Administration
- Customs and Border Protection
- Social Security
How Many People Lose Work?
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In the 2013 government shutdown, more than 800,000 government employees were put on unpaid leave, including:
- 40,234 of the Commerce Department's 46,420 employees
- 3,983 of the Department of Education's 4,225 employees
- 96% of the Federal Housing Administration's staff
- 14,224 of the Department of Veterans Affairs' 332,025 employees
- 68% of the Centers for Disease Control's staff
- 93% of the Environmental Protection Agency's staff
- 90% of the IRS' staff
- 98% of NASA's staff
Past Occurrances
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While government shutdowns are usually rare, they have occurred in the United States on multiple occasions, particularly in the 1970s and 1980s. Prior to the shutdown beginning on October 1, 2013, the most recent shutdown ran from December 16, 1995 to January 6, 1996 under President Bill Clinton.
Who Still Gets Paid?
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Many government employees are sent home without pay during a government shutdown in the U.S., but many still receive their regular paychecks. Those who will still get paid are:
- The President
- Members of Congress
- Military
Other workers who are deemed essential and allowed to remain at work will not be paid during the shutdown, but will receive retroactive pay when the shutdown ends.
Impact on the Economy
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In the case of the 2013 government shutdown, the furloughs of over 800,000 government employees is estimated to cost the U.S. economy $1 billion per week, and the White House estimates that a week-long shutdown could cost the U.S. economy as much as $10 billion. Estimates for a 3-4 week shutdown show an impact of around $55 billion.
The Public's Reaction
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Polls taken about the 2013 government shutdown showed that the majority of U.S. citizens were against the shutdown and blamed Congressional Republicans for the situation.
Sixty-nine percent of those polled went so far as to agree that the Republicans in Congress were acting like "spoiled children." A CNN poll showed that 68% of Americans believe the shutdown is a bad idea.
Duration of Shutdowns
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The longest government shutdown in U.S. history occurred for 21 days between 1995 and 1996. Others, such as the shutdowns in 1986 and 1987, can last for a single day. The duration depends directly on the length of time it takes for Congress and the President to come to an agreement on the budget.
How Shutdowns Affect the Public
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Aside from government employees who are impacted directly by shutdowns, the general public is also affected in various ways. Because national parks, zoos, monuments, and museums close their doors, anyone planning vacations or visits to these locations has to change their plans.
Hourly workers at such locations also lose work and much needed pay. Meanwhile, delays in student and home loans can directly impact anyone who was planning on applying for government assistance to attend college or purchase a home.
Severe Impact of Past Shutdowns
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Past government shutdowns caused major difficulties for people living in Washington, D.C., when schools and even basic necessities like garbage collection ceased operations as part of the federal shutdown. In 1996, the National Zoo was unable to get rid of animal waste, which eventually was piled into an overflow parking lot until the shutdown was over.
As a result of these severe consequences, changes have been made to the system to block similar circumstances from happening during future government shutdowns. Waste removal services are now generally deemed "essential services" during such situations.
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