What happens during a US government shutdown?

Ten things to expect.

At midnight local time on Monday night the US government went into shutdown for the first time in 17 years as Congress failed to agree new budget. So what happens when Government spending stops?

1. 800,000 public sector workers are sent home

Around 800,000 of the 2.1 million people working in the public sector will be sent home with no pay. There is no guarantee that they will be compensated for these lost earnings, although they were following shutdowns of 1995-1996. Those who will be retained are “essential staff” like the police and law enforcement officers, immigration services, those overseeing nuclear safety, dams and power lines, and rescue services.

2. Rubbish collection stops in Washington DC

Because Washington DC is a federal district that needs permission from Congress to spend money, services like rubbish collection, street cleaning and libraries will be shut down. Schools and public transport will continue running, however.

3. National parks, museums and galleries will shut

The US’s national parks and museums, galleries, zoos and landmarks run by federal government will close, including the Statue of Liberty and Ellis Island in New York, the National Zoo, and the Washington Monument.  Only essential staff will go into work, included those needed to protect “life and property” and, in the case of the National Zoo, to feed the animals. Holidaymakers currently camping in National Parks will be given 48 hours to leave, while day-trippers will be made to leave immediately.

4. Air travel continues as usual, but passport applications may not be processed

Air traffic control and airport security staff will continue to work, and airport authorities have said travellers needn’t worry about longer waits at security. Passport applications will continue to be accepted until money runs out. If this shutdown last as long as the shutdowns in 1996, this means at some point applications will stop being processed. In the 1990s this affected 200,000 applicants.

5. Citizens face administrative delays

Staff cutbacks at the Internal Revenue Services mean audits will stop and no one will be able to assist if people have questions about their taxes. Benefits for pensioners and military veterans are likely to be delayed because of staff cutbacks. Permits for guns are unlikely to be processed, and more worryingly, small businesses applying for loans won’t have them processed.

6. The US economy suffers

The last shutdown was estimated to have cost the US government $1.5bn and Goldman Sachs believes a three-week shutdown could cut 0.9 per cent off GDP growth this quarter. The value of the US dollar has already fallen on the news.

7. Some Department of Health Services are shut down

Notably, the Centers for Disease Control and Prevention will be forced to cut back their services, so they will be less able to respond if there's a disease outbreak.

8. The military will keep working

On-duty military staff will carry on working, and an emergency bill passed two hours before the shutdown will protect their pay. Around half of civilian members of the defence forces won’t be reporting to work at all.

9. The post office will run as usual

The post office will continue to work, because it is funded by stamp sales and postage fees, and therefore not dependent on federal government cheques.

10. The squabbling politicians who triggered the crisis will still get paid

The salaries of senators, representatives, and President Barack Obama won’t be affected.

A sign indicates that the Lincoln Memorial and all national parks are closed from 1 October. Photo:Getty.

Sophie McBain is a freelance writer based in Cairo. She was previously an assistant editor at the New Statesman.

Photo: Getty
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Unite stewards urge members to back Owen Smith

In a letter to Unite members, the officials have called for a vote for the longshot candidate.

29 Unite officials have broken ranks and thrown their weight behind Owen Smith’s longshot bid for the Labour leadership in an open letter to their members.

The officials serve as stewards, conveners and negotiators in Britain’s aerospace and shipbuilding industries, and are believed in part to be driven by Jeremy Corbyn’s longstanding opposition to the nuclear deterrent and defence spending more generally.

In the letter to Unite members, who are believed to have been signed up in large numbers to vote in the Labour leadership race, the stewards highlight Smith’s support for extra funding in the NHS and his vision for an industrial strategy.

Corbyn was endorsed by Unite, Labour's largest affliated union and the largest trades union in the country, following votes by Unite's ruling executive committee and policy conference. 

Although few expect the intervention to have a decisive role in the Labour leadership, regarded as a formality for Corbyn, the opposition of Unite workers in these industries may prove significant in Len McCluskey’s bid to be re-elected as general secretary of Unite.

 

The full letter is below:

Britain needs a Labour Government to defend jobs, industry and skills and to promote strong trade unions. As convenors and shop stewards in the manufacturing, defence, aerospace and energy sectors we believe that Owen Smith is the best candidate to lead the Labour Party in opposition and in government.

Owen has made clear his support for the industries we work in. He has spelt out his vision for an industrial strategy which supports great British businesses: investing in infrastructure, research and development, skills and training. He has set out ways to back British industry with new procurement rules to protect jobs and contracts from being outsourced to the lowest bidder. He has demanded a seat at the table during the Brexit negotiations to defend trade union and workers’ rights. Defending manufacturing jobs threatened by Brexit must be at the forefront of the negotiations. He has called for the final deal to be put to the British people via a second referendum or at a general election.

But Owen has also talked about the issues which affect our families and our communities. Investing £60 billion extra over 5 years in the NHS funded through new taxes on the wealthiest. Building 300,000 new homes a year over 5 years, half of which should be social housing. Investing in Sure Start schemes by scrapping the charitable status of private schools. That’s why we are backing Owen.

The Labour Party is at a crossroads. We cannot ignore reality – we need to be radical but we also need to be credible – capable of winning the support of the British people. We need an effective Opposition and we need a Labour Government to put policies into practice that will defend our members’ and their families’ interests. That’s why we are backing Owen.

Steve Hibbert, Convenor Rolls Royce, Derby
Howard Turner, Senior Steward, Walter Frank & Sons Limited
Danny Coleman, Branch Secretary, GE Aviation, Wales
Karl Daly, Deputy Convenor, Rolls Royce, Derby
Nigel Stott, Convenor, BASSA, British Airways
John Brough, Works Convenor, Rolls Royce, Barnoldswick
John Bennett, Site Convenor, Babcock Marine, Devonport, Plymouth
Kevin Langford, Mechanical Convenor, Babcock, Devonport, Plymouth
John McAllister, Convenor, Vector Aerospace Helicopter Services
Garry Andrews, Works Convenor, Rolls Royce, Sunderland
Steve Froggatt, Deputy Convenor, Rolls Royce, Derby
Jim McGivern, Convenor, Rolls Royce, Derby
Alan Bird, Chairman & Senior Rep, Rolls Royce, Derby
Raymond Duguid, Convenor, Babcock, Rosyth
Steve Duke, Senior Staff Rep, Rolls Royce, Barnoldswick
Paul Welsh, Works Convenor, Brush Electrical Machines, Loughborough
Bob Holmes, Manual Convenor, BAE Systems, Warton, Lancs
Simon Hemmings, Staff Convenor, Rolls Royce, Derby
Mick Forbes, Works Convenor, GKN, Birmingham
Ian Bestwick, Chief Negotiator, Rolls Royce Submarines, Derby
Mark Barron, Senior Staff Rep, Pallion, Sunderland
Ian Hodgkison, Chief Negotiator, PCO, Rolls Royce
Joe O’Gorman, Convenor, BAE Systems, Maritime Services, Portsmouth
Azza Samms, Manual Workers Convenor, BAE Systems Submarines, Barrow
Dave Thompson, Staff Convenor, BAE Systems Submarines, Barrow
Tim Griffiths, Convenor, BAE Systems Submarines, Barrow
Paul Blake, Convenor, Princess Yachts, Plymouth
Steve Jones, Convenor, Rolls Royce, Bristol
Colin Gosling, Senior Rep, Siemens Traffic Solutions, Poole

Stephen Bush is special correspondent at the New Statesman. He usually writes about politics.