BlockBeats News, September 30th – With less than 48 hours before the October 1st deadline for a U.S. government shutdown, Trump met with Congressional leaders to discuss various issues, including the Democratic Party’s demand to extend healthcare subsidies and reverse the cuts to healthcare programs in Trump’s earlier tax legislation. Vice President Pence stated that the U.S. government is “heading for a shutdown,” and if an agreement is not reached, hundreds of thousands of federal employees will face unpaid leave, and key economic data releases will be disrupted.
Pence attempted to blame the Democrats, saying, “I think we’re heading for a shutdown because the Democrats won’t do what’s right, and I hope they change their minds. We’ll see.” Senate Democratic Leader Chuck Schumer said after the meeting, “If the President could accept some of our demands, he could avoid a shutdown, but there are still significant gaps between us. We believe that these issues related to healthcare and funding reversals reflect the will of the American people.” Senate Majority Leader John Thune of the Republican Party stated that the Democrats’ refusal to pass a short-term spending bill to keep the government running until November 21st is equivalent to “holding hostages,” but he also stated that negotiations with the Democrats would continue after the current funding deadline.
A U.S. government shutdown would delay the release of key economic indicators (including the nonfarm monthly employment report scheduled for release on Friday) and would at least temporarily put hundreds of thousands of federal employees on unpaid leave, while other government employees would have to continue providing essential services without pay. The U.S. Bureau of Labor Statistics announced on Monday that it would not release economic data during a potential shutdown. Trump threatened that if the government shuts down, he would make massive permanent layoffs of federal employees. If a shutdown occurs, it would be the first since the 2018-2019 U.S. government shutdown, during which government funding was cut off for five weeks, including during the New Year period of Trump’s first term.
