Government shutdown reaches second week with IRS furloughs
The U.S. government shutdown entered its second week on October 8, 2025, as Senate Democrats blocked Republicans' sixth attempt to pass a temporary funding bill. Nearly 34,000 IRS employees face furloughs, while essential operations continue amid a standoff over Obamacare subsidies. Political tensions escalated with heated confrontations on Capitol Hill and threats from the Trump administration over back pay for federal workers.
The partial government shutdown began on October 1, 2025, after Congress failed to approve funding for the new fiscal year. The House passed a continuing resolution (CR) in September to maintain fiscal year 2025 funding levels through November 21, including added security spending for lawmakers. However, Senate Democrats, led by Minority Leader Chuck Schumer, have rejected the bill six times, demanding an extension of enhanced Obamacare subsidies set to expire at the end of 2025.
These subsidies, expanded during the COVID-19 pandemic, help millions afford health insurance through the Affordable Care Act. Democrats argue their expiration would raise premiums for over 20 million people during open enrollment starting November 1. Republicans, including House Speaker Mike Johnson, accuse Democrats of holding the government hostage over partisan demands, calling it 'big government liberal nonsense.' Johnson stated, 'They are worried about the Marxist flank in the Democrat Party,' linking the impasse to fears of primary challenges from progressives like Rep. Alexandria Ocasio-Cortez.
Impacts are mounting. The IRS, employing 74,299 people as of July 24, 2025, furloughed nearly 34,000 workers—about 46% of its workforce—effective October 8. Only 39,870 employees, or 54%, remain on duty for essential tasks like tax processing, IT security, and criminal investigations. Taxpayer services, including call centers, are suspended, leading to expected delays in filing extensions due next week. National Treasury Employees Union President Doreen Greenwald warned, 'Expect increased wait times, backlogs and delays implementing tax law changes as the shutdown continues.'
Tensions boiled over on Capitol Hill. Rep. Mike Lawler, R-N.Y., confronted House Minority Leader Hakeem Jeffries, D-N.Y., in a five-minute shouting match over a bipartisan one-year subsidy extension bill, with Jeffries retorting, 'You're an embarrassment.' Separately, Johnson clashed with Sens. Ruben Gallego and Mark Kelly, D-Ariz., outside his office, urging them to 'reopen the government' before swearing in Rep.-elect Adelita Grijalva.
President Donald Trump escalated rhetoric, describing Democrats' stance as a 'kamikaze attack' and suggesting back pay for furloughed workers 'depends on who we're talking about.' The White House's Office of Management and Budget drafted plans questioning automatic back pay under a 2019 law, potentially affecting 750,000 nonessential employees. Flight delays hit airports like Nashville and Burbank due to air traffic controller shortages, as essential workers continue without pay.
Moderate Democrats like Rep. Tom Suozzi, D-N.Y., broke ranks, supporting the one-year extension as a compromise to avoid premium hikes, despite Jeffries calling it a 'laughable proposition.' Johnson rejected a standalone vote on military pay, insisting the Senate pass the CR first. As of October 8, no resolution appeared imminent, with both sides digging in.