Who gets paid during US government shutdown — key facts explained

The United States federal government officially shut down on Monday after Congress failed to pass a funding bill before the 1 October deadline, triggering widespread disruption across federal agencies and raising questions over pay for hundreds of thousands of workers.

According to estimates from the Congressional Budget Office, around 750,000 federal workers are now facing unpaid leave or working without pay during the shutdown. The total cost of their daily compensation is projected to be $400 million, underscoring the vast scale of the disruption.

During a government shutdown, federal employees fall into two broad categories: furloughed workers, who are prohibited from working and do not receive pay during the shutdown, and essential workers, who are required to report to work but are not paid immediately.

“During a US government shutdown, federal employees from shutdown agencies are either furloughed (prohibited from work and unpaid) or required to work without pay if their roles are deemed essential to public safety,” explained Representative Ami Bera.

However, under the Government Employee Fair Treatment Act of 2019, these employees are legally entitled to retroactive pay once the shutdown ends. “Congress has traditionally approved ‘retroactive payment for these employees’ once the government reopens… This means that those working during the government shutdown will receive payments after the government reopens — even for the time period they worked during the shutdown,” Bera added.

The timing of pay, however, will depend on the length of the shutdown and when the next scheduled payday falls.

Folks — this is not a normal government shutdown.

Let me explain the stakes and how we got here. pic.twitter.com/nVjXHbbghI

— Robert Reich (@RBReich) October 1, 2025

US heads for shutdown as Senate Democrats block funding bill

US Congress, President still get paid

While hundreds of thousands of workers go without pay, members of Congress and the President continue to receive salaries. The US Constitution protects the pay of lawmakers under Article I, Section 6, which states: “The Senators and Representatives shall receive a Compensation for their Services, to be ascertained by Law, and paid out of the Treasury of the United States.”

Representative Joe Morelle, a Democrat from New York, told NBC News, “The Constitution says members will be paid.”

Presidents also continue receiving their salaries during funding lapses. However, President Donald Trump reportedly donated his salary during his first term and has said he is doing the same again.

Fallout across agencies

The shutdown has already had a sweeping impact across the federal government:

• The Department of Health and Human Services is expected to furlough 41 per cent of its workforce, including staff at the CDC and NIH.

• The Federal Aviation Administration (FAA) will furlough over 11,000 employees, while 13,000 air traffic controllers must continue working without pay.

• National parks may remain open using reserve funds, though most visitor services will be suspended.

• Court services and the Department of Justice have warned they can only operate through 3 October without new funding.

Despite being unpaid, essential services — such as military operations, law enforcement, Social Security, and Medicare — will continue to function under emergency measures.

Political stalemate behind the shutdown

The shutdown stems from a bitter standoff between Republicans and Democrats in Congress. The two parties failed to agree on a stopgap funding bill, with disputes over healthcare, foreign aid, and Medicaid cuts stalling negotiations.

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Republicans in the House advanced a bill that was blocked by Senate Democrats, who demanded reinstatement of health subsidies and protection of social services.

In the meantime, the White House instructed federal agencies to prepare for permanent reductions in force — referred to internally as 'mass firings' — signalling a more aggressive approach than in past shutdowns.

Vice-president J.D. Vance, after a meeting at the White House, told reporters: “I think we’re headed to a shutdown because the Democrats won’t do the right thing.”

Labour unions have since filed lawsuits against the administration, arguing that forcing employees to work without timely pay violates the Antideficiency Act.

Outlook remains uncertain

The duration of the shutdown remains unclear, with no immediate signs of compromise between parties. The longer the shutdown continues, the greater the risk to services and the broader US economy.

Economists warn that even short-term shutdowns reduce consumer confidence and can slow GDP growth by 0.2 per cent per week. The effects on families relying on federal wages may become visible within days.

As furloughed employees prepare for missed pay cheques and critical services brace for understaffing, pressure is mounting on lawmakers to find common ground.

Until then, the machinery of government remains paralysed — except, notably, for those whose pay is protected by law.

With agency inputs