Federal government shutdown grinds into a second week, but quiet talks emerging

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WASHINGTON: Tours at the US Capitol have come to a standstill. The House is keeping its doors closed, while the Senate repeated its loop on Wednesday (Oct 8) of failed votes on competing bills to reopen the government, as a shutdown continues. President Donald Trump is threatening to mass-fire federal workers and refuse to give back pay to the rest."Congress, do your damn job,” said Randy Erwin, president of the National Federation of Federal Employees, with other top union leaders near the Capitol.Behind the scenes, quiet talks are emerging. Clusters of lawmakers, Republicans and Democrats, are meeting privately, searching for ways out of the impasse, which hinges on striking a deal to preserve healthcare subsidies.Military troops are set to miss paychecks, and flights are being delayed at airports nationwide, while federal programs are disrupted.The GOP leadership's strategy of convincing nervous Democrats to immediately end the shutdown without resolving the health care issue was not working.Two prominent Republicans, Rep Marjorie Taylor Greene from Georgia and Sen. Josh Hawley of Missouri, have broken from their party, saying something must be done to help Americans pay for the upcoming health insurance rate hikes.Republican House Speaker Mike Johnson appears so confident that he is preparing to take live questions from callers on C-SPAN's Thursday morning public affairs show.But Democrats have also dug in, convinced that Americans are on their side in the fight to prevent a looming healthcare price spike, blaming Trump for the shutdown.HEALTHCARE SUBSIDIES SET TO EXPIRECongress increased the federal subsidies that help people purchase private insurance policies on the Affordable Care Act exchanges during the COVID-19 pandemic. The federal aid was popular, and it boosted ACA enrollment to a record 24 million people. Those enhanced subsidies are set to expire at year’s end.Republicans say Congress can deal with the health insurance issue in the months ahead. Democrats are fighting to resolve the problem now, as people are receiving notices of higher policy rates for the new year.Trump has signalled openness to a healthcare deal in recent days. Earlier this week, the president said that talks were already underway as he wants “great health care” for the people, only to shift his tone hours later to say the government must reopen first.MISSED PAYCHECKSWhile federal employees have often missed paychecks during shutdowns, and the first pay period is coming in the next week, Trump is now threatening to do away with guaranteed back pay. It would be a stark departure from what is normal. The White House budget office, under Russ Vought, argues the law says back pay is not automatic, and Congress would need to approve it.Union leaders have warned Trump against using the federal workers as “political pawns” in the political brawl.Each side has framed the shutdown fight as a precursor to the 2026 midterm elections.IRS TO FURLOUGH WORKERSThe tax-collecting Internal Revenue Service will furlough nearly half of its workforce as part of the ongoing shutdown, according to an updated contingency plan posted on Wednesday.Now, only 39,870 employees, or 53.6 per cent, will remain working as the shutdown continues.Earlier this year, the IRS embarked on mass layoffs, spearheaded by the Department of Government Efficiency, affecting tens of thousands of workers. At the end of 2024, the agency employed roughly 100,000 workers, and currently hovers around 75,000.Last week, Trump said roughly 750,000 federal workers nationwide were expected to be furloughed across agencies, with some potentially fired by his administration.