Trump warns US likely headed for government shutdown

WASHINGTON: President Donald Trump on Tuesday warned that the United States is “probably” headed for its 15th government shutdown since 1981, cautioning that his administration could use the moment to introduce irreversible changes.

“We’ll probably have a shutdown,” Trump told reporters at the White House, as talks with Democrats over federal spending stalled.

He said Democrats were “taking a risk” in their negotiations, adding that his administration had the option to cut benefits paid out by the government during the shutdown.

What is a US government shutdown?

A government shutdown occurs when the government has not agreed on its annual budget, in whole or in part. It impacts discretionary spending, which must be appropriated each year.

Such a shutdown basically means that the federal government stops paying federal employees and contractors who work for the government. It is a situation that impacts each part of the government differently.

In the past, there have been partial shutdowns when some of the budget had been approved, leaving some agencies fully funded and able to work as usual. There have also been wider shutdowns when none of the budget had been signed into law.

During a full shutdown all non-essential US government agencies and programs close since they depend on annual government funding.

Despite a government shutdown, essential services and mandatory spending programs do not stop. In past shutdowns, active-duty military personnel and most border protection agents, federal law enforcement agents and air traffic controllers have stayed on the job.

Whereas discretionary spending is up for discussion each year, mandatory spending is approved for longer periods or is permanent. So things like Social Security, Medicare and Medicaid payments will continue to be made as will military veterans’ health benefits. Mail delivery and the Federal Reserve are not affected because they are funded in a different way.

Earlier, the White House directed federal agencies to prepare for mass layoffs as President Donald Trump’s administration escalated a standoff with congressional Democrats over a possible government shutdown.

In a memo, the White House Office of Management and Budget (OMB) warned that the administration would go beyond the temporary furloughs seen in previous shutdowns.