Overview

• An updated contingency plan keeps 39,870 employees, or 53.6% of the workforce, on duty while most operations are closed.
• The IRS told employees that both furloughed and working staff will receive back pay once the shutdown ends, despite earlier signals from the administration that pay was not guaranteed.
• The National Treasury Employees Union warned of longer wait times, growing backlogs and delays in implementing tax-law changes.
• The government shutdown is in its second week after President Donald Trump and Congress failed to reach a funding agreement.
• This disruption follows months of workforce reductions through layoffs and buyouts that lowered headcount from roughly 100,000 at the end of 2024 to about 75,000.