The Daily Aus The U.S. Govt shutdown, explained
Oct 2, 2025
The U.S. government just shut down due to Congress failing to pass the budget. This is the 21st shutdown since 1977, halting most federal services and impacting thousands of workers. Discover how the budget approval process works and what a funding lapse truly means. Learn which services continue operating and what gets paused during a shutdown. The hosts unpack key disputes that led to this crisis and explore why this shutdown might differ from historical ones. It’s a fascinating look into the political stakes and next steps for the government.
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How The Fiscal Calendar Creates Deadlines
- The US fiscal year runs from 1 Oct to 30 Sep and Congress must approve funding each year or operations halt.
- If Congress can't agree they pass a short continuing resolution or face a government shutdown.
Vote Thresholds Make Budgets Harder
- The US Congress has two chambers: the House and the Senate, each with different vote thresholds for passing bills.
- Budget bills require 218 in the House and effectively 60 in the Senate, creating gridlock when parties lack supermajorities.
Shutdowns Pause Services But Not All Work
- During a shutdown about 25% of federal activities stop while 75% deemed essential continue without pay.
- Essential workers keep working but may be unpaid until funding is restored and they are back-paid later.