How government shutdown dysfunction is hitting key U.S. agencies

This post has been updated.

The government shutdown is the longest in American history, as it continues on with no end in sight. With tens of thousands of federal workers furloughed or forced to work without pay, the effects of the shutdown are trickling down from the basic agency level.

Prior to the shutdown, three-quarters of government agencies were already funded throughout the year from other appropriations. As a result, the Departments of Labor, Health and Human Services, and Defense haven’t been affected.

However, other government agencies hit by the shutdown are struggling as time goes on. Below are some of the other most significant impacts on government agencies, partially based on data provided to Yahoo Finance by D.C.-based law firm Greenberg Traurig.

Government agencies hit by the shutdown span the U.S. (Graphic: David Foster/Yahoo Finance)
Government agencies hit by the shutdown span the U.S. (Graphic: David Foster/Yahoo Finance)

Department of Transportation

On Friday, Jan. 25, the FAA announced that it was halting flights into LaGuardia Airport in New York as a result of a shortage in air traffic controllers. As a result, flights were reportedly delayed in Newark, Philadelphia, Washington D.C., and Jacksonville.

In a statement to Yahoo Finance, an FAA spokesman said: “We have experienced a slight increase in sick leave at two facilities. We’ve mitigated the impact by augmenting staffing, rerouting traffic, and increasing spacing between aircraft when needed. The results have been minimal impacts to efficiency while maintaining consistent levels of safety in the national airspace system.”

Within an hour, the FAA stated that it was allowing flights to resume.

The FAA has nearly 17,800 employees on furlough. Within the Federal Transit Administration (FTA), only 11% of its employees are working during the shutdown.

Transportation funding is also on hold. According to the Washington Post, “only a quarter of the $44 billion for highway projects and $11 billion in federal transit programs was paid at the outset of the fiscal year.”

The lack of paychecks has led to Transportation employees losing an average of $7,527 in wages, according to the Times.

Department of the Treasury

Most of IRS employees are furloughed. Thie IRS situation is the most taxing of government agencies hit by the shutdown. (Photo: REUTERS/Jonathan Ernst/File Photo)
Most of IRS employees are furloughed. Thie IRS situation is the most taxing of government agencies hit by the shutdown. (Photo: REUTERS/Jonathan Ernst/File Photo)

Within the IRS, 90% of its workers were furloughed when the shutdown began. Tax refunds were initially stalled because there were no workers available to process them.

However, after it was decided that tax refunds would still be issued, some employees were brought back in. They will not be paid until the shutdown ends, though. Because of that, some IRS employees are using a provision in their union contract “that allows them to miss work if they suffer a ‘hardship’ during a shutdown,” such as an empty gas tank or child-care bill.