<h1>Federal shutdown causes massive furloughs, retro pay delays, service suspensions, workforce cuts, and widespread economic disruptions</h1> A continuing federal shutdown has led to widespread furloughs of civilian employees, retroactive-pay arrangements, and temporary reprieves for military pay, while the administration has announced targeted workforce reductions and funding suspensions for infrastructure and grant programs; a federal judge has temporarily enjoined some terminations as potentially politically motivated. Economic effects include reduced GDP growth, lost travel and tourism revenue, suspended small-business loan processing and flood insurance issuance, and air-traffic staffing shortages causing delays. Legislative negotiations remain deadlocked, with each side refusing to yield on conditions for funding, prolonging legal, financial and operational uncertainties for workers, beneficiaries and contractors.