Washington, October 1 (RHC)-- In the United States, the White House budget director ordered federal agencies to begin closing down after the U.S. Senate and the House of Representatives failed to reach an agreement on a budget plan to avert a government shutdown.
Sylvia Mathews Burwell, director of the White House office of Management and Budget, issued a memo 10 minutes before midnight -- when the U.S. government officially ran out of money. A midnight deadline passed without agreement between the two rival groups in Congress despite an 11th-hour appeal by President Barack Obama.
This is the U.S. government’s first partial shutdown in 17 years. More than 700,000 government workers now face unpaid leave with no guarantee of back pay once the government reopens.
The Republican-controlled House insisted on delaying Obama’s Affordable Care Act, known as Obamacare, as a condition for passing the budget plan. But Obama and Democratic leaders said they wouldn’t negotiate on healthcare reforms.
Analysts have warned that the U.S. economy will seriously be damaged if the shutdown last for more than a few days. The U.S. stocks dropped sharply on Monday amid fears of political deadlock.
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