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Shutdown Deepens: IRS Halves Staff, Air Travel Warned

Breaking: Federal Shutdown Crisis Deepens as Critical Services Collapse

October 28, 2025 | 5:08 PM EDT

Government Paralysis Enters Critical Phase

The ongoing federal government shutdown reached a dangerous new threshold today as the Internal Revenue Service announced furloughs affecting half of its entire workforce, marking one of the most severe operational disruptions since the crisis began.

Transportation Infrastructure Under Threat

In an urgent development, Transportation Secretary Duffy held a joint briefing with NATCA President Daniels at LaGuardia Airport to address mounting concerns about the shutdown’s impact on aviation safety and operations. The appearance at one of the nation’s busiest airports underscores growing alarm about air travel safety as the funding crisis drags on without resolution.

IRS Crippled by Mass Furloughs

The Treasury Department confirmed that approximately 50% of IRS personnel have been furloughed effective immediately, potentially affecting tax collection, refund processing, and enforcement operations. The move represents one of the largest single-agency workforce reductions since the shutdown began, with implications for federal revenue collection and taxpayer services.

Political Standoff Intensifies

Senate Democrats today blocked yet another Republican-sponsored funding bill, citing unacceptable provisions related to the Affordable Care Act and Medicaid programs. The failed vote marks the latest in a series of unsuccessful attempts to break the legislative deadlock that has paralyzed government operations.

Sources familiar with the negotiations indicate that disagreements over healthcare policy remain a central obstacle to any compromise, with both parties refusing to yield on core positions.

What This Means

The combination of IRS furloughs, transportation sector warnings, and continued legislative gridlock suggests the shutdown’s impact is accelerating beyond initial projections. Federal workers face mounting financial pressure, while critical government services continue to deteriorate.

This is a developing story and will be updated as more information becomes available.