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Wednesday, October 22, 2025

Michigan faces economic and service disruptions as federal government shutdown continues

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Donald J. Trump President | Wikipedia

Donald J. Trump President | Wikipedia

For ten days, the federal government has remained shut down, impacting a range of services and economic sectors in Michigan. The shutdown, led by former President Trump and Republican lawmakers, has resulted in many federal workers in the state continuing to work without pay or being furloughed.

"Every day, hundreds of federal workers are forced to continue to work without pay or promise of back pay as they keep planes, Social Security offices, national parks, and military bases on track. In practice, this means that the workers who are most fundamental to Michiganders’ safety and well-being might be unable to pay rent or put food on the table for their own families during this shutdown," according to the Michigan Democratic Party.

Several Michigan Republicans, including Mike Rogers, John James, Tom Barrett, and Bill Huizenga, have been criticized for supporting the shutdown while not addressing ongoing concerns about health care affordability in the state. "Unfortunately, Mike Rogers, John James, Tom Barrett, and Bill Huizenga are backing this Republican shutdown while ignoring the state’s looming health care crisis: nearly half a million Michiganders will likely see their health care premiums more than double on average if Republicans allow ACA premium tax credits to expire, starting in January. That’s on top of the hundreds of thousands of Michiganders who are at risk of losing their health insurance entirely because of the toxic GOP tax law supported by Rogers, James, Barrett, Huizenga, and Michigan Republicans," the party stated.

Democrats have indicated their willingness to negotiate on these issues. "While Democrats are ready to negotiate and address the health care affordability crisis, Michigan Republicans have been absent and are letting this shutdown impact countless Michiganders," the statement continued.

The effects of the shutdown on Michigan are widespread. According to a report from Detroit News (https://www.detroitnews.com/story/news/politics/2025/10/05/government-shutdown-michigan-jobs-air-travel-food-stamps/71378042007/), funding for several federal programs could soon run out. This may impact food aid programs such as food stamps (SNAP), federal courthouses, and subsidies that support air travel in rural areas. Approximately 29,800 civilian federal workers in Michigan are either furloughed or working without knowledge of when they will be paid.

CBS Detroit (https://www.cbsnews.com/detroit/news/heres-how-the-federal-government-shutdown-is-affecting-michigan/) reports that with Congress failing to agree on a budget by October 1—the start of the federal fiscal year—there have been announcements regarding which agencies will remain open or closed, affecting pay schedules and public services across Michigan.

Health care is also at risk. Bridge Michigan (https://www.bridgemi.com/michigan-government/affordable-care-act-subsidies-and-us-shutdown-whats-stake-michigan) notes that Democrats are seeking guarantees that Affordable Care Act premium tax credits will be extended into next year and Medicaid cuts reversed. According to KFF policy analysts cited by Bridge Michigan, enhanced premium tax credits have significantly increased Marketplace insurance enrollment nationwide in 2025, with more than 24 million enrollees and 92% receiving subsidies.

As the shutdown continues without resolution, essential services in Michigan remain uncertain and many residents face increased financial insecurity.

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