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2025-10-28 13:57:00| Fast Company

A shortage of air traffic controllers caused more flight disruptions Monday around the country as controllers braced for their first full missing paycheck during the federal government shutdown.The Federal Aviation Administration reported staffing-related delays on Monday afternoon averaging about 20 minutes at the airport in Dallas and about 40 minutes at both Newark Liberty International Airport and Austin-Bergstrom International Airport. The delays in Austin followed a brief ground stop at the airport, meaning flights were held at their originating airports until the FAA lifted the stop around 4:15 p.m. local time.The FAA also warned of staffing issues at a facility in Jacksonville, Florida, that could cause some problems.Just last week, U.S. Transportation Secretary Sean Duffy had predicted that travelers would start to see more flights delayed and canceled as the nation’s air traffic controllers work without pay during the shutdown, which is nearing the one-month mark.During a weekend appearance on the Fox News program “Sunday Morning Futures,” Duffy said more controllers were calling in sick as money worries compound the stress of an already challenging job.“And that’s a sign that the controllers are wearing thin,” Duffy said.Earlier Monday, flights were also briefly delayed at Los Angeles International Airport, one of the busiest in the world. The disruptions emerged a day after the FAA had issued a temporary ground stop at LAX for about two hours due to a shortage of controllers. Aviation analytics firm Cirium said about 72% of the flights scheduled Sunday at LAX took off within 15 minutes of their scheduled departure times.Most controllers are continuing to work mandatory overtime six days a week during the shutdown without pay, the National Air Traffic Controllers Association said Monday. That leaves little time for a side job unless controllers call in sick to the FAA.Union members were expected to gather Tuesday at major airports across the U.S., including in New York City and Atlanta, to pass out leaflets to passengers detailing how the shutdown is negatively impacting the national aviation system and the workers who keep it running safely. The action coincides with controllers’ first full missing paycheck since the shutdown began.Some U.S. airports have stepped in to provide food donations and other support for federal aviation employees working without pay, including controllers and Transportation Security Administration agents.Before the shutdown, the FAA was already dealing with a shortage of about 3,000 air traffic controllers. Nick Daniels, president of NATCA, has said the agency had reached “the lowest staffing we’ve had in decades of only 10,800.” Rio Yamat, AP Airlines and Travel Writer


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2025-10-28 13:38:02| Fast Company

Food banks and pantries were already struggling after federal program cuts this year, but now they’re bracing for a tsunami of hungry people if a pause in federal food aid to low-income people kicks in this weekend as the federal government shutdown persists.The rush has already begun. Central Christian Church’s food pantry in downtown Indianapolis scrambled Saturday to accommodate around twice as many people as it normally serves in a day.“There’s an increased demand. And we know it’s been happening really since the economy has downturned,” volunteer Beth White said, adding that with an interruption in funding for the federal Supplemental Nutrition Assistance Program, “it’s going to continue to get worse for folks.”It’s a concern shared by charitable food providers across the country as states prepare for lower-income families to see their SNAP benefits dry up. SNAP helps 40 million Americans, or about 1 in 8, buy groceries. The debit cards they use to buy groceries at participating stores and farmers markets are normally loaded each month by the federal government.That’s set to pause at the start of next month after the Trump administration said Friday that it won’t use a roughly $5 billion contingency fund to keep food aid flowing in November in the government shutdown. The administration also says states temporarily covering the cost of food assistance benefits next month will not be reimbursed. [Map: AP Digital Embed] “Bottom line, the well has run dry,” the U.S. Department of Agriculture said in a statement. “At this time, there will be no benefits issued November 01.”It’s the latest in a string of hardships placed on charitable food services, which are intended to help take up the slack for any shortcomings in federal food assistance not replace government help altogether.Charities have seen growing demand since the COVID-19 pandemic and the following inflation spike, and they took a hit earlier this year when the Trump administration ended programs that had provided more than $1 billion for schools and food banks to fight hunger. Food pantry visitors are worried Reggie Gibbs, of Indianapolis, just recently started receiving SNAP benefits, which meant he didn’t have to pick up as much from Central Christian Church’s food pantry when he stopped by on Saturday. But he lives alone, he said, and worries what families with children will do.“I’ve got to harken back to the families, man,” he said. “What do you think they’re going to go through, you know?”Martina McCallop, of Washington, D.C., said she’s worried about how she’ll feed her kids, ages 10 and 12, and herself, when the $786 they get in monthly SNAP benefits is gone.“I have to pay my bills, my rent, and get stuff my kids need,” she said. “After that, I don’t have money for food.”She’s concerned food pantries won’t be able to meet the sudden demand in a city with so many federal workers who aren’t being paid.In Fairfax County, Virginia, where about 80,000 federal workers live, Food for Others executive director Deb Haynes said she doesn’t expect to run out of food entirely, largely because of donors.“If we run short and I need to ask for help, I know I will receive it,” Haynes said. Food banks feel the increased demand Food pantries provide about 1 meal to every 9 provided by SNAP, according to Feeding America, a nationwide network of food banks. They get the food they distribute through donations from people, businesses and some farmers. They also get food from U.S. Department of Agriculture programs and sometimes buy food with contributions and grant funding.“When you take SNAP away, the implications are cataclysmic,” Feeding America CEO Claire Babineaux-Fontenot said. “I assume people are assuming that somebody’s going to stop it before it gets too bad. Well, it’s already too bad. And it’s getting worse.”Some distributors are already seeing startling low food supplies. George Matysik, executive director of Share Food Program in the Philadelphia area, said a state government budget impasse had already cut funding for his program.“I’ve been here seven years,” Matysik said. “I’ve never seen our warehouses as empty as they are right now.” States scramble to fill in where they can New York Gov. Kathy Hochul said she is fast tracking $30 million in emergency food assistance funds to “help keep food pantries stocked,” and New Mexico Gov. Michelle Lujan Grisham said her state would expedite $8 million that had been allocated for food banks.Officials in Louisiana, Vermont and Virginia said last week they would seek to keep food aid flowing to recipients in their states, even if the federal program is stalled.Other states aren’t in a position to offer much help, especially if they won’t be reimbursed by the federal government. Arkansas officials, for example, have been pointing recipients to find food pantries, or other charitable groups even friends and family for help.-AP writers JoNel Aleccia in Los Angeles, Anthony Izaguirre in Albany, New York, Susan Montoya Bryan in Albuquerque, and video journalists Obed Lamy in Indianapolis and Mike Householder in Detroit contributed to this report. Margery A. Beck and Geoff Mulvihill, Associated Press


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2025-10-28 12:54:41| Fast Company

The Federal Reserve will almost certainly cut its key interest rate on Wednesday and could signal it expects another cut in December as the central bank seeks to bolster hiring.A cut Wednesday would be the second this year and could benefit consumers by bringing down borrowing costs for mortgages and auto loans. Since Fed chair Jerome Powell strongly signaled in late August that rate cuts were likely this year, the average 30-year mortgage rate has fallen to about 6.2% from 6.6%, providing a boost to the otherwise-sluggish housing market.Still, the Fed is navigating an unusual period for the U.S. economy and its future moves are harder to anticipate than is typically the case. Hiring has ground nearly to a halt, yet inflation remains elevated, and the economy’s mostly solid growth is heavily dependent on massive investment by leading tech companies in artificial intelligence infrastructure.The central bank is assessing these trends without most of the government data it uses to gauge the economy’s health. The release of September’s jobs report has been postponed because of the government shutdown. The White House said last week October’s inflation figure may not even be compiled.The shutdown itself may also crimp the economy in the coming months, depending on how long it lasts. Roughly 750,000 federal workers are nearing a month without pay, which could soon start weakening consumer spending, a critical driver of the economy.Federal workers laid off by the Trump administration’s Department of Government Efficiency efforts earlier this year may formally show up in jobs data if it is reported next month, which could make the monthly hiring data look even worse.Powell has said that the risk of weaker hiring is rising, which makes it as much of a concern as still-elevated inflation. As a result, the central bank needs to move its key rate closer to a level that would neither slow nor stimulate the economy.Most Fed officials view the current level of its key rate 4.1% as high enough to slow growth and cool inflation, which has been their main goal since price increases spiked to a four-decade high three years ago. The Fed is widely expected to reduce it to about 3.9% Wednesday. WIth job gains at risk, the goal is to move rates to a less-restrictive level.Kris Dawsey, head of economic research at D.E. Shaw, an investment bank, said that the lack of data during the shutdown means the Fed will likely stay on the path it sketched out in September, when it forecast cuts this month and in December.“Imagine you’re driving in a winter storm and suddenly lose visibility in whiteout conditions,” Dawsey said. “While you slow the car down, you’re going to continue going in the direction you were going versus making an abrupt change once you lose that visibility.”In recent remarks, the Fed chair has made clear that the sluggish job market has become a signficant concern.“The labor market has actually softened pretty considerably,” Powell said. “The downside risks to employment appear to have risen.”Before the government shutdown cut off the flow of data Oct. 1, monthly hiring gains had weakened to an average of just 29,000 a month for the previous three months. The unemployment rate ticked up to a still-low 4.3% in August from 4.2% in July.Layoffs also remain low, however, leading Powell and other officials to refer to the “low-hire, low-fire” job market.At the same time, last week’s inflation report released more than a week late because of the shutdown showed that inflation remain elevated but isn’t accelerating and may not need higher rates to tame it.Yet a key question is how long the job market can remain in what Powell has described as a “curious kind of balance.”“There have been some worrisome data points in the last few months,” said Stephen Stanley, chief U.S. economist at Santander, an investment bank. “Is that a weakening trend or are we just hitting an air pocket?”The uncertainty has prompted some top Fed officials to suggest that they may not necessarily support a cut at its next meeting in December. At its September meeting, the Fed signaled it would cut three times this year, though its policymaking committee is divided. Nine of 19 officials supported two or fewer reductions.Christopher Waller, a member of the Fed’s governing board and one of five people being considered by the Trump administration to replace Powell as Fed chair next year, said in a recent speech that while hiring data is weak, other figures suggest the economy is growing at a healthy pace.“So, something’s gotta give,” Waller said. “Either economic growth softens to match a soft labor market, or the labor market rebounds to match stronger economic growth.”Since it’s unclear how the contradiction will play out, Waller added, “we need to move with care when adjusting the policy rate.”Waller said he supported a quarter-point cut this month, “but beyond that point” it will depend on what the economic data says, assuming the shutdown ends.Financial markets have put the odds of another cut in December at above 90%, according to CME Fedwatch and Fed officials have so far said little to defuse that expectation.Jonathan Pingle, chief U.S. economist at UBS, said that he will look to see if Powell, at a news conference Wednesday, repeats his assertion that the risks of a weaker job market remain high.“If I hear that, I think they’re on track to lowering rates again in December,” he said. Christopher Rugaber, AP Economics Writer


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