Federal Budget, Automatic Budget Cuts | featured news

"It's in areas like health care, education and job training," Packer said. "Programs are closing or are being cut, layoffs are happening. It's not just waiting in line a bit longer at the airport."

With many air traffic controllers on unpaid leave, lawmakers criticized the agency for how it was handling the automatic budget cuts required by sequestration.

US Airways is blaming a dip in revenue on federal budget cuts, Reuters reports. The carrier says it thinks the cuts have reduced demand for last-minute tickets, which typically go for the highest fares.

Congressional Democrats and Republicans appeared far apart Sunday on a deal to avert $85 billion in federal spending reductions next month, with a top House Republican saying the cuts appear “inevitable.” The automatic cuts, known as sequester, kick in March 1 because the parties have failed to agree on a less-drastic plan to cut the federal budget and deficit.