Again, California stands to feel this pain more severely. The effects of sequestration have been neither fully felt nor fully implemented. Next year, a further $20 billion of federal defense cuts will take effect, which will impact a state with both a large defense contracting sector and numerous military bases. Anecdotally, the uncertainty of further government cuts and the threat of continued gridlock in Washington has put the aerospace and defense industries in something of a holding pattern. The effects on these industries will be felt from contractors to construction workers.