Space junk is a big problem because if we sent up rockets or space shuttles, they could be damaged or ruined and the people inside of them could be hurt or killed. Another problem with space junk is it could get pulled into our atmosphere and if it was big enough not to burn away while falling in it could do serious damage.
NASA tracks every piece of debris so they know when they can't send anything up and the course they need to take to avoid a collision. There have been ideas to solve the problem but no action has been taken. A possible idea is to destroy things using lasers.