US Federal Layoffs Imminent as Government Shutdown Continues

Sun Oct 19 2025 20:22:54 GMT+0300 (Eastern European Summer Time)

The White House issues a warning of impending layoffs for federal workers amid an ongoing government shutdown, as political leaders fail to agree on a new spending plan.

With the government shutdown in the US now underway, the White House has announced that mass layoffs of federal workers may begin within just two days. Lawmakers are engaged in a blame game over the shutdown, which marks the first of its kind in nearly seven years. Both parties are appearing resistant to compromise, raising concerns over the potential impact on the US economy and the livelihoods of hundreds of thousands of federal employees.

Mass layoffs of US federal workers will begin within two days, the White House says, as lawmakers trade blame over the first government shutdown in almost seven years.

The shutdown began on Wednesday after Republicans and Democrats in Congress failed to agree on a new spending plan before the midnight deadline.

There is little sign that either side is willing to compromise, and a vote to end the shutdown failed just hours after it began. The Senate has since adjourned, raising fears that the shutdown could drag on and threaten hundreds of thousands of jobs as well as risk costing the US economy billions in lost output.

At a White House briefing on Wednesday afternoon, Vice-President JD Vance made a rare appearance alongside Press Secretary Karoline Leavitt and accused the Democrats of playing political games. “If they are so worried about the effect this is having on the American people, and they should be, what they should do is reopen the government, not complain about how we respond,“ he said.

Leavitt, meanwhile, said mass job cuts would happen within two days. Sometimes you have to do things that you don't want to do, she said, adding that Democrats put us in this position.

It was the latest dig in a bitter blame game between both parties, with Senate Democrat Chuck Schumer accusing Republicans of trying to bully Democrats into accepting their funding plan.

Democrats want to secure guarantees on healthcare funding before they agree to a spending deal, while Republicans hope to keep the government open until mid-November at current funding levels.

Meanwhile, Republicans have expressed that healthcare extensions sought by Democrats are not a priority. Essential workers such as border agents and military personnel may continue to work without pay, whereas non-essential employees will be put on unpaid leave, with analysts predicting that around 750,000 federal workers could be affected.

As the shutdown progresses, the government faces significant challenges, and tensions are mounting on Capitol Hill with little sign of an impending resolution.