October 05, 2025
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White House: Mass federal layoffs could begin Friday as shutdown continues

Amid the ongoing government shutdown, the White House warned the first round of mass federal layoffs could be announced Friday, with OMB Director Russell Vought and NEC Director Kevin Hassett saying firings would begin if the president deems negotiations “going nowhere” and President Trump blaming Democrats. The shutdown already affects more than 1 million federal workers who are furloughed or working without pay, includes a deferred‑resignation program of over 100,000 employees, and has spurred reports of low morale, financial strain and skepticism about receiving legally required back pay.

Politics Government Economy

📌 Key Facts

  • The White House warned the first round of mass federal layoffs resulting from the government shutdown could be announced on Friday (reported on-camera by CBS News reporter Nancy Cordes).
  • Kevin Hassett, director of the National Economic Council, said layoffs would start "if the president decides that the negotiations are absolutely going nowhere" and urged Democrats to be "reasonable," while the president publicly blamed Democrats and said layoffs are "up to them."
  • OMB Director Russell Vought had earlier said the administration would begin firing in "a day or two;" unions have filed litigation challenging the administration's layoff threats, and reporting notes prior OMB cuts (about $8 billion) to clean‑energy support.
  • More than 1 million federal workers are either furloughed or required to work without pay because of the shutdown.
  • Federal employees (including at HUD and Veterans Affairs) report low morale, financial strain, and distrust that they will receive legally required back pay—despite a 2019 law that mandates back pay after a shutdown.
  • The administration created the Department of Government Efficiency (DOGE) by executive order on Inauguration Day; recent layoffs, resignations and advisory‑board pressure are being tied to DOGE and its influence on personnel decisions.
  • A deferred‑resignation program reportedly has more than 100,000 federal employees "scheduled to leave," adding to expected staffing disruptions if layoffs proceed.

📚 Contextual Background

  • OMB is the abbreviation for the Office of Management and Budget, an office within the executive branch of the United States federal government responsible for assisting the President in preparing the federal budget and supervising its administration in executive agencies.
  • Russell Vought served as the Director (chief) of the Office of Management and Budget (OMB).

đź“° Sources (5)

Trump says government shutdown layoffs are 'up to' Dems as standoff continues
Fox News October 05, 2025
New information:
  • Direct presidential quote blaming Democrats and saying layoffs are "up to them."
  • Article cites a deferred-resignation program with more than 100,000 federal employees 'scheduled to leave.'
  • Kevin Hassett (NEC) quoted saying layoffs will start 'if the president decides that the negotiations are absolutely going nowhere' and expressing hope Democrats will be 'reasonable.'
  • Contextual note tying prior DOGE advisory-board pressure to ongoing personnel decisions.
Trump adviser: Layoffs will start if shutdown negotiations are "going nowhere"
Axios by Avery Lotz October 05, 2025
New information:
  • Kevin Hassett, National Economic Council director, told CNN that layoffs would start 'if the president decides that the negotiations are absolutely going nowhere.'
  • Axios quotes Hassett explicitly linking the trigger for layoffs to a presidential judgment about negotiations and providing his characterization of 'Democrat Agencies' as shorthand for agencies favored by Democrats.
  • Article reiterates OMB director Russell Vought's prior statement that the administration would begin firing in 'a day or two' and notes recent union litigation challenging the threats and OMB's earlier $8 billion cuts to clean‑energy support.
For federal workers, a year of turmoil and uncertainty just got worse
The Christian Science Monitor by Story Hinckley October 04, 2025
New information:
  • Provides an updated, article‑level estimate and reporting that more than 1 million federal workers are either furloughed or required to work without pay.
  • Names the Department of Government Efficiency (DOGE) as created by executive order on Inauguration Day and ties recent layoffs/resignations to that entity.
  • Includes on‑the‑record anonymous quotes from multiple federal employees (HUD and Veterans Affairs) describing morale, financial strain, and distrust about receiving back pay.
  • References the 2019 law that requires back pay after a shutdown and reports workers' skepticism about actually receiving it given administration actions.
Government shutdown mass layoffs could begin today, White House says
https://www.facebook.com/CBSNews/ October 03, 2025
New information:
  • The White House warned the first round of mass layoffs resulting from the government shutdown could be announced on Friday.
  • CBS News reporter Nancy Cordes attributed the update to the White House (on-camera video report).