
Amid US govt shutdown, White House warns ‘thousands’ may be laid off
Trump government blames Democrats, says they are ‘playing politics’ over disagreements on healthcare benefits for undocumented immigrants
As the shutdown of the US government entered its second consecutive day, the White House on Thursday (October 2) warned that “thousands” of federal employees would be laid off if the shutdown doesn’t end.
The announcement was made by White House press secretary Karoline Leavitt, who said that the Donald Trump administration was already preparing for potential layoffs. She said officials, including those from the Office of Management and Budget (OMB) are currently discussing which departments could be affected by the layoffs.
Also read: US government shuts down for the first time in six years
“It’s likely going to be in thousands,” CBS News quoted Leavitt telling reporters outside the White House.
White House blames Democrats
She blamed the whole affair squarely on the Democrats, who she said were “playing politics” over disagreements on healthcare benefits for undocumented immigrants.
“Let me ask you, do you think illegal aliens should get medicare benefits?” she asked reporters.
“Medicare benefits go to the most vulnerable people of our country. But the Biden administration allowed tens of thousands of illegal aliens from all over the world to come into the country and get free benefits,” she added.
The US government has been partially shut down after lawmakers missed the midnight funding deadline on Wednesday, leaving several agencies without a budget. Reports said while many departments face disruptions, essential services continue to operate in the government.
Bid to reshape workforce, punish detractors
Leavitt’s warning of “imminent” layoffs instead of simply furloughing employees as is usually done during any lapse of funds reflects President Trump’s attempt to use the shutdown as an opportunity to reshape the federal workforce and punish detractors, by threatening mass firings of workers and suggesting “irreversible” cuts to programmes important to Democrats.
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As thousands of federal employees stayed home and faced potential layoffs, Trump on Thursday got right to work on social media.
He started by sharing praise from supporters. Then he falsely claimed that “DEMOCRATS WANT TO GIVE YOUR HEALTHCARE MONEY TO ILLEGAL ALIENS.” And then he announced that he would meet with his top budget adviser to figure out where to make permanent cuts to federal programmes that “are a political SCAM.”
Trump-Vought meeting
Trump on Thursday also announced that he and budget (OMB) director Russ Vought would discuss “temporary or permanent” spending cuts that could set up a lose-lose dynamic for Democratic lawmakers.
He said he and Vought would determine "which of the many Democrat Agencies” would be cut — continuing their efforts to slash federal spending by threatening mass firings of workers and suggesting “irreversible” cuts to Democratic priorities.
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“I can't believe the Radical Left Democrats gave me this unprecedented opportunity,” Trump wrote on his social media account. “They are not stupid people, so maybe this is their way of wanting to, quietly and quickly, MAKE AMERICA GREAT AGAIN!”
The post was notable in its explicit embrace of Project 2025, a controversial policy blueprint drafted by the Heritage Foundation that Trump distanced himself from during his re-election campaign. The effort aimed to reshape the federal government around right-wing policies, and Democrats repeatedly pointed to its goals to warn of the consequences of a second Trump administration.
Vought on Wednesday offered an opening salvo of the pressure he hoped to put on Democrats. He announced he was withholding USD 18 billion for the Hudson River rail tunnel and Second Avenue subway line in New York City which have been championed by both Democratic leaders, Senate Democratic leader Chuck Schumer and House Democratic leader Hakeem Jeffries, in their home state. Vought is also cancelling USD 8 billion in green energy projects in states with Democratic senators.