White House Warns of Potential Layoffs Amidst US Government Shutdown
As the US government shutdown stretches into its second day, the White House has issued a warning about potential mass layoffs of federal employees. Press Secretary Karoline Leavitt stated that "thousands" of jobs could be at risk if the funding impasse continues, placing blame squarely on disagreements with Democrats.
Layoffs Looming as Shutdown Deepens
Karoline Leavitt informed reporters that the Trump administration is already preparing for potential job losses. The Office of Management and Budget (OMB) is reportedly reviewing which departments could be most affected by the shutdown. The administration has stated they could target agencies it views as misaligned with its priorities and a waste of taxpayer money. President Trump stated he will meet with Budget Director Russell Vought to review which agencies should face cuts.
Accusations and Political Standoff
The White House is accusing Democrats of refusing to cooperate on a funding deal, leading to the current shutdown. Leavitt specifically cited disagreements over healthcare benefits for undocumented immigrants as a major sticking point. She questioned the allocation of Medicare benefits, stating they should go to vulnerable citizens, not those who entered the country illegally. Democrats have countered by alleging that President Trump is trying to reshape the federal government and punish detractors.
Trump's Stance and Project 2025
President Trump has embraced the political standoff, viewing it as an "unprecedented opportunity" to reshape the federal government. This approach aligns with elements of Project 2025, a conservative plan advocating for downsizing federal operations. Trump has already frozen funding for transit and green-energy programs in Democratic-leaning states and may be considering additional agency cuts.
Shutdown Impact and Congressional Response
The government shutdown, now in its second day, has suspended various operations, affecting approximately 2 million federal workers. Essential services continue, but many departments face disruptions. With neither the House nor Senate voting due to the Yom Kippur holiday, the impasse remains unresolved. Democrats are negotiating "like terrorists", the treasury secretary claimed.
Treasury Secretary Bessent Warns of GDP Impact
Treasury Secretary Scott Bessent has warned that the government shutdown could negatively impact the US GDP. While government shutdowns typically have limited economic effects, the potential for permanent furloughs under President Trump's approach could create a more significant economic disruption.
Further Developments
- Potential layoffs are "very real," according to Karoline Leavitt.
- Agencies that "don't align with the president's values" are being targeted for cuts.
- Trump and Vought will determine if cuts should be temporary or permanent.
- Trump tells Republicans to 'clear out dead wood, waste, and fraud'
