White House Announces Federal Employee Layoffs as Shutdown Approaches Third Week

The White House disclosed the initiation of federal worker layoffs on Friday, making good on prior threats in response to the continuing US government shutdown, which is now poised to extend into its third consecutive week.

Official Announcement and Initial Details

The director of the White House budget office posted on social media that “RIFs have begun,” referring to the official procedure for letting employees go.

Although the official did not specify which agencies were affected, a representative from the Treasury Department confirmed that notices had been distributed within that agency. Additionally, a Department of Homeland Security spokesperson noted that staff reductions would take place at the Cybersecurity and Infrastructure Security Agency. Moreover, a labor organization representing federal workers announced that members at the Department of Education would be impacted by the staff cuts.

Union Response and Court Actions

Labor representatives warned that the terminations would have “severe consequences” on services used by millions of Americans and vowed to challenge the moves in court.

This is shameful that the administration has used the funding lapse as an excuse to illegally fire numerous employees who deliver essential functions to communities across the country,” stated a national union president, who leads the AFGE.

The largest labor federation in the US reacted to the news, declaring, “America’s unions will see you in court.”

Legislative Impasse and Budget Dispute

Lawmakers from the Democratic party have refused to support a GOP-supported bill to restore funding unless it contains provisions related to health policy. After repeated failed attempts, the GOP leadership in the Senate have adjourned the Senate until the following week, meaning the deadlock is not expected to be ended before then.

During a media briefing, the Republican House speaker, Mike Johnson, criticized opposition lawmakers for rejecting the GOP proposal, which was approved in the House on a near party-line vote.

“This is the last paycheck that 700,000 federal workers will see until Washington Democrats decide to fulfill their duties and end the shutdown,” Johnson stated. “Starting next week, military personnel, who often live on tight budgets, are going to miss a complete payment.”

Judicial and Practical Limits

Previously, labor groups sought a court injunction to block the administration from implementing any layoffs during the funding gap. Moreover, a federal judge directed the administration to provide specifics on termination strategies, affected agencies, and if any federal employees had been recalled to execute staff reductions.

A report argued that a government shutdown restricts the ability of the administration to carry out firings, referencing guidance that acknowledged any long-term staff cuts need to have been started before the shutdown began.

Impact on Workers

The layoffs took place on the very day that federal workers got only a incomplete payment covering the end of the previous month but excluding the beginning of October, since funding expired at the start of the month.

A public service advocate, the head of the non-profit Partnership for Public Service, criticized the gridlock’s effect on federal employees.

This is unjust to make federal employees suffer because our leaders in Congress and the White House have failed to keep our government open and operational,” Stier said. The air traffic controllers, VA nurses, smoke jumpers and food inspectors are not responsible for this government shutdown.”

The irony is that lawmakers and top administration officials are continuing to be paid during the funding gap.

Amanda Bush
Amanda Bush

Elara Vance is a tech journalist and innovation analyst with over a decade of experience covering emerging technologies and startup ecosystems across Europe.