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No Shutdown-related Layoffs Yet, White House Warns of Possible Future Cuts

The White House has clarified its position regarding layoffs amid the current government shutdown, which entered its sixth day. Despite earlier statements claiming job losses were occurring “right now,” officials confirmed that there are no immediate layoffs in effect.

No Immediate Layoffs During Government Shutdown

White House Press Secretary Karoline Leavitt stated that layoffs would only occur if Congress does not restore federal funding soon. President Donald Trump had previously mentioned that layoffs were happening, but Leavitt indicated that he was referencing furloughs from the lapse in funding that began on October 1.

Potential Future Cuts if Funding is Not Restored

  • The White House budget office is collaborating with agencies to prepare for potential layoffs.
  • Labor unions have filed lawsuits against any planned layoffs, arguing that such actions would breach existing laws.

As of now, the Senate is preparing to vote on funding measures, but these proposals are unlikely to succeed. The Republican-led Senate has introduced a bill to fund agencies through November 21. In contrast, the Democratic plan aims to extend healthcare subsidies due to expire at the end of the year.

Political Stalemate Continues

Both parties show little willingness to compromise. The Republican-led House is not in session, with Speaker Mike Johnson indicating that it will remain adjourned until federal funding is resolved. The current shutdown, the 15th since 1981, has already matched previous lengthy shutdowns, risking significant disruptions across federal operations.

Impact of the Shutdown on Federal Services

  • Essential personnel, such as border guards and airport security screeners, continue working without pay.
  • Many government activities are stalled; the Federal Register recorded only four entries recently.

As the shutdown lingers, the pressure gains momentum, particularly with military personnel set to miss paychecks for the first time. Furthermore, absenteeism among air traffic controllers has increased, raising concerns about potential flight delays.

Challenges Ahead for Funding and Subsidies

Senate Democrats are pressing for a permanent extension of federal healthcare subsidies tied to the Affordable Care Act. However, Republican lawmakers require bipartisan support for funding legislation to pass, and thus far, only a few Democrats have cooperated.

The current situation has locked up approximately $1.7 trillion in federal agency funding, significantly affecting the government’s financial operations. Any resolution seems unlikely in the immediate future, as both sides continue to navigate this complex legislative impasse.

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