The Trump administration has initiated layoffs among federal workers amid an ongoing government shutdown. This action marks the beginning of a substantial reduction in force (RIF) as announced by Russell Vought, the director of the Office of Management and Budget (OMB). The announcement came on the 10th day of the shutdown, with Vought confirming the layoffs through a post on social media.
Details on the Layoffs
The decision to begin RIFs was made following warnings from National Economic Council Director Kevin Hassett. He indicated that President Donald Trump might resort to drastic measures if the shutdown persisted due to an absence of a funding agreement in Congress.
As part of the layoffs, various employees from the Health and Human Services (HHS) and Treasury Departments have received RIF notices. HHS spokesman Andrew Nixon stated that all laid-off employees had been deemed non-essential by their divisions.
The Impact of the Government Shutdown
The shutdown is primarily attributed to a breakdown in negotiations over stopgap funding. Key Democratic senators have opposed a Republican funding plan, advocating instead for a deal that includes a continuation of enhanced Affordable Care Act tax credits. This situation has intensified political divisions, with the Trump administration frequently blaming Democrats for the repercussions of the shutdown.
- Date of Announcement: Friday, July 24, 2025
- Key Figures: Russell Vought, Kevin Hassett, Andrew Nixon
- Departments Affected:
- Health and Human Services (HHS)
- Treasury Department
- Union Response: American Federation of Government Employees has filed a lawsuit against the layoffs.
With the Senate scheduled to reconvene next week, the shutdown may extend further if consensus on funding is not reached. The situation continues to develop as federal workers face uncertainty in light of the ongoing budget impasse.
