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White House says no shutdown-related layoffs yet, but warns they could come

By Doina Chiacu, Andy Sullivan and Nolan D. McCaskill
Last updated: October 6, 2025 8:29 pm
By Doina Chiacu, Andy Sullivan and Nolan D. McCaskill
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By Doina Chiacu, Andy Sullivan and Nolan D. McCaskill

WASHINGTON (Reuters) -The White House on Monday backed off President Donald Trump’s assertion that U.S. government employees were being laid off “right now” due to the shutdown, but warned that job losses could result if Congress does not restore federal funding.

In the shutdown’s sixth day, the Trump administration continued to raise the specter of mass firings, though none appeared to be forthcoming. Previous shutdowns have not forced the government to fire any workers, though hundreds of thousands are typically told not to work.

Trump said on Sunday night that layoffs were taking place “right now,” but White House Press Secretary Karoline Leavitt said on Monday he had been referring to those furloughed since Congress allowed funding to expire on October 1.

The White House budget office “is continuing to work with agencies on who, unfortunately, is going to have to be laid off if this shutdown continues,” she said at a news briefing.

Labor unions representing federal workers have sued to prevent that from happening, arguing that such layoffs would violate a law that includes criminal penalties.

On Capitol Hill, Republicans and Democrats showed no signs they would end the standoff any time soon.

The Republican-led Senate was slated to vote again on dueling measures to fund federal agencies, though neither was expected to receive the 60 votes needed to advance.

The Republican version would fund federal agency operations through November 21, while the Democratic version would also extend healthcare subsidies due to expire at the end of the year. Republicans say that issue should be dealt with separately.

The Republican-led House of Representatives was not in session, and House Speaker Mike Johnson said he had no plans to reopen it until the government was funded.

Trump’s administration has already frozen at least $28 billion in infrastructure funds for New York, California and Illinois — all home to sizable Democratic populations and critics of the president.

But Democratic leaders showed no sign of knuckling under to the White House’s hardball tactics, which have caused unease among some centrist Republicans who fear the approach could make the impasse harder to overcome.

The partial shutdown, the 15th since 1981, tied for the fourth-longest in U.S. history on Monday, matching the six-day length of a 1995 shutdown. The longest shutdown lasted 35 days in 2018-2019, during Trump’s first term in office.

SLOWING TO A CRAWL

While border guards, airport security screeners and other “essential” employees remained on the job without pay, other government activities ground to a halt. The Federal Register, which typically lists more than 100 proposed regulations and other notices daily, only showed four entries on Monday morning.

Pressure to end the standoff could mount next week, when 1.3 million troops and other military workers are due to miss their paychecks for the first time since the shutdown began.

Air travel could be another factor. More of the nation’s 13,000 air traffic controllers have been calling in sick since the shutdown began, which could lead to flight delays, Transportation Secretary Sean Duffy said. Lawmakers resolved the last shutdown in 2019 after absences of controllers and airport security screeners spiked.

Senate Democrats, who are demanding a permanent extension of federal subsidies to help people afford health insurance under the Affordable Care Act, have voted down the Republican funding bill four times.

Republican leaders need at least eight Democrats to support their funding legislation. But only two Democrats and an independent who caucuses with them have crossed the aisle so far.

Some Democrats want a deal on healthcare subsidies in place before open enrollment for next year begins on November 1.

Johnson said any solution could not be reached quickly.

“We’ve got probably 100 ideas for reforms on the table, but I can’t snap my fingers this afternoon and make that happen,” he said on the Hugh Hewitt radio show.

The standoff has frozen about $1.7 trillion in funds for agency operations, which amounts to roughly one-quarter of annual federal spending. Much of the remainder goes to health and retirement programs and interest payments on the growing $37.5 trillion debt.

(Reporting by David Morgan; Editing by Cynthia Osterman)

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TAGGED:federal agenciesfederal agencyfederal fundingHouse of RepresentativesMike Johnsonpartial shutdownPresident Donald TrumpRepublican-led SenateWhite House
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