Government Shutdown Looms: US Federal Employees Face Imminent Layoffs

Sat Oct 11 2025 02:57:22 GMT+0300 (Eastern European Summer Time)

As political gridlock intensifies, the White House warns of mass layoffs for federal workers amidst the ongoing government shutdown. Analysts predict significant economic impacts, with both parties at an impasse over funding.

The United States is facing its first government shutdown in nearly seven years, with the White House announcing imminent layoffs of federal workers due to a budgetary stalemate between Republicans and Democrats. The shutdown began after Congress failed to reach a spending agreement, threatening countless jobs and potentially costing the US economy billions. With both parties unwilling to compromise, the situation looks bleak for many government employees.

The White House has announced that mass layoffs of US federal workers will commence within the next two days due to a government shutdown that began after Congress failed to agree on a new spending plan. The divide between Republicans and Democrats remains stark, and there is little indication of compromise as the standoff continues.

Lawmakers were unable to reach an agreement by a midnight deadline, leading to immediate job losses and uncertainty for hundreds of thousands of government employees. The Senate has adjourned, escalating concerns over the duration and economic implications of the shutdown, with estimates suggesting billions could be lost in productivity.

At a White House briefing, Vice President JD Vance criticized Democrats for their role in the impasse, urging them to consider the repercussions on American workers. Press Secretary Karoline Leavitt echoed these sentiments, indicating that layoffs would be unavoidable if no resolution is found promptly.

The blame game has escalated, with Senate Democrats accusing the Republicans of trying to force compliance with their funding proposals. Both sides express urgency, but differing priorities complicate the negotiations. Democrats aim to secure healthcare funding for lower-income Americans, while Republicans favor a stop-gap measure to maintain government operations temporarily.

As the shutdown unfolds, federal employees deemed non-essential face furloughs, while others, including military personnel, are required to work without immediate compensation. Analysts predict the current shutdown could affect around 750,000 workers, potentially resulting in even greater economic ramifications than previous shutdowns.

Amidst frustrations, both parties are expected to reconvene soon with calls for further negotiations. However, until significant concessions are made, the future of federal employment and the nation’s economy remains in jeopardy.