White House announces federal worker layoffs as shutdowns nears third week

The White House announced layoffs of federal workers on Friday making googd on  a danger it had mad in reply to US government shutdown which now set to stretch into third week.

Russell Vought the director of White House office of management and budget wrote ons social media that RIF have begun referring to government reduction in force procedure to let employees go.

A document filed with federal cour announce that hundreds of layoffs took place across executive branch including notices sent to employees at Department of Commerce the Department of Energy the Department of Education and others.

The document shows that almost 315 employees at Department of Commerce, 466 employees at Department of Education 187 employees at Department of Energy from 1100 to 1200 employees at Department of Health and Human Services 442 employees at Department of Housing and  Urban Development 176 employees at Deparmten of Homeland Security and 1446 employees at Department of Treasury received RIF notices.

US Federal government shutdown 2025

Donald Trump

Union leaders warned layoffs would have effects on services relied upon millions of Americans and pledged to challenge moves in court.

“It is disgraceful that Trump admin has used the government shutdown as excuse to illegally fire thousands of workers who provide critical services to communities across country”.

American service members starting next week many of whom live paycheck to paycheck are going to miss full paycheck.

Democrats do not end this shutdown by Monday then that October 15 date will pass us by.

Johnson has kept House out of session throughout the shutdown in attempt to Pressure Senate Democrats into helping the Republcian funding proposal.

A group of House Democrats sent speaker a letter asking him to allow vote on legislation that would ensure US army get paid during shutdown but Johnson has refused to bring lawmakers back to Washington.

The Senate has become chokepoint in funding fight because any legislation need 60 votes to advance in chamber.

In exchnage for their help Democratic senators ared demanding that premium tax credits for Affordable care Act healths.

Stier said

“It is wrong to make federal employees suffer because our leaders in Congress and White House have failed to keep government open and operational”

“Out air traffic controllers VA nurses smoke jumpers food inspectors are not responsible for government shutdown and they should not bear financial burden created by failures of elected officials.

The irony is members of Congress and senior White House leaders are continuing to be paid”

On 7 October federal Judge ordered the Trump admin to provide specifics on status of any layoff plans affected agencies and whether any federal employees have been recalledback to work to carry out layoff by Friday 10 October.

A report by center for American Progress on 30 september argued that government shutdown limits ability of Trump admin to carry our firings citing guidance from the office of management and budget admitted any layoffs need to have been start before shutdown start.

Constraints on firing federal employees during shutdown largely exist becuase of Antidefficiency Act and distinction between shutdown furloughs happend during lapse in congressional appropriations and admin furloughs which department and agency procedures on how to permanent let staff go including through RIF report authored by Greta Bedekovic.

The Trump admin threat to layoff federal employees should understood goal of admin that will be pursued without a government shutdown and should not drive lawmakers decision on whether to help government funding bills.

My expectation is yes they are going to start making some decision about how to move money money around which agencies and departments are going to be impacted which programs are going to be impacted which employees are goinf to be imapcted”

The AFL-CIO largest federation of labour union in US replied to Vought post on Friday adding America Union will see you in court”

The AFGE and American Federation of State County Muncipal Employees AFSCME filed for temporary restraining order to block Trump admin from carrying out any reduction in force RIFs during shutdown.

The unions filed an emergency motion for temporary restraining order on Friday following Vought post.

Less Saunders president of AFSCME said

These mas firings are illegal and will have devastating effects on service millions of Americans rely on every day.

Its food inspectors public safety workers or countless other public service workers who keep America running federal employees should not be bargaining chip in this admin political games.

US Federal government shutdown 2025

Donald Trump

“By illegally firing these workers the admin is not targeting federal employees it is hurting their families and communites they serve every day.

We pursue every available legal avenue to stop admin unlawful attacks on public service workers freedom and jobs”

Important Spending Bill Approved by US Senate to Prevent Government Shutdown

Early on Saturday morning, the US Senate cleared a crucial spending bill, preventing a government shutdown that would have jeopardised federal services and holiday plans.

Minutes after the midnight deadline, the Senate voted 85-11 to approve the House’s proposal, guaranteeing government financing through mid-March 2025.

Political and Economic Effects

1. Avoided Economic Effects of a Shutdown

Industry insiders had cautioned about the potential costs of a government closure over the holidays

There is now reprieve for more than 800,000 government employees who were in danger of unpaid furloughs.

2. Awaiting the signature of President Biden

President Joe Biden is now anticipated to sign the proposal into law.

By doing this, financing will be guaranteed through March 14, allowing legislators more time to deal with long-term financial issues.

Highlights of the Bill’s Funding

The bill contains important allocations like:

The extension of food assistance programs that are about to expire
These clauses are intended to maintain stability and provide necessary services in the months ahead

Ten billion dollars for farmers

$100 billion for relief efforts

 

Historical Background: Government Closures

During Donald Trump’s first term, the last major government shutdown lasted 35 days, affecting governmental operations and costing billions of dollars.

Market turbulence has also resulted from previous disagreements over the debt ceiling, highlighting how urgent it is to address fiscal challenges in 2024.

The Debt Ceiling: An Imminent Problem

 

To prevent a fiscal disaster, the $36 trillion federal government has to obtain more borrowing authority by the middle of 2024.

.The spending bill does not address the debt ceiling, even while it temporarily fixes funding problems.

federal government shutdown

federal government shutdown

Political Repercussions

Reactions to the spending package have been conflicting:

Citing worries about the growing national debt, some Republicans rejected the plan, notably Representative Rich McCormick

Democratic Concerns: Hakeem Jeffries, the House Democratic Leader, highlighted lost chances, including the debt ceiling.

House Speaker Mike Johnson, who is a Republican, referred to it as a “necessary step” to stabilise government operations.

Difficulties and Debates Concerning Bill Trump’s Influence and Opposition

In his opposition to the previous version of the plan, President-elect Donald Trump called for a five-year extension of the debt ceiling.

Due to the considerable delays caused by his persistence, House Speaker Mike Johnson was forced to make revisions to the package.

Billionaire Elon Musk, who is currently leading the newly established Department of Government Efficiency, backed Trump’s position, igniting discussions about outside influences on legislative choices.

What Comes Next?

The funding package is anticipated to be signed into law by President Joe Biden, ensuring government operations for the ensuing three months.

Nonetheless, the impending budget talks and debt ceiling controversy will take centre stage in early 2025, influencing both the political and economic environment.

Tensions between Partisans

Although the package had bipartisan support, Democrats objected to compromises made to please conservative senators, and some Republicans criticised the lack of expenditure cutbacks.

Rep. Rosa DeLauro raised worries about oligarchic meddling and questioned Musk’s involvement in draughting the legislation.

Effect on the National Debt

A crucial issue remains unresolved when a debt ceiling agreement is excluded.

To prevent a financial disaster, the federal government needs to negotiate an increase in borrowing ability by early 2025.

Democrats and Republicans have decided to bring up this topic again, maybe tying it in with more general talks on budget cutbacks and tax reforms.

What Speaker Mike Johnson Can Expect in the Future

There are concerns about Speaker Mike Johnson’s leadership as he deals with growing criticism from his own party.

To keep his job, Johnson must strike a balance between bipartisan cooperation and party allegiance as Trump loyalists push for tougher budgetary measures.

Economic Effects of Avoiding a Shutdown

A government shutdown might have interfered with military activities, national parks, and law enforcement.

Cost the economy $1 billion every week, particularly when people are travelling for the holidays.

In conclusion

This budget bill’s passage is a crucial step towards preventing immediate financial instability.

However, Congress still faces a difficult path ahead due to unsolved issues including the impending debt ceiling.

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