The White House has confirmed that mass layoffs of federal workers are imminent as the government shutdown entered its second day with no resolution in sight. Officials warned that thousands of employees may permanently lose their jobs within days if Congress fails to reach a spending agreement.
The shutdown, the first in nearly seven years, began on Wednesday after Republicans and Democrats could not agree on a new federal budget. The impasse has already sent hundreds of thousands of federal workers home without pay while others, including members of the military and border patrol, continue working without compensation.
Vice President JD Vance appeared at a rare White House briefing alongside Press Secretary Karoline Leavitt, accusing Democrats of using the crisis to score political points. He argued that if Democrats were truly concerned about the effects on the American people, they would work with Republicans to reopen the government rather than prolong the standoff.
Leavitt was more blunt, stating that layoffs could happen “very soon,” within as little as two days. She said the administration had no choice but to prepare for permanent cuts, insisting that Democrats had forced the situation by refusing to compromise.
President Donald Trump has been unapologetic in his approach, calling the shutdown an opportunity to reshape federal spending. On his Truth Social platform, he urged Republicans to seize the moment, vowing to eliminate what he described as “dead wood, waste, and fraud” from government programs.
In a move widely seen as targeting Democratic leaders, the administration also announced that $18 billion in infrastructure funding for New York City would be withheld. New York is home to Senate Majority Leader Chuck Schumer and House Minority Leader Hakeem Jeffries, both outspoken critics of Trump’s approach.
The political blame game has grown sharper by the hour. Schumer accused Republicans of trying to “bully” Democrats into accepting a short-term stopgap measure that would keep the government open until mid-November but fund agencies at current levels. Democrats have pushed back, insisting on healthcare guarantees for low-income Americans as part of any spending package.
Senator Chris Murphy of Connecticut expressed frustration, saying Republicans had walked away from genuine negotiations. “The government will open when Republicans get serious about talking to Democrats,” he said. Analysts warn that this shutdown could have wider consequences than the last one in 2018, given that fewer agencies have advance funding in place this time.
With roughly 750,000 federal workers already facing unpaid furloughs, the White House has made clear that permanent layoffs are on the table if the impasse continues. Vance repeated that warning, saying the administration could not avoid job cuts if the shutdown drags on.
Republicans, meanwhile, have tried to frame the fight around immigration and healthcare. Vance claimed that Democrats were holding up a deal because they wanted to extend healthcare benefits to undocumented migrants. Democrats flatly denied the charge, pointing out that federal law prohibits such coverage and that no Democratic proposal has sought to change that.
Jeffries called the claim false and accused Republicans of using scare tactics. “Nowhere have Democrats suggested that we’re interested in changing federal law,” he said.
Behind closed doors, Russell Vought, Trump’s budget director, briefed Republicans on what the layoffs might look like. While details remain scarce, the message was clear that federal employees should brace for cuts if Congress fails to act soon.
On Capitol Hill, the mood was grim. House Speaker Mike Johnson dismissed calls for further negotiations, saying the Republican proposal on the table was already as lean as possible. “There’s nothing to negotiate,” he told reporters.
The Senate has adjourned until Friday, meaning no vote will take place before then. That delay has fueled fears that the shutdown will stretch into the weekend and possibly longer, deepening the uncertainty for federal workers and rattling the broader economy.
For now, the standoff remains locked in partisan tension, with neither side willing to yield. The White House insists layoffs are unavoidable, Democrats demand healthcare protections, and Republicans push for temporary funding on their terms. As the shutdown enters its third day, the costs are already mounting, and the prospects for a quick resolution appear slim.