Trump Administration Says Mass Layoffs Possible Amid Ongoing Shutdown

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A senior White House official said on Sunday that the Trump administration may begin mass layoffs of federal employees if negotiations with congressional Democrats to end the government shutdown do not progress. The official noted that the situation would escalate if President Donald Trump concludes that discussions are “absolutely going nowhere.”

As the partial government shutdown entered its fifth day, White House National Economic Council Director Kevin Hassett said on CNN’s State of the Union that officials still hoped Democrats would agree to a resolution soon. He indicated that if talks failed, layoffs could begin among federal staff.

“If the president decides that the negotiations are absolutely going nowhere, then there will start to be layoffs,” Hassett said. “We are still optimistic that Democrats will recognize it’s just common sense to avoid layoffs like that.”

President Trump has described the potential job cuts as “Democrat layoffs,” asserting that congressional Democrats are responsible for the ongoing shutdown. Speaking to reporters, he said, “Anybody laid off, that’s because of the Democrats.”

Trump has maintained that Democrats must cooperate to end the impasse, which began when Congress failed to approve a funding bill before the fiscal deadline. The president continues to link the shutdown to broader political disagreements over spending priorities and border security funding.

Budget Director Russell Vought warned earlier that prolonged delays could result in significant financial losses and increased strain on federal operations. While essential services such as national security and air traffic control continue to function, several agencies have already begun scaling back operations.

Officials within the administration continue to express cautious optimism that negotiations could resume. However, if talks remain stalled, the next phase could see widespread federal layoffs — a move likely to deepen political tension and increase pressure on both parties to find a resolution.