Federal layoffs begin amid ongoing government shutdown
The Trump administration announced substantial layoffs of federal employees on October 10, 2025, as the government shutdown entered its tenth day. Court filings indicate around 4,200 workers across seven agencies are receiving reduction-in-force notices. The move has heightened tensions in Congress, with both parties blaming each other for the impasse over funding and health care subsidies.
The U.S. government shutdown, now in its tenth day, stems from a partisan standoff over federal funding. The House passed a continuing resolution on September 19 to maintain current funding levels through November 21, but Senate Democrats have rejected it seven times, most recently on October 9. Democrats demand an extension of enhanced Obamacare subsidies set to expire at year's end, alongside reversing recent Medicaid cuts, while Republicans accuse them of blocking a clean funding bill.
On October 10, Office of Management and Budget Director Russell Vought announced via social media that reduction-in-force (RIF) processes had begun, calling them 'substantial.' Court filings that day estimated 4,200 employees across agencies including Health and Human Services, Education, Housing and Urban Development, Environmental Protection Agency, and Internal Revenue Service would receive notices starting immediately. An OMB spokesperson confirmed the scale but provided no further details. President Trump told reporters it would affect 'a lot of people, all because of the Democrats.'
Affected agencies cited the shutdown and Democratic demands as reasons. HHS spokesperson Andrew Nixon stated notices targeted non-essential employees in a 'bloated bureaucracy' created under Biden, noting prior cuts of 20,000 workers. IRS employees shared notices on Reddit indicating last days of December 9 for some IT positions. A Daily Wire report specified 1,400 IRS layoffs alone, exceeding union expectations of 1,300 across the Treasury Department.
Unions condemned the action. AFGE National President Everett Kelley called it 'disgraceful' and illegal, providing critical services. Rachel Gittleman of AFGE Local 252 said it dismantles the Education Department against congressional intent. Several unions sued over the threats, arguing violations of law and historic practice.
Experts like Jessica Riedl of the Manhattan Institute noted no statute requires such layoffs during shutdowns, a departure from past ones. Senate Majority Leader John Thune said Republicans delayed as long as possible, but now 'this gets real.' Minority Leader Chuck Schumer countered, 'Nobody's forcing Trump and Vought to do this... deliberate chaos.' Sen. Susan Collins criticized the permanent layoffs of furloughed workers and noted fading bipartisan progress on subsidies post-reopening.
Speaker Mike Johnson kept the House out of session for a third week to pressure Democrats, dismissing a Democratic push for a military pay bill as a stunt. Active-duty troops, deemed essential, face missing October 15 paychecks without resolution, though back pay is expected later.