11 Oct 2025

White House lays off thousands of US government workers, blaming shutdown

10:51 pm on 11 October 2025

By Ahmed Aboulenein, Andy Sullivan, Nathan Layne and Courtney Rozen, Reuters

Capitol Hill is seen on the third day of the US government shutdown in Washington, DC, on 3 October, 2025

Capitol Hill in Washington. Photo: AFP / Alex Wroblewski

President Donald Trump has blamed Democrats for his decision to lay off thousands of workers across the US government, as he follows through on his threat to cut the federal workforce during the government shutdown.

Job cuts were under way at the Treasury Department, the US health agency, the Internal Revenue Service, and the departments of education and commerce, and Homeland Security's cybersecurity division, spokespeople said, but the total extent of the layoffs was not immediately clear.

About 300,000 federal civilian workers were already leaving their jobs this year, due to a downsizing campaign initiated earlier this year by Trump.

"They started this thing," Trump told reporters during an event in the Oval Office, calling the job cuts "Democrat-oriented". Trump's Republicans hold majorities in both chambers of Congress, but need Democratic votes in the US Senate to pass any measure that would fund the government.

Democrats are holding out for an extension of health-insurance subsidies, arguing health costs will increase dramatically for many of the 24 million Americans who get their coverage through the Affordable Care Act. Trump has repeatedly threatened to fire federal workers during the shutdown standoff, in its 10th day on Friday, and has suggested his administration will aim primarily at parts of the government championed by Democrats.

Trump has also ordered the freezing of at least US$28 billion (NZ$48.9b) in infrastructure funds for New York, California and Illinois - all home to sizable populations of Democratic voters and critics of the administration. In a court filing, the Justice Department said more than 4200 federal employees had received layoff notices at seven agencies, including more than 1400 at the Treasury Department, and at least 1100 at the Department of Health and Human Services.

US President Donald Trump speaks in the Oval Office of the White House.

US President Donald Trump said Democrats "started this thing". Photo: AFP / SAUL LOEB

Democrats say they won't relent

Democrats said they would not cave to Trump's pressure tactics.

"Until Republicans get serious, they own this - every job lost, every family hurt, every service gutted is because of their decisions," Senate Democratic leader Chuck Schumer said.

Labour unions representing federal workers have sued to stop the layoffs, saying they would be illegal during a shutdown.

In a Friday court filing, the administration said that the unions' request should be denied, because they lacked the legal right to sue over federal personnel decisions.

US Senate minority leader Democrat Chuck Schumer at a press conference on the Trump Administration's federal air freeze, at the US Capitol on 29 January, 2025 in Washington, DC

Senate Democratic leader Chuck Schumer Photo: AFP/ Getty - Kevin Dietsch

A federal judge is due to hear the case on 16 October.

By law, the government must give workers 60 days' notice before any layoffs, although that can be shortened to 30 days. Some Republicans objected to the layoffs, including Senator Susan Collins, the chair of the Senate Appropriations Committee.

"Regardless of whether federal employees have been working without pay or have been furloughed, their work is incredibly important to serving the public," Collins said.

Targeting furloughed workers

Earlier in the day, White House budget director Russell Vought wrote on social media, "The RIFs had begun", referring to so-called reductions in force. A spokesperson for the budget office characterised the cuts as "substantial", without offering further details.

The announcement came on the same day that many federal workers were due to get reduced paycheques that did not include any pay for the days since the shutdown began. Hundreds of thousands have been ordered not to report to work, while others have been ordered to keep working without pay.

The nation's two million active-duty troops will miss their 15 October paycheque entirely, if the shutdown is not resolved before then.

Employees across divisions of the Department of Health and Human Services have received layoff notices, communications director Andrew Nixon said. The 78,000 workers at the sprawling agency monitor disease outbreaks, fund medical research and perform a wide range of other health-related duties. Nixon said the layoffs were targeted at agency staff who had been ordered not to work, but did not provide further details.

About 41 percent of agency staff have been furloughed.

Layoffs have also begun at the Treasury Department, according to a spokesperson who requested anonymity.

IN a court filing, Labour union official Thomas Huddleston of the American Federation of Government Employees said he had been told Treasury was preparing 1300 layoff notices. Those layoffs could hit the tax-collecting Internal Revenue Service, which has been targeted for steep job cuts this year.

Some 46 percent of the agency's 78,000 employees were furloughed on Wednesday.

Layoffs have also begun at the Department of Housing and Urban Development, the union said. Officials also confirmed job cuts at the Education Department, which Trump has vowed to shutter completely, and the Commerce Department, which handles weather forecasting, economic data reports and other tasks.

Other media outlets reported layoffs at the Environmental Protection Agency, the Department of Energy and the Department of Interior. Spokespeople at those agencies did not immediately respond to requests for comment.

The Department of Homeland Security said layoffs were taking place at the Cybersecurity and Infrastructure Security Agency, which incurred Trump's wrath after the 2020 election, when its director said there was no evidence voting systems were compromised. Trump falsely claims he lost that election to Democrat Joe Biden, due to voter fraud.

The Department of Transportation and the Federal Aviation Administration are not affected, according to a source familiar with the situation.

-Reuters

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