The White House began significant staff reductions on Friday as the federal government shutdown entered its second week, marking one of the most consequential workforce shakeups in years.

“The RIFs have begun,” White House Office of Management and Budget (OMB) Director Russell Vought wrote on X, referring to “reductions in force.”

The RIFs have begun.

— Russ Vought (@russvought) October 10, 2025

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The announcement came amid growing uncertainty over how long the funding lapse will last and whether furloughs will become permanent.

An OMB official, speaking to Fox News Digital on condition of anonymity, confirmed that the downsizing effort would be “substantial.” The White House directed further questions to the OMB.

The federal government officially shut down at 12:01 a.m. Eastern Time on October 7 after Congress failed to pass a spending bill.

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The lapse in funding has forced federal agencies to furlough employees whose positions are not classified as essential to national security or public safety.

Under typical shutdown procedures, furloughed employees return to work once a spending agreement is reached and receive back pay.

However, this shutdown has entered uncharted territory as the Trump administration signals that certain positions may not be restored.

Officials have said the move is part of a broader effort to streamline federal operations and eliminate redundancy across agencies.

Washington, D.C., where a large share of the federal workforce is concentrated, has felt the immediate economic impact.

The downsizing comes months after Elon Musk’s Department of Government Efficiency (DOGE) advisory board called for a large-scale reduction in the size of the federal bureaucracy earlier this year.

Many of those affected now face a job market showing signs of slowing. The national unemployment rate rose to 4.3% in August, the highest level since 2021.

White House Press Secretary Karoline Leavitt reiterated the administration’s position on Monday, blaming Democrats for the continuing shutdown and the layoffs that have followed.

“This conversation about layoffs would not be happening right now if the Democrats did not vote to shut the government down,” Leavitt said during a White House press briefing.

.@PressSec, three days ago: “This conversation about layoffs would not be happening right now if the Democrats did not vote to shut the government down.”
pic.twitter.com/gDSzIybCUF

— Rapid Response 47 (@RapidResponse47) October 10, 2025

National Economic Council Director Kevin Hassett addressed the matter Sunday on CNN’s State of the Union, suggesting that the layoffs could still be avoided if Democrats agree to a compromise on funding legislation.

“If the president decides that the negotiations are absolutely going nowhere, then layoffs will start,” Hassett said.

He added that the administration remains hopeful for progress.

“We can get the Democrats to see that it’s just common sense to avoid layoffs like that. If Democrats are reasonable once they get back into town on Monday, then the president will see no reason for those layoffs.”

Why is Kevin Hassett, Director of the National Economic Council, smiling while saying this?

“If the president decides that the negotiations are absolutely going nowhere… there will start to be layoffs.”

What negotiations? Republicans aren’t even showing up to the table. pic.twitter.com/sYmc28LQPb

— Christopher Webb (@cwebbonline) October 5, 2025

The economic effects of the prolonged shutdown continue to mount. Analysts estimate that each week of halted government operations reduces U.S. economic growth by approximately 0.2%, though much of that loss is typically recovered when employees return to work and spending resumes.

Government shutdowns have become more common in recent decades, reflecting deepening divisions in Congress over federal spending and policy priorities.

Since 1976, the U.S. government has experienced 20 shutdowns.

The longest occurred from December 2018 to January 2019, when a dispute over funding for President Trump’s border wall halted operations for 34 days.

As the current impasse continues, administration officials have not given a timeline for when normal operations may resume.

The outcome now rests on whether congressional negotiators can reach a deal in the coming days to restore funding and avert further job losses across federal agencies.

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