Executive Summary
The Story So Far
Why This Matters
Who Thinks What?
The White House budget office has instructed federal agencies to prepare plans for mass firings in the event of a government shutdown, specifically targeting programs not legally required to continue. This directive, outlined in an Office of Management and Budget (OMB) memo obtained by CNN, signals a significant departure from how previous administrations have handled shutdown scenarios and marks an escalation in the Trump administration’s standoff with congressional Democrats over federal funding.
The OMB memo directs agencies to identify programs whose funding will lapse if Congress fails to meet the September 30 deadline and which lack alternative funding sources. These programs are then to be considered for extensive reductions in force that could lead to the permanent elimination of jobs deemed “not consistent” with President Donald Trump’s priorities.
OMB stated in the memo its hope that congressional Democrats would not trigger a shutdown, rendering these steps unnecessary. An OMB spokesperson declined to comment on the memo, which was first reported by Politico.
Political Reactions
Senate Minority Leader Chuck Schumer characterized the memo as “an attempt at intimidation.” In a statement, Schumer asserted that Donald Trump had been “firing federal workers since day one—not to govern, but to scare,” adding that such firings would likely be overturned in court or require the administration to rehire workers.
Funding Showdown Intensifies
The threat of widespread job losses across the federal government is expected to further escalate the partisan funding battle in the coming week. Democrats are demanding several concessions to keep the government open into November, most notably an extension of enhanced federal subsidies for Affordable Care Act (ACA) coverage, which are slated to expire at year’s end.
The White House and congressional Republicans have so far rejected these demands, insisting on a “clean” extension of funding. Earlier this week, Trump canceled a scheduled meeting with Democratic leaders to discuss the impasse, issuing a blanket rejection of their conditions.
The OMB memo on Wednesday reiterated this firm stance, labeling the Democrats’ position as “insane” and affirming that a shutdown would still allow for the funding of “core Trump Administration priorities.” The office indicated that planning for mass firings would proceed unless Democrats adopt the administration’s position and pass a clean funding extension.
