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Trump’s federal layoffs during shutdown: What you need to know

The White House is using mass firings as leverage in a budget standoff, affecting thousands of federal workers across key agencies.

October 13, 2025 / 13:59 IST
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Trump administration triggers federal layoffs
Trump administration triggers federal layoffs

The US government shutdown, now stretching past its tenth day, has entered a new and more disruptive phase. On Friday, the Trump administration began executing mass layoffs of federal employees, a step that goes beyond the furloughs typical of past shutdowns. The move, driven by White House budget director Russell Vought, is intended to pressure Democrats in US Congress to agree to a Republican short-term spending plan. But it has already sparked legal battles and inflamed partisan tensions, the Wall Street Journal reported.

Who is losing their jobs?

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According to administration filings, about 4,000 federal workers will be cut in the first wave. The US Treasury Department is expected to lose more than 1,400 employees, while US Health and Human Services will shed up to 1,200. Education and Housing and Urban Development are each set to lose more than 400 staff members. These layoffs come on top of the roughly 100,000 workers who have already fallen off the government payroll since the shutdown began on October 1. For many, this week will mark the first missed pay-cheque.

Legal challenges already underway