Mass layoffs of U.S. federal workers could begin within days as the government shutdown entered its first week, with little sign of compromise between President Donald Trump and Congress.
The shutdown began Wednesday after lawmakers failed to reach a spending deal before the midnight deadline. A Senate vote to reopen the government quickly collapsed, and the chamber is not expected to vote again until Friday.
Vice President JD Vance, appearing at a rare White House briefing alongside Press Secretary Karoline Leavitt, accused Democrats of stalling. “If they are so worried about the effect this is having on the American people, what they should do is reopen the government, not complain about how we respond,” he said.
Leavitt warned that permanent job cuts were “imminent” and could begin within two days. She said the administration was preparing agency-by-agency plans to identify layoffs.
President Trump has previously suggested that a prolonged shutdown could allow him to make permanent cuts to programs he calls “Democrat things.” On Wednesday, the White House announced it would freeze $18 billion in federal funding for infrastructure projects in New York, home to Democratic congressional leaders.
The dispute centers on health care subsidies for low-income Americans. Democrats want assurances the benefits will be protected, while Republicans are pushing a short-term funding bill to keep the government running until mid-November at current spending levels.
Senate Majority Leader John Thune accused Democrats of “taking the American people hostage,” while Senate Democratic leader Chuck Schumer said Republicans were trying to “bully” his party into backing their plan. Democrats deny Republican claims that they are seeking health benefits for undocumented migrants.
The shutdown has already begun affecting federal workers. Roughly 750,000 employees—about 40% of the federal workforce—are expected to be furloughed, while essential staff such as border agents and military personnel will continue working without pay until a deal is reached.
This is the largest shutdown since 2018, when partial funding bills softened the impact. Analysts warn the current standoff could cost the U.S. economy billions of dollars if it continues.
House Speaker Mike Johnson said Republicans would not alter their proposed short-term funding measure, setting the stage for another showdown when lawmakers return for a vote on Friday.