The White House’s Office of Management and Budget (OMB) recently sent a memo to federal agencies, signaling the possibility of layoffs if the government shuts down. This stress increases as Congress faces a deadline to pass a funding bill.
According to reports, the OMB’s memo advises agencies to prepare notices for potential layoffs. This applies to workers involved in programs that run out of discretionary funding by October 1, as well as those in projects that don’t align with the President’s priorities. In the event of a shutdown, workers might also receive furlough notices, sending them home without pay.
The memo states that programs funded by mandatory appropriations, like Social Security and Medicare, should remain unaffected. An OMB official emphasized this point, noting that essential services like military operations and law enforcement would continue during any shutdown.
Historically, during past shutdowns, federal workers deemed non-essential have been furloughed. They often receive back pay once operations resume, but permanent layoffs are rare. Bobby Kogan, an OMB official from the Biden administration, criticized the memo, arguing that mass firings would harm the country by losing valuable talent. He termed the actions as coercive, pushing lawmakers to meet funding demands under duress.
Reactions from political leaders have expressed concern. Senate Minority Leader Chuck Schumer called the memo intimidating, while House Minority Leader Hakeem Jeffries dismissed the threats, saying, “We will not be intimidated.” Public sentiment on social media reflects anxiety over the looming shutdown. Many users voiced frustration, with some fearing job losses and lack of essential services.
As the fiscal year ends on October 1, there is urgency to resolve funding disputes. A Republican funding bill recently failed to pass in the Senate, needing support from a handful of Democrats to move forward. Meanwhile, Democrats are pushing for concessions, such as reinstating cuts to Medicaid and extending health insurance tax credits.
Amid this tension, President Trump canceled a meeting with Democratic leaders, citing their demands as unreasonable.
In summary, the specter of layoffs and a government shutdown hangs over federal workers as Congress races against the clock to reach an agreement. As the situation evolves, the implications for public services and federal employees remain a critical concern.
For more information on government funding and its implications, check out this article from CBS News.

















