Trump warns of government shutdown as White House threatens mass federal firings

US President Donald Trump warned Thursday that a government shutdown was looming, as the White House raised the stakes in a clash with Democrats by threatening mass federal firings.

Republican Trump is in a tense showdown with congressional Democrats to agree on spending plans ahead of a fiscal deadline of midnight on September 30, after which key services will be cut.

“Could be, yeah,” Trump told reporters when asked in the Oval Office if a shutdown was likely. “Because Democrats are crazed, they don’t know what they’re doing.”

The White House earlier ordered government agencies to prepare for layoffs that would go beyond the usual practice of temporary furloughs during government shutdowns.

In a memo obtained by AFP, the White House Office of Management and Budget told federal agencies to “use this opportunity to consider Reduction in Force (RIF) notices for all employees.”

The move would add to the pain of government workers after large-scale firings masterminded by tycoon Elon Musk’s Department of Government Efficiency (DOGE) earlier this year.

Democrats have rejected Republican proposals, unless some of the spending cuts are reversed and existing health care subsidies are extended.

Democratic House Minority Leader Hakeem Jeffries responded to threat of layoffs by telling the White House to “get lost.”

“We will not be intimidated,” he told reporters, describing OMB chief Russ Vought as “totally and completely out of control.”

“The Trump administration has made their intention clear: They want to continue to fire the civil servants who are hard-working American taxpayers.”

‘Insane demands’

A shutdown would see non-essential operations grind to a halt and hundreds of thousands of civil servants temporarily left without pay.

But the White House memo also ordered agencies to submit proposed staff reduction plans, and to inform employees.

It blamed “insane demands” by Democrats and accused them of breaking what it called a 10-year trend of reaching bipartisan agreement to avoid shutdowns at the same time of year.

Shutdown battles have become a regular feature of US politics under both Republican and Democratic administrations in an increasingly paralyzed and polarized Washington.

Senate Democrats rejected a stopgap funding bill last week that was hurriedly passed by the Republican-controlled House of Representatives as it sought to avert a shutdown.

Trump in turn cancelled a meeting on Tuesday with Democratic leaders in Congress, saying he would not meet with them until they “become realistic” with their demands.

With both chambers on recess this week and senators not returning until Monday, the day before the deadline, time is running out to keep the US government funded after the end of the fiscal year.

Republicans hold a narrow majority in both chambers of Congress but, due to Senate rules, have to get some opposition support.

House Republicans warned on Friday that their members will not return before the funding deadline, forcing the Senate to vote again and accept their proposal or face a shutdown.

The bill, if passed, would still only be a temporary fix funding federal agencies through November 21.

Congress last faced a shutdown in March, when Republicans refused talks with Democrats over Trump’s massive budget cuts and the layoff of thousands of federal employees.

During the last showdown, lawmakers voted to keep the lights on through September with hours to spare, after Senate Minority Leader Chuck Schumer announced he would back the Republican-drafted proposal.