White House budget office tells agencies to draft mass firing plans ahead of potential shutdown

WASHINGTON — The White House is telling agencies to prepare large-scale firings of federal workers if the government shuts down next week.

In a memo released Wednesday night, the Office of Management and Budget said agencies should consider a reduction in force for federal programs whose funding would lapse next week, are not otherwise funded and are “not consistent with the President’s priorities.” That would be a much more aggressive step than in previous shutdowns, when federal workers not deemed essential were furloughed but returned to their jobs once Congress approved government spending.

A reduction in force would not only lay off employees but eliminate their positions, which would trigger yet another massive upheaval in a federal workforce that has already faced major rounds of cuts this year due to efforts from the White House’s cost-cutting team the Department of Government Efficiency, and elsewhere in the Trump administration.

Once any potential government shutdown ends, agencies are asked to revise their reduction in force plans “as needed to retain the minimal number of employees necessary to carry out statutory functions,” according to the memo, which was first reported by Politico.

This move from OMB significantly increases the consequences of a potential government shutdown next week and escalates pressure on Senate Minority Leader Chuck Schumer and House Minority Leader Hakeem Jeffries. The two leaders have kept nearly all of their Democratic lawmakers united against a clean funding bill pushed by President Trump and congressional Republicans that would keep the federal government operating for seven more weeks, demanding immediate improvements to healthcare in exchange for their votes.

In statements issued shortly after the memo was released, the two Democrats showed no signs of budging.

“We will not be intimidated by your threat to engage in mass firings,” Jeffries wrote in a post on X. “Get lost.”

Jeffries called Russ Vought, the head of OMB, a “malignant political hack.”

Schumer said in a statement that the OMB memo is an “attempt at intimidation” and predicted the “unnecessary firings will either be overturned in court or the administration will end up hiring the workers back.”

OMB noted that it held its first planning call with other federal agencies earlier this week to plan for a shutdown. The budget office plays point in managing federal government shutdowns, particularly planning for them ahead of time. Past budget offices have also posted shutdown contingency plans — which would outline which agency workers would stay on the job during a government shutdown and which would be furloughed — on its website, but this one has not.

The memo noted that congressional Democrats are refusing to support a clean government funding bill “due to their partisan demands,” which include an extension of enhanced health insurance subsidies set to expire at the end of the year, plus a reversal of Medicaid cuts that were included in Republicans’ big tax and spending cuts law.

“As such, it has never been more important for the Administration to be prepared for a shutdown if the Democrats choose to pursue one,” the memo reads, which also notes that the GOP’s signature law, a major tax and border spending package, gives “ample resources to ensure that many core Trump administration priorities will continue uninterrupted.”

OMB noted that it had asked all agencies to submit their plans in case of a government shutdown by Aug. 1.

“OMB has received many, but not all, of your submissions,” it added. “Please send us your updated lapse plans ASAP.”

What closes during a shutdown?

All administrations get some leeway to choose which services to freeze and which to maintain in a shutdown.

The first Trump administration worked to blunt the impact of what became the country’s longest partial shutdown in 2018 and 2019. But in the selective reopening of offices, experts say they saw a willingness to cut corners, scrap prior plans and wade into legally dubious territory to mitigate the pain.

During the 35-day partial shutdown in Trump’s first term, roughly 340,000 of the 800,000 federal workers at affected agencies were furloughed. The remainder were “excepted” and required to work.

What government work continues during a shutdown?

FBI investigators, CIA officers, air traffic controllers and agents manning airport checkpoints continue to work. So do members of the Armed Forces.

Those programs that rely on mandatory spending also generally continue during a shutdown. Social Security checks continue to go out. Seniors who rely on Medicare coverage can still go see their doctor and healthcare providers can still submit claims for payment and be reimbursed.

Veteran healthcare also continues during a shutdown. VA medical centers and outpatient clinics will be open and VA benefits will continue to be processed and delivered. Burials will continue at VA national cemeteries.

Will furloughed federal workers get paid?

Yes, but not until the shutdown is over.

Congress has historically acted after shutdowns to pay federal workers for the days they were furloughed, though there were no guarantees it would do so. In 2019, however, Congress passed a bill enshrining into law the requirement that furloughed employees get retroactive pay once operations resume.

While they will eventually get paid, the furloughed workers as well as those who remain on the job may have to go without one or more of their regular paychecks. Service members would receive back pay for any missed paychecks once federal funding resumes.

Will I still get mail?

Yes, the U.S. Postal Service is not affected by a government shutdown. The U.S. Postal Service is an independent entity that is funded through the sale of its products and services, and not by tax dollars.

Kim writes for the Associated Press. AP writer Kevin Freking contributed to this report.