WASHINGTON, Oct 6 — The White House has warned that it will initiate mass layoffs of federal employees if negotiations with congressional Democrats to end the partial government shutdown are judged to be “absolutely going nowhere,” a senior official stated on Sunday.
The announcement came as the shutdown, triggered by a dispute over healthcare and funding, entered its fifth day with no tangible talks underway.
US President Donald Trump fueled the urgency late Sunday when, asked by reporters when layoffs would begin, he replied, without further detail: “It’s taking place right now.”
White House National Economic Council Director Kevin Hassett told CNN that he still saw a chance Democrats would yield, potentially avoiding the costly layoffs threatened by White House budget director Russell Vought. Hassett noted that top officials are “lining things up and getting ready to act if they have to.”
The partial shutdown began on October 1, the start of the federal fiscal year, after Senate Democrats blocked a short-term funding measure. The primary points of contention are:
Democrats are seeking a permanent extension of enhanced premium tax credits to help Americans buy private health insurance through the Affordable Care Act (ACA), often called Obamacare.
Senate Majority Leader John Thune expressed willingness to address healthcare concerns but insisted Democrats must first agree to reopen the government.
Senate Democratic leader Chuck Schumer told CBS that there are no signs of negotiations and the impasse can only be solved by further talks between Trump and the four congressional leaders. “They’ve refused to talk with us,” Schumer said.
The Senate is scheduled to vote again on Monday on both the Republican-backed stopgap funding bill (which has passed the House) and a Democratic alternative.
Neither measure is expected to advance, as both require 60 votes. With Republicans holding a slim majority and needing at least eight Democratic votes, Democratic Senator Ruben Gallego told CNN that the two sides were currently “not” closer to a deal.
