Thu Oct 02 16:58:02 UTC 2025: **Government Shutdown Intensifies as Trump Eyes Permanent Cuts and Mass Firings**
Washington D.C. – The government shutdown, now in its second day, has taken a sharp turn as former President Donald Trump signaled his intention to exploit the crisis for sweeping changes to the federal workforce and spending. In a post on Truth Social, Trump stated he would meet with former budget director Russ Vought to discuss “temporary or permanent” cuts, targeting what he called “Democrat agencies.”
Trump’s message explicitly embraced aspects of “Project 2025,” a conservative policy blueprint that seeks to reshape the federal government, a project Trump previously distanced himself from.
Vought appears to be taking immediate action, withholding $18 billion for New York City infrastructure projects favored by Democratic leaders Chuck Schumer and Hakeem Jeffries. Additionally, $8 billion in green energy projects in states with Democratic senators are reportedly being canceled.
Adding to the tension, the White House is reportedly preparing for mass firings of federal workers, deviating from the standard practice of furloughs during shutdowns. Press Secretary Karoline Leavitt stated layoffs were “imminent,” potentially affecting thousands of jobs.
Democrats have dismissed the threat of job cuts as intimidation, with Jeffries calling the administration’s actions “cruel.” Schumer and Jeffries have also stated they believe the mass firings would not stand up in court.
The Senate is expected to hold another vote on Friday, but Democrats are holding firm on their demands to preserve healthcare funding. With no resolution in sight, the shutdown risks dragging deeper into October, potentially impacting paychecks for federal workers. The Congressional Budget Office (CBO) estimates that roughly 750,000 federal workers would be furloughed each day, resulting in a $400 million daily loss in wages.
The CBO warns of broader economic consequences, including reduced demand and a dampening of economic output. Treasury Secretary Scott Bessent echoed this concern, stating the shutdown could hurt US economic growth.
House Speaker Mike Johnson, whose members have been off all week, told reporters that Senate leaders need to stick to an initial plan to work through the weekend in Washington. He blames Democrats and said “they have effectively turned off the legislative branch” and “handed it over to the president”.
The standoff continues, with no clear path towards a resolution.
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