September 24, 2025
On the federal budget / avoid a federal government shutdown front, it is sheer chaos with President Trump abruptly cancelling a meeting that was requested (and was on the books) by Senator Schumer and House Minority Leader Hakeem Jeffries – to try to reach a deal to avoid a federal government shutdown on September 30 at 11:59PM. House Republicans are fighting in house over how to they should proceed with public shaming and blaming of the Dems for their being unwilling to do a deal (to avert a shutdown) that fails to rescind Medicaid cuts enacted in the so called ‘One Big Beautiful Bill’. They are also demanding an extension of Medicare telehealth flexibilities, and restoration of tax credit subsidies for some Americans that purchase insurance through the federal/state, or state health insurance exchanges established under the ACA.
As the result of all this, we have breaking news (below) from the White House via Politico (i’m speechless):
White House to agencies: Prepare mass firing plans for the shutdown
09/24/2025 08:27 PM EDT
The White House budget office is instructing federal agencies to prepare reduction-in-force plans for mass firings during a possible government shutdown, specifically targeting employees who work for programs that are not legally required to continue.
The Office of Management and Budget move to permanently reduce the government workforce if there is a shutdown, outlined in a memo shared with POLITICO ahead of release to agencies tonight, escalates the stakes of a potential shutdown next week.
In the memo, OMB told agencies to identify programs, projects and activities where discretionary funding will lapse on Oct. 1 and no alternative funding source is available. For those areas, OMB directed agencies to begin drafting RIF plans that would go beyond standard furloughs, permanently eliminating jobs in programs not consistent with President Donald Trump’s priorities in the event of a shutdown.
The move marks a significant break from how shutdowns have been handled in recent decades, when most furloughs were temporary and employees were brought back once Congress voted to reopen government and funding was restored. This time, OMB Director Russ Vought is using the threat of permanent job cuts as leverage, upping the ante in the standoff with Democrats in Congress over government spending.
“Programs that did not benefit from an infusion of mandatory appropriations will bear the brunt of a shutdown,” OMB wrote in the memo. Agencies were told to submit their proposed RIF plans to OMB and to issue notices to employees even if they would otherwise be excepted or furloughed during a lapse in funding.
Programs that will continue regardless of a shutdown include Social Security, Medicare, veterans benefits, military operations, law enforcement, Immigration and Customs Enforcement, Customs and Border Protection and air traffic control, according to an OMB official granted anonymity to share information not yet public.
The guidance comes as Republicans and Democrats on Capitol Hill are locked in an impasse over funding, with just days before the fiscal year ends Sept. 30. The House passed a stopgap spending measure to float federal operations through Nov. 21, but Democrats in the Senate have refused to advance it, demanding that Republicans come to the table to negotiate a bipartisan package that could include an extension of expiring Affordable Care Act subsidies.
The OMB letter notes that if Congress successfully passes a clean stopgap bill prior to Sept. 30, the additional steps outlined in this email will not be necessary.