Trump warns of mass layoffs, permanent cuts to Democrats’ ‘favorite projects’ amid govt shutdown

WASHINGTON, DC: President Donald Trump intensified the standoff with Democrats on Thursday, October 2, threatening to permanently cut federal projects and order mass layoffs from agencies tied to the party as the government shutdown entered its third day.

Trump’s comments came during an interview with One America News Network, where he framed the shutdown as an opportunity to eliminate what he described as “Democrat agencies” and programs, further escalating partisan tensions while negotiations remain stalled.

Donald Trump threatens 'permanent' project cuts

Speaking in the interview, Trump issued a direct warning to Democrats, “We could cut projects that they wanted, favorite projects, and then they'd be permanently cut.”

He said he was actively consulting with Russ Vought, director of the Office of Management and Budget, to identify programs that could be slashed. “We’re meeting with Russ to determine which of the many Democrat Agencies, most of which are a political SCAM, he recommends to be cut,” Trump added.

The remarks signal Trump’s intent to use the shutdown not only as leverage in funding negotiations but also as a means to reshape the federal workforce by targeting programs he views as partisan.

White House signals job losses ahead

White House Press Secretary Karoline Leavitt later reinforced the president’s stance, confirming that the administration anticipates widespread layoffs if the shutdown continues.

“Thousands of people will likely be laid off,” Leavitt told reporters, specifying that the reductions would focus on “Democrat agencies.”

This marks one of the clearest indications yet that the administration is preparing to use the shutdown as a tool for long-term restructuring rather than simply a temporary bargaining chip.

Shutdown stretches into third day

The government shutdown began just after midnight Wednesday when a Republican-backed spending bill failed in the Senate by a 55–45 vote, falling short of the 60 votes needed to move forward.

The failed measure deepened the partisan divide, with Democrats unified in opposition and several Republicans breaking ranks. The impasse has left federal operations in uncertainty, with non-essential services already scaling back and thousands of workers facing furloughs.

With no immediate compromise in sight, lawmakers are preparing for another vote scheduled for Friday afternoon. Whether the renewed effort will lead to a resolution remains unclear, as neither party has indicated significant movement in their positions.