White House tells agencies to prep for layoffs if Congress misses funding deadline

The White House's Office of Management and Budget warned federal agencies of mass
layoffs if Congress doesn't pass a government funding bill ahead of the Sept. 30 deadline.

The White House directed federal agencies to prepare reduction-in-force plans in case Congress fails to pass funding by October 1, 2025. The Office of Management and Budget (OMB) memo asks agencies to identify programs that would lose discretionary dollars or lack alternative funding and to be ready to issue layoff notices in addition to standard shutdown furlough steps. 

The guidance marks a departure from typical shutdown playbooks that focus on temporary furloughs until funding resumes. Major outlets report that agencies were told to consider RIF notices for employees tied to projects “not consistent with the President’s priorities,” as well as those that lose funding on October 1. Federal workforce publications say the memo would add RIF notices on top of any furlough letters. RIFs are permanent actions with specific legal steps; furloughs are temporary. Labor and management experts immediately questioned whether agencies can design and execute lawful RIFs on such short timelines. 

What happens during a lapse is defined by law. OPM guidance says activities funded by annual appropriations must stop unless excepted by statute; essential operations continue. By contrast, a RIF that permanently separates or downgrades employees requires formal notice and process under federal rules.  Notice requirements matter for timing. OPM states employees are generally entitled to 60 days’ written notice before a RIF takes effect; in unforeseen situations, an agency may seek OPM approval to shorten to no fewer than 30 days. That means immediate “same-week” firings at shutdown would face legal and procedural hurdles. 

Administration officials and allies frame the directive as part of a broader effort to reshape and downsize government, while critics call it intimidation that uses federal workers as leverage in a funding fight. News coverage notes Democrats object to tying permanent cuts to a short-term shutdown scenario and suggest legal challenges are likely.  Separately, OMB said contingency plans—which traditionally list who is excepted, who is furloughed, and how services continue—will be posted by individual agencies on their own websites rather than on a single OMB page, making public tracking more diffuse than in past shutdowns. 

For employees and the public, several basics remain. Essential services such as national security, law enforcement, and air traffic control continue during a lapse; benefits like Social Security typically remain operational. But if RIF notices are ultimately issued and finalized, separations would occur only after required notice periods and appeal rights run their course. 

If Congress passes funding before deadlines, the memo indicates RIF plans would not be implemented. Until then, agencies are updating shutdown procedures and answering workforce questions about furloughs, pay, and benefits for any lapse in appropriations. Photos and videos available on request: recent OMB briefings, explainers on furlough vs. RIF, and agency contingency plan pages; PBS NewsHour segments summarizing the policy shift can also provide useful clips. 


Complete reference list 

Reuters – White House threatens sharp cuts in U.S. workforce; agencies told to prepare RIF plans
https://www.reuters.com/world/us/white-house-tell-agencies-prepare-mass-firing-plans-possible-shutdown-politico-2025-09-25/?utm

Washington Post – White House begins plan for mass firings if there’s a government shutdown
https://www.washingtonpost.com/business/2025/09/25/government-shutdown-omb-firings-trump/?utm

Government Executive – Agencies should prep for mass layoffs if shutdown occurs, White House says
https://www.govexec.com/management/2025/09/agencies-should-prep-mass-layoffs-if-shutdown-occurs-white-house-says/408364/?utm

Federal News Network – Feasibility of RIFs around a government shutdown called into question
https://federalnewsnetwork.com/government-shutdown/2025/09/feasibility-of-rifs-around-a-government-shutdown-called-into-question/?utm

OPM – Guidance for shutdown furloughs
https://www.opm.gov/policy-data-oversight/pay-leave/furlough-guidance/?utm

OPM – Reductions in Force (RIF) overview
https://www.opm.gov/policy-data-oversight/workforce-restructuring/reductions-in-force-rif/?utm

OPM – RIF Basics (notice requirements)
https://www.opm.gov/policy-data-oversight/workforce-restructuring/reductions-in-force-rif/rif-basics.pdf?utm

eCFR – 5 CFR Part 351 (RIF regulations)
https://www.ecfr.gov/current/title-5/chapter-I/subchapter-B/part-351?utm

CBS News – Memo tells agencies to consider RIF notices alongside furloughs
https://www.cbsnews.com/news/white-house-trump-layoffs-omb-government-shutdown/?utm

Federal News Network – OMB: contingency plans posted on agency sites
https://federalnewsnetwork.com/federal-newscast/2025/09/omb-says-agency-contingency-plans-will-only-be-available-on-each-agency-website/?utm

FedSmith – What continues and who is excepted if a shutdown occurs
https://www.fedsmith.com/2025/09/25/white-house-prepares-rif-plans-as-shutdown-standoff-deepens/?utm

Partnership for Public Service – Reductions in Force: employee rights and timelines
https://ourpublicservice.org/wp-content/uploads/2025/04/Partnership-for-Public-Service_Reductions-In-Force.pdf?utm

PBS NewsHour – White House threatens mass federal firings if Congress fails to avoid a shutdown
https://www.pbs.org/newshour/show/white-house-threatens-mass-federal-firings-if-congress-fails-to-avoid-a-shutdown?utm


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@1TheBrutalTruth1 Sept 2025 Copyright Disclaimer under Section 107 of the Copyright Act of 1976: Allowance is made for “fair use” for purposes such as criticism, comment, news reporting, teaching, scholarship, education, and research.

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