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Threat of Federal Layoffs Looms over Washington While the Government Will Remain Closed at Least Until Friday News Channel 3-12

White House Press Secretary Karoline Leavitt said thousands of federal employees face layoffs as bipartisan talks fail to end the government shutdown.

  • On Thursday, October 2, 2025 House Democrats rejected a GOP stopgap measure 55 to 45, leaving the shutdown set to continue into Friday after repeated failed votes.
  • Democrats are offering a three- or four-week bill aligned with Nov. 1, while Republicans largely refuse deals on ACA subsidies, stalling negotiations.
  • White House Press Secretary Karoline Leavitt warned Thursday that federal layoffs are `likely going to be in the thousands` and confirmed OMB Director Russ Vought is targeting agencies for cuts.
  • According to the Congressional Budget Office, about 750,000 employees could be furloughed, costing about US$400 million per day as several agencies near closure.
  • Historical shutdowns previously resulted in more than 6.5 million days of lost work, with US$6b in lost output, US$2b in lost productivity, and US$10 million in uncollected fees, according to the Office of Management and Budget.
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Bloomberg broke the news in United States on Wednesday, October 1, 2025.
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