Russell Vought, the director of the Office of Management and Budget (OMB), confirmed the initiation of layoffs for federal workers amid the ongoing U.S. government shutdown. Former OMB Director Russ Vought talks to members of the press outside of the White House on Thursday, July 24, 2025. He called attention to the administration’s efforts to address the fiscal standoff.
The U.S. government shutdown that began last Monday has created plenty of fiscal chaos and logistical difficulty in most federal agencies. So on Friday, Vought bragged on social media, providing a scorecard of the administration’s most recent decisions. Here’s Secretary Buttigieg trying to justify their decision to freeze and cut billions in federal funding for important projects in states and cities led by Democrats. Vought indicates that these measures are intended as a more general strategy. The Trump administration is relying on them to get through budgetary limits imposed in this, the longest shutdown in history.
Yet Vought’s announcement alarmed federal employees and lawmakers on both sides of the aisle. As my colleague Nathan Wilcox responded, “RIFs have started and they’re huge. This goes to show just how central these reductions in force are to the administration’s plan to address the fiscal crisis.
The effect of these cuts will no doubt be felt across the board in all industries dependent on federal funding. Requiring and/or encouraging these critical programs to compete against each other for funding puts organizations and local governments that had been counting on support in dire straits. The decision to prioritize budget cuts in Democratic-led areas has sparked debate and criticism from opponents of the administration’s policies.
As the shutdown continues, there is concern among these federal workers that they could be among the first to lose their jobs as part of these layoffs. With the administration’s laser-like focus on cutting spending, the fate of many currently funded projects around the country hangs in the balance.
