As the U.S. government shutdown stretched into its 10th day on Friday, the Trump administration triggered the first wave of federal layoffs—known in bureaucracy as "Reduction in Force" (RIF). Russell Vought, director of the White House Office of Management and Budget, confirmed the move via platform X without specifying numbers or target departments.
Sources indicate agencies including the Department of Homeland Security, the Department of Health and Human Services, and the Treasury Department are hardest hit. With roughly 2.1 million civilian federal employees nationwide, analysts warn that delays in border security, public health services, and financial operations could send shockwaves through global supply chains and investor confidence.
For young entrepreneurs and tech startups relying on timely government approvals, the shutdown means stalled permits and payment delays. "I’m waiting on a visa stamp to launch my digital consulting firm," says Alex, a 28-year-old digital nomad in Bangkok. "Every week of delay affects my clients in Europe and Asia."
Labor unions, led by the American Federation of Government Employees representing around 800,000 staff, have filed suit to challenge the firings. AFGE National President Everett Kelley called the layoffs "disgraceful" and urged Congress to negotiate an end to the deadlock.
The partisan standoff in Congress—where Democrats sought healthcare expansions in a funding bill and Republicans demanded a "clean" resolution first—shows little sign of compromise. Historically, furloughed workers receive back pay once funding is restored, but permanently cutting staff mid-shutdown breaks with tradition.
Global markets are already jittery. Early Friday trading saw U.S. Treasury yields fluctuate and tech stocks dip as investors weighed the economic fallout. From currency traders in London to investment managers in Mumbai, the shutdown’s uncertainty highlights how Washington’s gridlock reverberates worldwide.
As travelers await delayed passports and scientists lose lab access, the central question remains: when will lawmakers break the impasse? Until then, federal workers and global observers alike watch anxiously, knowing that each day of downtime deepens the economic and human toll.
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Trump administration begins layoffs on 10th day of government shutdown
cgtn.com
