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Trump Threatens Federal Firings as Shutdown Deadline Nears

Trump Threatens Federal Firings as Shutdown Deadline Nears

With Washington gridlocked and a funding deadline only hours away, the U.S. is on the verge of its first government shutdown since 2019.

Vice President JD Vance bluntly warned that “we’re headed into a shutdown,” while President Donald Trump signaled he may take the unprecedented step of permanently dismissing federal workers if agencies close.

The impasse stems from a fierce battle over health-care policy. Democrats are pressing to extend Affordable Care Act subsidies and reverse Medicaid cuts embedded in Trump’s earlier tax package. Republican leaders, meanwhile, argue for a temporary spending bill stripped of concessions, saying Democrats are “holding the government hostage.”

Blame Game Intensifies

Both parties are already working to shape the political fallout. Trump told reporters that “people that are smart” will blame Democrats, not him, for any shutdown. Republican leaders have leaned into the phrase “Schumer shutdown,” while Democrats counter that GOP negotiators are refusing to even consider bipartisan proposals.

Senate Majority Leader Chuck Schumer accused Republicans of presenting a “my-way-or-the-highway” bill with no Democratic input. House Democratic Leader Hakeem Jeffries said his caucus won’t agree to vague promises to revisit health-care policy later, warning that millions could see premium spikes if subsidies are allowed to lapse.

Uncertain Outcomes

Past shutdowns have eventually ended with workers rehired and back pay distributed. This time could be different: agencies have been ordered to draft contingency plans for mass firings. While none have yet confirmed actual dismissals, the mere threat is rattling federal employees.

Lawmakers have floated potential compromises – including phasing down the ACA subsidies over several years – but the midnight deadline leaves little time for a deal. Some Republicans believe Democrats will ultimately relent, while others, like Senator Lindsey Graham, predict only a “brief” shutdown before a face-saving resolution.

What’s clear is that both sides are digging in, with Democrats under pressure from progressives not to retreat, and Trump positioning himself as unyielding. As Vance acknowledged, optimism is scarce: “We’re going to see.”

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Reporter at Coindoo

Alexander Zdravkov is a person who always looks for the logic behind things. He has more than 3 years of experience in the crypto space, where he skillfully identifies new trends in the world of digital currencies. Whether providing in-depth analysis or daily reports on all topics, his deep understanding and enthusiasm for what he does make him a valuable member of the team.

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