White Home Nationwide Financial Adviser Kevin Hassett talks to reporters on the West Wing driveway on the White Home in Washington, D.C., U.S., August 27, 2025.
Jonathan Ernst | Reuters
White Home Nationwide Financial Council Director Kevin Hassett stated Sunday that layoffs for federal workers will start if President Donald Trump decides that congressional negotiations to finish the federal government shutdown “are completely going nowhere.”
“I feel that everyone’s nonetheless hopeful that once we get a contemporary begin at first of the week, that we are able to get the Democrats to see that it is simply widespread sense to keep away from layoffs like that,” Hassett stated on CNN’s “State of the Union.”
His feedback come because the authorities shutdown enters its fifth day, with no clear offramp in sight.
Democrats are holding their floor on their health-care calls for, pushing to incorporate a everlasting extension of enhanced premium tax credit in any authorities funding laws.
Republicans, nevertheless, argue that these conversations ought to occur in December — not as a part of authorities shutdown negotiations — escalating the standoff.
Democrats proceed to dig in on their calls for because the shutdown enters a brand new week.
The Trump administration has repeatedly warned of mass layoffs throughout a authorities shutdown, saying final week that they’d be “imminent.”
Trump additionally stated that the shutdown provided him an “unprecedented alternative” to slash the dimensions of federal companies and lay off authorities employees, though the administration has not but adopted by means of on its menace.
Hassett stated Sunday that Trump and Workplace of Administration and Price range Director Russ Vought are “lining issues up and on the point of act in the event that they must, however hoping that they do not.”
Nonetheless, Hassett expressed optimism that negotiations this week may resolve the deadlock.
“We predict the Democrats, there’s an opportunity that they will be cheap as soon as they get again into city on Monday,” Hassett stated on CNN.
“And if they’re, then I feel there isn’t any cause for these layoffs.”