Senate again votes against ending shutdown, something White House said would trigger layoffs

The Senate on Monday once again rejected proposals to reopen the government, raising the prospect of widespread layoffs across federal agencies. 

As they did several times last week, all but three Democrats rejected a House-backed continuing resolution to reopen agencies through Nov. 21, denying the legislation the 60 votes required for its passage. Democrats and Republicans remain divided and no clear path toward resolving the impasse has emerged.

The vote came on the shutdown’s sixth day amid ongoing threats from the Trump administration that agencies will leverage the funding lapse to implement layoffs across government. Multiple officials indicated Monday’s vote was Democrats’ final opportunity to fund the government without reduction-in-force notices being sent out. 

“There will be a team of people in the Oval [Office] with the president hoping that we're going to get the government to stop being shut down,” said Kevin Hassett, director of the White House’s National Economic Council, said on CNBC Monday, referencing the Senate vote Monday evening, “but if not, then I would guess that that team in the Oval is going to start taking sharp measures.”

White House Press Secretary Karoline Leavitt on Monday reiterated that layoffs would be “an unfortunate consequence” of the shutdown continuing. 

Asked about the timing for RIF notices to go out, Leavitt said, “We’ll see how the vote goes tonight.” 

President Trump said a failed Senate vote on Monday “could” lead to layoffs and “at some point, it will.” Trump has said the layoffs will target “Democrat agencies,” which Hassett clarified meant agencies that typically align with Democratic priorities. 

Senate Democrats continue to demand that as part of any deal to reopen government Congress address the dramatic premium increase set to hit at the end of the year for those receiving health insurance through the Affordable Care Act. Republicans have not backed down from their position that they will only negotiate over the issue once the government is reopened.

Hassett contended that Democrats will bear the blame for any layoffs that occur, though no previous shutdown has triggered such action. Typically, as in the current lapse, shutdowns lead to large numbers of employees being sent home on furlough, who are then recalled when the government reopens. Under a provision Trump signed into law in his first term, those employees are now guaranteed back pay. 

More than 620,000 employees are currently furloughed, a number that will continue to climb as the shutdown drags on. 

“Any government worker who loses their job due to RIFs after another failed attempt to negotiate is really going to be there because the Democrats are being intransigent,” Hassett said. 

How lawmakers resolve the current impasse remains unclear. Senate Minority Leader Chuck Schumer, D-N.Y., showed no signs of backing down on Monday, saying from the Senate floor that he was ready to negotiate and Republicans were refusing to do so.

In addition to the layoff threat, administration officials sought to raise the shutdown stakes by emphasizing the impacts of the lapse. Transportation Department Secretary Sean Duffy said on Monday the Federal Aviation Administration has seen a “slight tick up” in employees calling out sick since the shutdown began. FAA’s air traffic controllers are forced to work without immediate pay during a funding lapse. They have yet to actually face delayed pay due to the timing of paycheck delivery, though Duffy noted checks sent to their accounts next week would be missing pay from the first few days of the shutdown.

“If we have additional sick calls, we will reduce the flow consistent with a rate that's safe for the American people,” Duffy said of the possibility of canceling flights.

Senate Majority Leader John Thune, R-S.D., said on the Senate floor Monday that the shutdown is putting a food program aimed at women, infants and children at risk.

“They own any lapse in funding for critical food aid programs, just as they own every other negative effect of the shutdown,” Thune said.