In a bold move to curb government spending, the White House is taking a hardline stance that could lead to significant layoffs if Congress fails to act.
During a Thursday interview on Newsmax TV, White House National Economic Council Director Kevin Hassett highlighted the administration's aggressive push for fiscal conservatism, including a warning from the Office of Management and Budget (OMB) about potential employee terminations in the event of a government shutdown, Breitbart reported.
On Thursday, Hassett appeared on "Carl Higbie Frontline" on Newsmax TV to discuss the administration's efforts to control federal spending. The conversation quickly turned to the pressing issue of government funding.
Host Carl Higbie raised concerns about the need for Congress to adopt a more restrained approach to the budget. He pointed out that the proposed financial plan includes reduced reliance on creating new funds.
Higbie emphasized the White House's commitment to trimming expenses through various initiatives. He pressed Hassett on what it would take to drive this urgency home to lawmakers.
In response, Hassett acknowledged that substantial steps have already been taken to reduce expenditures. He referenced a recent legislative measure as evidence of progress.
Hassett then revealed a striking tactic from OMB Director Russ Vought. Vought has directly cautioned Democratic lawmakers about the consequences of failing to pass a temporary funding measure.
According to Hassett, Vought warned that without a continuing resolution, a shutdown would leave no funds to pay federal workers. In such a case, the OMB is prepared to release employees from their roles.
This approach marks a departure from previous administrations, as Hassett described it. He underscored that such a firm position has rarely been taken in past budget disputes.
Hassett praised both Vought and the president for their resolute demeanor. He suggested that this administration is not backing down from its fiscal goals.
He also issued a caution to Democrats, indicating that testing this resolve could backfire. Hassett insisted that Vought's warning is far from an empty gesture.
Reflecting on the broader context, Hassett reiterated the administration's dedication to slashing costs. He tied this latest stance to ongoing efforts for a leaner budget.
The potential for a shutdown looms as negotiations continue in Congress. The White House's message is clear: fiscal discipline must prevail, even at a high cost.
This situation underscores the tension between maintaining government operations and enforcing spending limits. It remains to be seen how lawmakers will respond to the OMB's unprecedented warning.
As the debate over funding unfolds, the administration's tough rhetoric signals a new era of budgetary battles. The outcome could reshape how fiscal policy is approached in the future.
