Elon Musk Leads Trump's New Advisory Body to Slash Government Spending

A newly formed advisory body, created by former U.S. President Donald Trump and led by billionaire Elon Musk, has been given the ambitious task of cutting government jobs and reducing federal spending.

Musk, the world’s richest man, is spearheading this initiative, aiming to streamline operations and eliminate what he views as unnecessary taxpayer expenditures. However, the effort has been met with legal hurdles, accusations of conflicts of interest, and growing concerns about its potential impact on government functions.

Defending the initiative in a White House press briefing, Musk dismissed criticisms from Democratic rivals who argue that his involvement represents a “hostile takeover” of the federal government. He insisted that the goal is purely fiscal responsibility. Polls indicate that reducing government spending has broad public support, particularly among conservative voters.

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What is Doge?

Despite its formal-sounding name, the Department of Government Efficiency (Doge) is not an official government department. Unlike traditional agencies established through congressional approval, Doge was created via an executive order from Trump and serves as an advisory group. It operates with dedicated teams assigned to various federal agencies and is expected to complete its work by July 2026.

A significant part of Doge’s mission involves modernizing government IT systems to improve efficiency. Notably, many of its staff members are young professionals with backgrounds in technology.

Musk’s Role and Net Worth

Is Musk a government employee? Technically, yes. Initially, he stated that he would serve as an outside volunteer, but the White House later clarified that he holds the designation of an unpaid special government employee. This status applies to individuals working for the government for fewer than 130 days per year.

Supporters of Doge argue that its independent nature and Musk’s outsider perspective will help cut through bureaucratic red tape. Republican Senator Kevin Cramer of North Dakota expressed optimism, telling the BBC, “They’re not bogged down by the usual bureaucracy, and that’s precisely what makes them effective.”

What Has Doge Achieved So Far?

Musk has positioned Doge as a crucial player in reducing government waste and tackling the national debt, which currently stands at $36 trillion. While he initially aimed to save as much as $2 trillion annually, he later tempered those expectations.

Critics, however, claim that Doge is motivated by ideological preferences rather than pure cost-cutting measures. Douglas Holtz-Eakin, a former Republican director of the Congressional Budget Office, told Reuters, “They are not targeting agencies they agree with; they are going after those they politically oppose.”

Doge’s progress remains unclear, but its social media updates frequently highlight cost-cutting measures. Some of its most notable actions include:

Sending representatives into government agencies to monitor spending, with Trump claiming—without evidence—that they have uncovered “fraud and abuse.”
Scrapping over $1 billion in contracts related to diversity, equity, and inclusion (DEI) programs.
Cutting funding to USAID, the U.S. agency responsible for foreign aid, which Musk and Trump deem wasteful.
Offering buyouts to two million federal employees in an attempt to significantly shrink the government workforce.
Trying to take control of—and potentially shut down—the Consumer Financial Protection Bureau (CFPB), an agency created to protect consumers following the 2008 financial crisis but frequently criticized by Republicans.

Public Opinion on Doge

A CBS News poll suggests that Doge has substantial public support, particularly among Republicans. However, opinions are mixed on how much influence Musk should personally wield.

The size of the federal workforce has continued to grow, with one of the biggest increases occurring in 2023 due to Biden administration investments in infrastructure. Conservative analysts argue that Doge’s work is necessary. David Ditch, a senior analyst at the Economic Policy Innovation Center, remarked, “They are shining a bright spotlight on federal spending and asking Americans whether this is how they want their tax dollars used.”

Opposition and Legal Challenges

Doge has faced significant opposition from government watchdogs, unions, and Democratic officials. Critics argue that the initiative lacks transparency and spreads misleading narratives about government spending. Musk’s deep financial ties to the federal government—his companies hold billions in government contracts—have also raised concerns about conflicts of interest. Both Musk and Trump have dismissed these allegations.

Several lawsuits have been filed against Doge, with unions and state attorneys general challenging its authority and accusing it of attempting to override Congress-approved funding. Courts have occasionally intervened to halt Doge’s actions, including blocking the group from accessing sensitive financial records held by the U.S. Treasury.

Can Musk Deliver on His Promises?

Speaking from the Oval Office, Musk acknowledged the scrutiny but maintained that American voters had chosen “common-sense” government reform. However, some experts remain skeptical about his ability to deliver on sweeping cost-cutting pledges.

Elaine Kamark, a senior fellow at the Brookings Institution, pointed out that past administrations have successfully streamlined government operations, citing her work during Bill Clinton’s presidency. But she dismissed Musk’s plan to slash a third of federal spending as unrealistic. “The majority of the budget is mandatory, including Social Security and Medicare. Cutting a third of government spending is simply not feasible.”

As Doge continues its work, the debate over its impact—and the broader role of tech billionaires in government—remains far from settled.