In Washington, President Donald Trump, joined by Elon Musk in the Oval Office, signed an executive order Tuesday that seeks to significantly reduce the size of the government by instructing heads of federal departments and agencies to develop plans for “large-scale reductions in force.”
Trump’s most recent order directs the federal government to implement a “workforce optimization initiative” developed by Musk’s Department of Government Efficiency, which has been rapidly shifting from one department to another to cut spending and eliminate programs.
“It is not optional to reduce federal expenses; it is essential,” Musk, wearing a black MAGA hat and joined by his son, X, said in remarks while standing next to Trump, who was seated behind the Resolute Desk. Musk described the federal bureaucracy as a “unelected, fourth, unconstitutional branch of government” that needs to be held accountable.
“The people voted for major government reform, and that’s what the people are going to get,” Musk said in response to critics who call DOGE’s involvement a hostile takeover. “That’s what democracy is all about.”
The White House ordered agency heads to “coordinate and consult with DOGE to shrink the size of the federal workforce and limit hiring to essential positions,” according to a summary of the order.
“Agency heads shall promptly undertake preparations to initiate large-scale reductions in force, consistent with applicable law,” according to the directive. It specifies that “all offices that perform functions not mandated by statute or other law” should be prioritized during the cuts.
Musk vows transparency, wants to ‘right-size’ workforce
The White House confirmed that Trump did not sign the order while reporters were present in the Oval Office, but rather after they were escorted out.
“We’ve already found billions of dollars of abuse, incompetence, and corruption,” Trump said of DOGE’s efforts to uncover wasteful spending, which both Trump and Musk referred to as “fraud” throughout a more than 30-minute exchange with reporters.
Their joint appearance was the first time the billionaire SpaceX CEO had taken questions from reporters in public since assuming power during Trump’s second term. Musk answered several reporters’ questions, defending DOGE’s accountability and insisting that he will not work on projects that could lead to conflicts of interest. Musk’s SpaceX has billions of dollars in contacts with the Pentagon.
“All our actions are fully public,” Musk said, adding that observers will not hesitate to report conflicts. “It’s not like people will be shy about saying it. “They’ll say it right away.”
The new order comes as the Trump administration has offered buyouts to nearly all 2.3 million federal employees in an effort to drastically reduce the federal workforce. However, the offer, which would pay employees until September if they agreed to resign, is currently stalled in court after a federal judge in Massachusetts granted a pause Monday to hear arguments from both sides in a legal challenge brought by federal employee unions.
If enough federal workers do not agree to the buyouts, the Trump administration has indicated that furloughs and layoffs will be implemented. More than 60,000 workers have accepted buyouts, accounting for approximately 2.6% of the federal workforce, which is lower than the White House’s projection of 5% to 10% participation.
“We’re going to try to sort of right-size the federal bureaucracy,” Mr. Musk said. “There needs to be a lot of people working with the federal government, but not as many as currently.”
Order creates new conduct standards for future hires
The order directs federal agencies to hire no more than one employee for every four employees who leave after Trump’s day-one executive order that imposed the federal hiring freeze expires. Departments responsible for immigration, law enforcement, and public safety are exempt from the requirement.
The order directs the US Office of Personnel Management to develop new rules to ensure that future federal hires are subject to additional conduct standards. These include the requirements for US citizenship and the timely filing of federal tax returns.
Heads of agencies must also submit a report to the Office of Management and Budget within 30 days that identifies the statutes that established their agency.
“The report shall discuss whether the agency or any of its subcomponents should be eliminated or consolidated,” according to the mandate.
The OPM issued a memo last week to department and agency heads requesting the names of all employees who received less than a “fully successful” performance rating in the previous three years. It also requested that they identify potential barriers to ensuring “the ability to swiftly terminate poor performing employees who cannot or will not improve.”
“What are the two ingredients that are really necessary in order to cut the budget deficit in half, from $2 trillion to $1 trillion?” Musk said. “It’s really two things: competence and caring.”
Trump has spent his first three weeks dismantling the federal government, guided by Musk and his DOGE aides, including the shutdown of the United States Agency for International Development and plans to do the same with the Consumer Financial Protection Bureau. Trump has also mentioned trying to abolish the Department of Education.
Musk’s efforts have resulted in court battles that will ultimately determine whether Trump has the executive authority to dismantle the federal government in the ways that his administration envisions. Federal judges have halted certain aspects of the USAID shutdown and barred Musk’s team from accessing the Treasury Department’s payment systems.
