Elon Musk's Department of Government Efficiency has triggered sweeping layoffs, agency shutdowns and a legal battle over transparency — all while facing mounting public scrutiny.
The initiative, touted by Musk and President Donald Trump as a campaign to eliminate "waste, fraud and abuse," has been called "disruptive," "chaotic" and potentially irreversible by policy experts.
Massive Layoffs, Mounting Lawsuits and Musk's Growing Backlash
In March, DOGE was responsible for more than 275,000 announced federal job cuts, the highest single-month total since 2009, according to Challenger, Gray & Christmas Inc.
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The cuts targeted multiple government agencies, including the U.S. Agency for International Development and the Department of Health and Human Services.
According to Business Insider, the loss reduced her retirement benefits by 50%, and she will now need to wait until age 62 to access them.
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The Financial Times reported that DOGE also cut 30 staffers at the National Highway Traffic Safety Administration, including employees overseeing vehicle automation.
Critics argued these layoffs could impair the agency's ability to regulate autonomous vehicle safety. In particular, Tesla (NASDAQ; TSLA), where Musk serves as CEO, remains under investigation over its Autopilot and Full Self-Driving systems.
Despite DOGE's mission to cut spending, U.S. expenditures have risen by $154 billion since Trump’s inauguration, compared to the same period in 2024 under then-President Joe Biden, according to The Wall Street Journal.
Key budget categories such as defense, Social Security and Medicare either remained steady or grew.
Transparency has emerged as a central concern in DOGE's operations. According to Reuters, DOGE allegedly used encrypted platforms like Signal and artificial intelligence tools to monitor federal workers' internal communications for perceived disloyalty.
U.S. District judge Tanya Chutkan ordered Musk and DOGE to produce documents and answer questions regarding their federal spending reduction efforts.
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