Elon Musk may resign from his government post: what is known about his role in cutting US spending

Photo: Evan Vucci/AP

US President Donald Trump has told members of his cabinet and close associates that billionaire Elon Musk will soon leave his government position responsible for cutting federal spending, Politico reports, citing three sources close to the US leader, Reuters reports.

White House spokeswoman Carolyn Leavitt denied these reports, saying that Musk would leave the post only after completing his work in the Department of Government Efficiency (DOGE), which was specially created to reduce government spending and bureaucracy.

Musk and DOGE: what’s going on?

Trump has appointed the Tesla and SpaceX founder to lead the DOGE initiative to reduce the size of the government. According to Politico, Musk may leave the government before the end of the 130-day period, but the exact date remains unknown.

According to sources, Musk’s investors want him to return to managing his companies. The billionaire himself has stated that he aims to cut government spending by one trillion dollars by the end of his term.

Trump’s reaction and implications for the administration

Trump has acknowledged that Musk has a “big company to run” and is likely to leave his government position. However, analysts note that even after Musk’s departure, DOGE will continue to operate until 2026, according to Trump’s decree.

DOGE’s work is highly controversial. Former White House official Julie Segel criticises the organisation for undermining social policy, while French journalist Stephane Foucault accuses Musk of a “chaotic approach” to government reforms.

What’s next?

According to The Guardian, although DOGE was considering laying off 100,000 federal employees, the courts ruled some of the dismissals illegal and ordered some of the workers to be reinstated. Musk, in turn, assures that the layoffs were minimal and that the departure will be gradual.

The situation remains dynamic, and it is not yet clear how Musk’s departure will affect the Trump administration’s policy of cutting public spending.

NEWS