Elon Musk decided to step down after firing over 6,000 federal employees.
Elon Musk has announced his departure from the leadership of the Department of Government Efficiency (DOGE) by the end of May 2025, a decision that follows a tumultuous tenure marked by aggressive cost-cutting measures. Established in January 2025 through an executive order by President Donald Trump, DOGE aimed to slash federal spending and reform government agencies. However, Musk’s approach, which included laying off over 6,000 federal employees, has sparked significant disruptions across agencies like the Department of Agriculture and triggered widespread protests from critics.
DOGE’s mission was to reduce the federal budget deficit by $1 trillion, with the agency claiming to have saved $4 billion daily. Yet, these drastic measures have drawn fierce backlash. The layoffs and policy changes have been labeled as overly harsh, leading to operational chaos in several government sectors. Protests have erupted, with opponents arguing that Musk’s actions have undermined critical public services. Even President Trump has hinted that Musk’s time at DOGE might end sooner than anticipated, reflecting the growing tension surrounding the billionaire’s role.
The impact of Musk’s DOGE stint has also reverberated through his business empire, particularly affecting Tesla. The electric vehicle giant has seen its stock plummet, losing nearly half its value in just a few months, a decline Musk himself has attributed to the backlash from his government role. This admission underscores the challenges of balancing his political involvement with his corporate responsibilities, especially as Tesla faces declining vehicle deliveries and market pressures, as noted in recent CNBC reports.
Musk’s exit from DOGE, set for late May 2025, marks the end of a controversial chapter for the agency. While DOGE achieved significant cost savings, the cost to public services and Musk’s own business interests has been substantial. As he prepares to step down, the future of DOGE and its policies remains uncertain, with many questioning whether the agency can sustain its momentum without Musk’s polarizing leadership at the helm.