Elon Musk’s Federal Cost Cutting Initiative Had Big Promises, Mixed Results
Elon Musk said goodbye Friday to the White House and leading his federal cost-cutting initiative, dubbed the Department of Government Efficiency (DOGE). In his parting message, the world’s richest man compared the group’s work to Buddhism, calling DOGE “a way of life” that will “permeate” the federal government.
The Tesla CEO capped his 130-day federal government stint netting $160 billion in DOGE savings, though experts say the true figure is significantly lower. The number falls short of the $2 trillion Musk sought to cut from federal spending, though Musk and President Trump from Oval Office Friday vowed that DOGE will continue to look for more potential cuts over the next year.
THE LEGACY HE LEAVES
The future of DOGE is uncertain without Musk as the face of it, though several of his top allies will continue the effort. The DOGE mandate is set to expire in just over 13 months — on July 4, 2026.
The memories: Musk wielded a chainsaw from Argentina’s president, helped turn the White House lawn into a Tesla showroom, wore a giant cheesehead, and did that questionable salute…
It comes as a new New York Times report details Musk’s drug use on the campaign trail.
Reshaping the federal workforce: DOGE claims it has eliminated over 26,000 federal grants and contracts worth $73 billion, and reduced the workforce by more than 260,000 through buyouts, early retirements, and firings.
The nonpartisan Partnership for Public Service estimates that DOGE’s moves will cost $270 billion in expanded paid leave and declines in productivity. That means, DOGE’s efforts have cost taxpayers more than it’s saved.
DOGE also faces multiple lawsuits to questions about whether their approach to cutting personnel and entire agencies is constitutional.
Bottom line: The cost savings Musk hoped to achieve did not come to fruition. And, as Musk noted in a CBS “Sunday Morning” interview this week, the massive spending and tax cut package the House passed, under pressure from Trump, “undermines the work that the DOGE team is doing.” Plus, the federal government’s spending is up 10% in Trump’s first months in office compared to the same time period last year.
DIVIDE OVER MUSK’S EXIT
On the right, Musk is largely being praised for his cost-cutting efforts and the personal sacrifices he made during his time in the White House, including a significant decline in his stock holdings.
Over on the left, Democrats are not feeling the love… Michelle Goldberg wrote from the Times opinion section: “Elon Musk’s Legacy Is Disease, Starvation and Death.” Some Democrats on Capitol Hill still want him to testify on his role in reshaping the federal government.
What’s next: Musk said he will remain a “friend and adviser” to the president, whose campaign he supported with more than $250 million. It’s unclear whether Musk’s foray into politics will have staying power — but for now, he’s left a polarizing mark that has impacted his net worth by tens of billions and one that’s unlikely to fade quietly.
