Kathmandu: The U.S. government’s Department of Government Efficiency, led by Elon Musk, has reportedly been shut down. The Efficiency Department, established by President Trump’s executive order on January 20, 2025, was originally scheduled to operate until July 4, 2026.
According to media reports, the department either directly dismissed over 250,000 federal employees or offered them buyout and early retirement packages.
Reports indicate that the department was initially very active, but its top officials are now working in various government offices. Its stated goal was to make the government smaller, faster, and less expensive.
The Department of Government Efficiency (often referred to as DOGE) was part of Trump’s ‘Project 2025’. Initially, Elon Musk and Vivek Ramaswamy were appointed as its heads, but Ramaswamy reportedly left the department before its commencement.
Reports suggest Musk played a key role in Ramaswamy’s removal. Musk had initially promised to save $2 trillion through this department.
However, the Efficiency Department’s website claimed $214 billion in savings, but these figures are reportedly exaggerated.
Musk is said to have left the department after growing disagreements with President Donald Trump’s policies while working there.
The department faced its most significant controversy when it dismissed 350 people at NASA. This decision was so controversial that the Department of Energy had to reverse course within a few weeks and recall approximately 322 employees. This move raised important questions about the department’s policies. Ethics watchdogs and public interest groups had also filed lawsuits against the department and the Trump administration.
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