Business News
3 min read | Updated on May 29, 2025, 11:53 IST
SUMMARY
Elon Musk has stepped down from his position as a Special Government Employee in the Trump administration after 130 days.
Elon Musk’s departure marks the end of a controversial chapter in Trump’s administration.
Billionaire Elon Musk announced his departure from the Trump administration Wednesday evening, capping a turbulent 130-day stint as a Special Government Employee that saw sweeping efforts to slash federal spending, widespread internal clashes, and an ultimately unceremonious exit.
In a post on X, Musk, the CEO of Tesla and SpaceX, expressed gratitude to President Donald Trump for the opportunity.
“As my scheduled time as a Special Government Employee comes to an end, I would like to thank President @realDonaldTrump for the opportunity to reduce wasteful spending,” Musk wrote. “The @DOGE mission will only strengthen over time as it becomes a way of life throughout the government.”
Musk’s departure marks the end of a controversial chapter in Trump’s administration, punctuated by mass layoffs, the dismantling of key agencies, and repeated litigation. He encountered sharp resistance from within the federal government and achieved far less than expected.
Initially pledging to cut $2 trillion in federal spending, Musk gradually lowered that target to $150 billion. Along the way, he grew increasingly frustrated with entrenched bureaucracy and clashed with several of Trump’s top cabinet officials, including Secretary of State Marco Rubio, Transportation Secretary Sean Duffy, and Treasury Secretary Scott Bessent.
Musk did not speak directly with Trump before his exit and the decision was made “at a senior staff level,” reported Reuters citing people familiar with the matter.
His departure came just one day after publicly criticising Trump’s hallmark tax and budget legislation, which has been dubbed by the US president and fellow Republicans as the "big, beautiful bill."
“I was disappointed to see the massive spending bill, frankly, which increases the budget deficit, not just decreases it, and undermines the work that the DOGE team is doing,” Musk told CBS News in a Tuesday interview. “I think a bill can be big or it can be beautiful. But I don't know if it can be both.”
White House aides were said to be irked by the comments and were reportedly forced to call Republican senators to reiterate Trump's support for the package.
The bill narrowly passed the House on Thursday and is projected to add $3.8 trillion to the national debt over the next decade, according to the nonpartisan Congressional Budget Office.
Despite his close personal relationship with Trump, Musk’s standing within the administration had steadily eroded in recent weeks. He had predicted that ending telework, what he called the “COVID-era privilege”, would lead to “a wave of voluntary terminations that we welcome.”
Musk had referred to Trump’s trade adviser Peter Navarro as a “moron” and “dumber than a sack of bricks.”
Navarro brushed off the insults, telling reporters, “I’ve been called worse.”
In an interview with The Washington Post earlier this week, Musk admitted he had underestimated the challenges of working in government. “The federal bureaucracy situation is much worse than I realized,” he said. “I thought there were problems, but it sure is an uphill battle trying to improve things in D.C., to say the least.”
The White House said the US Department of Government Efficiency (DOGE) will continue its work despite Musk’s departure, although it remains unclear who will now lead the initiative.
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