Monday, December 23

Trump says Elon Musk and Vivek Ramaswamy will head a new department to reduce federal bureaucracy

President-elect Donald Trump named tech billionaire Elon Musk and conservative activist Vivek Ramaswamy on Tuesday to head up a new Department of Government Efficiency, fulfilling a campaign pledge to give Musk sweeping oversight of government spending.

Trump said in a

s

t

atement on t

o social media

that the department will help “dismantle Government Bureaucracy” and slash excess regulations. The name of the agency, DOGE for short, is a reference to a meme and a

cryptocurrency

associated with Musk

.

“This will send shockwaves through the system, and anyone involved in Government waste, which is a lot of people!” Musk said in the statement released by the transition team.

On X, he added: “Threat to democracy? Nope, threat to BUREAUCRACY!!!”

Musk has said he wants to

cut $2 trillion

from the federal budget, which is more than the discretionary budget of $1.7 trillion. He has provided few details about what he’d like to cut, though he has attacked relatively small recipients of federal money, such as the Education Department and NPR.

Musk has said the cuts would mean ”

temporary hardship

” for some people.

Ramaswamy has called for

mass layoffs at federal agencies

, a tactic that could sidestep legal protections that otherwise insulate the federal civil service from targeted political cuts.

Ramaswamy campaigned for president in the Republican primaries on eliminating federal agencies, and his initial targets included the FBI; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Education Department; the Nuclear Regulatory Commission; and the Food and Nutrition Service within the Agriculture Department.

Trump said the department would exist “outside of Government,” giving advice to those in the White House about overhauling federal agencies. The arrangement would also be likely to allow Musk and Ramaswamy to continue working in the private sector and serve without Senate approval.

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Trump said he wanted the department to help deliver “drastic change,” and he compared its ambitions to those of the World War II project to develop atomic weapons.

“It will become, potentially, ‘The Manhattan Project’ of our time,” Trump said. “Republican politicians have dreamed about the objectives of ‘DOGE’ for a very long time.”

He gave a deadline of July 4, 2026, for the department to conclude its work.

The announcement brings together two of Trump’s highest-profile surrogates from the tech industry, who have vastly different backgrounds.

Musk, the CEO of Tesla and SpaceX, is among the wealthiest people in the world and the owner of the social media platform X. Even though he is a newcomer to electoral politics, his super PAC spent more than $152 million to elect Trump and other Republicans this year.

SpaceX has $3.6 billion in contracts with federal agencies this year, according to

government data

. It’s not clear whether that spending is on the table for possible cuts.

Ramaswamy ran for the 2024 Republican presidential nomination against Trump and

dropp

ed

out in January

after he finished fourth in the Iowa caucuses. He’s the founder of a

bi

o

tech co

mpany

, Roivant Sciences.

Trump didn’t immediately provide details about how the two men would work together or who might pay for the operations of the department if it operates outside the federal government.

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