US President Donald Trump has ordered federal agencies to plan for more large-scale job cuts as part of a wider effort to reduce government spending. At his first cabinet meeting, Trump invited Elon Musk, who has been leading cost-cutting efforts, to discuss his ambitious targets for reducing the federal budget.
A new memo instructed agencies to submit proposals by 13 March for a “significant reduction” in staffing, though no specific numbers were given. The cuts will target veteran civil servants after earlier rounds focused on probationary workers with fewer job protections.
Musk, who has been overseeing the newly formed Department of Government Efficiency (DOGE), told the cabinet he aims to reduce the $6.7 trillion budget by $1 trillion this year. Trump backed Musk’s efforts, even asking officials, “Is anyone unhappy with Elon?”—to scattered laughter.
Meanwhile, federal workers were surprised to receive an email demanding they justify their jobs, with Musk suggesting some government salaries might be going to “dead people”—a claim made without evidence. Some agencies told employees to ignore the directive, creating confusion over whether non-compliance could lead to job losses.
The restructuring has already caused disruption, with foreign aid frozen, scientific research halted, and thousands of government contracts cancelled. Despite these aggressive cuts, federal spending has continued to rise, mainly due to increased interest payments on national debt and growing healthcare costs.
Trump reaffirmed his promise not to cut healthcare and retirement benefits but is pushing Congress to extend his 2017 tax cuts, which could add trillions to the national debt. Meanwhile, Republicans are considering cuts to healthcare and food aid for low-income citizens to balance the budget.
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