Stay informed with the latest news by signing up for Forbes Breaking News Text Alerts. We are excited to launch our new text message alert system, ensuring you never miss out on the biggest stories shaping the day’s headlines. To receive real-time updates, simply text “Alerts” to (201) 335-0739 or sign up through our website.
According to the Musk-led Department of Government Efficiency (DOGE), it has reportedly saved an estimated $175 billion through various measures including workforce reductions, grant cancellations, and contract terminations. These significant savings are claimed to translate to approximately $1,086 per taxpayer.
Despite these impressive figures, reports indicate that DOGE's claims of savings are fraught with inconsistencies and errors. Investigative analysis has suggested that the actual savings may be considerably lower than what the agency has presented. For instance, DOGE once asserted that it saved $8 billion by canceling an immigration contract, which was later revealed to have a value of merely $8 million.
A detailed analysis conducted by the BBC in April uncovered that only about half of the itemized savings reported by DOGE were substantiated with receipts or other forms of evidence. Alarmingly, DOGE has listed some receipts as being “unavailable for legal reasons,” raising questions about transparency and accountability in their reporting.
Before Elon Musk's tenure in government, he pledged to eliminate $2 trillion from federal spending, a commitment that has since been revised downward to $1 trillion. Many of the cuts directed by DOGE have faced legal challenges, particularly concerning federal layoffs. In March alone, approximately 216,000 federal employees were laid off, according to the employment research firm Challenger, Gray & Christmas.
Several agencies, including the Department of Human Services, the Environmental Protection Agency, and the Department of Education, have been affected or are expected to face layoffs. These firings have sparked legal battles, culminating in a recent Supreme Court ruling that blocked a lower court's order requiring the rehiring of employees from six federal agencies.
For more insights into the intricate relationship between Trump and Musk, check out our article, Inside Trump and Musk’s Complicated Relationship on the Wall Street Journal. Additionally, explore our report on How Much Has Elon Musk's Doge Cut from US Government Spending? for a deeper understanding of the financial implications of DOGE's actions.