Washington, Feb 12 (V7N) – President Donald Trump signed an executive order on Tuesday in the Oval Office aimed at reducing the size of the U.S. government, with Tesla CEO Elon Musk by his side. The order directs heads of federal departments and agencies to begin planning for large-scale reductions in force.

The executive order implements a "workforce optimization initiative" created by Musk’s Department of Government Efficiency (DOGE). This initiative has been rapidly rolling out across federal departments with the goal of slashing spending and cutting down on programs deemed unnecessary.

Musk, who stood alongside Trump in the Oval Office, emphasized that reducing federal spending is crucial. “It's not optional to reduce federal expenses, it’s essential,” Musk said, wearing a black MAGA hat. He also criticized the federal bureaucracy, calling it an "unelected, fourth, unconstitutional branch of government."

The order mandates that federal agencies work with DOGE to minimize the size of the federal workforce and restrict hiring to only essential positions. Agency heads are tasked with preparing plans for workforce reductions in accordance with the law. The order specifically targets functions not mandated by law to be prioritized for cuts.

Trump did not sign the order in front of reporters but did so after the media was escorted out of the room. He noted that billions of dollars of waste, incompetence, and corruption have already been identified through the efforts of DOGE.

In response to concerns about DOGE’s involvement, Musk defended the initiative, emphasizing the transparency of the actions and confirming that he would avoid conflicts of interest. “All our actions are fully public,” Musk said, addressing questions about potential ties with the Pentagon through SpaceX, his aerospace company.

The executive order comes amid an ongoing effort by the Trump administration to reduce the federal workforce. The administration had previously offered buyouts to nearly all 2.3 million federal employees, paying them to resign. However, the buyouts have been delayed due to a legal challenge brought by federal employees unions.

Musk discussed the need to "right-size" the federal bureaucracy, stating that while some government employees are necessary, the number of federal workers should be significantly reduced.

Under the new order, federal agencies are instructed to hire no more than one new employee for every four who leave, after a hiring freeze ends. The departments responsible for immigration, law enforcement, and public safety are exempt from this restriction. Additionally, new rules will be put in place to ensure that future hires meet specific standards, such as U.S. citizenship and tax compliance.

The order also requires agency heads to submit a report to the Office of Management and Budget within 30 days, detailing whether their agencies or any of their subcomponents should be eliminated or merged.

Last week, the U.S. Office of Personnel Management (OPM) sent a memo asking agencies to identify employees who received subpar performance ratings and explore ways to streamline the termination of low-performing workers.

Musk shared his thoughts on the importance of competence and dedication to reducing the budget deficit, saying, “What are the two ingredients that are really necessary in order to cut the budget deficit in half? It’s competence and caring.”

This executive order is part of a broader initiative by Trump and Musk’s DOGE to restructure the federal government. Trump’s administration has already taken steps to shut down the U.S. Agency for International Development (USAID) and is exploring the potential closure of the Consumer Financial Protection Bureau and the Department of Education.

Legal challenges surrounding these actions are ongoing, with federal courts blocking some of the administration’s efforts, including the USAID shutdown and access to Treasury Department payment systems.

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