Donald Trump makes DOGE head Elon Musk a 'special government employee'

According to the White House, Elon Musk has been appointed as a "special government employee." This follows Musk's swift action, at the request of President Donald Trump, to downsize the U.S. government. The appointment has sparked widespread attention and ignited discussions about conflicts of interest and transparency.

This special status allows the world's richest man to work for the federal government, but may exempt him from regulations regarding conflicts of interest and financial disclosure that apply to ordinary government employees. Musk currently operates both the electric car company Tesla and the aerospace company SpaceX, and leads President Trump's cost-cutting "Department of Government Efficiency" (DOGE). As CEO of SpaceX, Musk oversees the company's multi-billion dollar contracts with the Pentagon and intelligence agencies.

White House Press Secretary Karoline Leavitt stated that Musk has been classified as a "special government employee." Another senior White House official said that Musk is not receiving a government salary and is complying with relevant laws. The term of a special government employee typically does not exceed 130 days, but President Trump has not stated how long Musk's term will last. Musk has pledged "massive layoffs" in the federal bureaucracy, and recently, he has received widespread attention because his team has been allowed to access or control many government systems. These moves have caused panic among government staff and led to internal turmoil in some agencies.

Reuters reported on Friday that Musk's aides, who are in charge of managing human resources agencies, have locked career civil servants out of computer systems containing the personal data of millions of federal employees. In addition, labor unions and advocacy groups sued the U.S. Treasury Department and Treasury Secretary Scott Besent on Monday over granting Musk and his DOGE team access to federal payment systems. The American Association of Retired Persons, the American Federation of Government Employees, and the Service Employees International Union opposed the defendants' "unlawful, continuous, systematic, and ongoing disclosure of personal and financial information to Musk and his team."

Also on Monday, a federal prosecutor appointed by President Trump requested Musk to provide information about anyone attempting to obstruct his work, and warned of possible criminal sanctions in a letter posted on the X platform. Acting U.S. Attorney for the District of Columbia Edward M. Martin stated in the letter that any threats or confrontations against Musk's DOGE employees "may violate multiple laws."

Musk has also targeted the U.S. Agency for International Development (USAID), calling for its closure and labeling it as an irresponsible left-wing organization for the White House. Critics say that Musk's accusations often lack evidence and may be ideologically driven. A senior White House official, speaking on condition of anonymity, said that President Trump is considering merging USAID into the State Department and has "tasked Elon with overseeing the agency's efficiency."

On Monday, the agency's employees were locked out of its headquarters in downtown Washington, D.C., which prompted two Democratic senators to block the confirmation of State Department nominees in protest. The lockdown exacerbated the agency's turmoil since the president ordered a freeze on most U.S. foreign aid after taking office on January 20. At USAID, two senior security officials were suspended for refusing to provide classified documents to DOGE employees who were on-site over the weekend. Democratic Senator Brian Schatz told Reuters at a protest outside the agency's headquarters: "What is happening at USAID is illegal. It is completely illegal and dangerous for Americans at home and abroad."

Some USAID staff waved signs, including one that read: "USAID Saves Lives." Democrats argue that eliminating USAID's independence would require an act of Congress. President Trump told reporters on Monday that he did not think that would be necessary. "I like the concept [of USAID], but they've become radical left lunatics," Trump said. U.S. Secretary of State Marco Rubio told reporters in El Salvador that he is now the acting head of USAID, calling the agency "completely unresponsive" and accusing its staff of being "unwilling to answer simple questions about programs."

Rubio stated: "If you go to missions and embassies around the world, you often find that, in many cases, the programs that USAID is involved in run counter to what we're trying to do in that country or in that region in our national strategy. That cannot continue." He sent a letter to Congress informing them of the agency's impending reorganization, stating that some parts of USAID may be absorbed by the State Department, and the rest may be abolished. Senator Schatz said that USAID is more than just saving other countries from hunger and disease. "There's a reason why USAID is part of American foreign policy, and that's because we understand that a stable world means a stable America," he said.

In fiscal year 2023, the U.S. allocated $72 billion (A$116 billion) in aid globally through agencies such as USAID, for everything from women's health in conflict zones to clean water, HIV/AIDS treatment, energy security, and anti-corruption efforts. It provided 42% of all humanitarian aid tracked by the United Nations in 2024. Following President Trump's issuance of the freeze order, the State Department issued a global stop-work order, except for emergency food assistance. Experts warned that the move could lead to deaths. Democratic members of Congress condemned the accumulation of too much power over the federal government by an unelected billionaire.

President Trump defended Musk on Monday, but said that there are limits to what his advisor can do. "Elon cannot and will not do anything without our approval, and we will approve it where appropriate; where it's not appropriate, we won't approve it. But he will report," Trump told reporters. "He's taking it very seriously, and I'm impressed because he obviously runs a big company," Trump added. "If there's a conflict, we won't let him near it. But he does have a good, natural instinct. He has a very talented team."

Since taking office on January 20, President Trump has begun a massive overhaul of the government, firing and sidelining hundreds of civil servants as a first step in downsizing the bureaucracy and installing more loyalists. Another U.S. official said that President Trump is not closely monitoring Musk's actions, but is being kept up to date. "He's being briefed," the official said, referring to President Trump's awareness of Musk's activities.

Kathleen Clark, a government ethics professor at Washington University School of Law, said that most special government employees are not required to publicly file financial disclosures. She said Musk's new appointment may be a way to avoid publicly disclosing his finances and numerous conflicts of interest. "If they don't make his financial disclosures public, that may make it impossible for the public, NGOs, and journalists to hold him and the government accountable and to ensure that he's not participating in matters in which he has a conflict of interest," she said. Musk spent over $250 million to help Trump win the November presidential election. On his social media platform X, he shared an article by right-wing commentator Rogan O'Handley stating that Musk had campaigned alongside Trump on an important campaign, and that voters knowingly voted for his cost-cutting agenda.