Elon Musk Steps Down from Government Role After Clashing with Trump Over Spending Bill

Billionaire Elon Musk announced Wednesday that he is stepping down from his role in the US government, ending his stint as a Special Government Employee focused on reducing federal spending. The move follows his first major disagreement with President Donald Trump over a key legislative initiative.

“As my scheduled time as a Special Government Employee comes to an end, I would like to thank President Donald Trump for the opportunity to reduce wasteful spending,” Musk wrote on his social media platform, X.

He added that the Department of Government Efficiency (DOGE), which he led, would continue to grow stronger, calling its mission a way of life within government.

Musk had voiced concerns over Trump’s proposed “One Big, Beautiful Bill Act,” criticizing it for increasing the federal deficit and undermining DOGE’s cost-cutting efforts. The department, under Musk’s leadership, had laid off tens of thousands of federal workers.

In an interview with CBS News aired in part on Tuesday, Elon Musk expressed frustration, saying, “I was disappointed to see the massive spending bill, frankly, which increases the budget deficit, not just decreases it, and undermines the work that the DOGE team is doing.” He added, “A bill can be big, or it can be beautiful. But I don’t know if it can be both.”

The bill, which recently passed the House and is headed to the Senate, includes broad tax relief and spending cuts. While it’s central to Trump’s domestic agenda, critics argue it could significantly increase the national deficit—by up to $4 trillion over ten years—and slash healthcare funding.

Responding to Musk’s remarks, Trump’s Deputy Chief of Staff Stephen Miller stated on X that the bill is not an annual budget proposal and emphasized that DOGE-related cuts would need separate legislative action.

Musk’s departure marks a rare public rift with Trump, who he supported heavily during the 2024 campaign as its largest donor. Once frequently seen at the president’s side, Musk began pulling back in April to refocus on Tesla and SpaceX.

In a Washington Post interview, Musk said DOGE had unfairly become a scapegoat for broader dissatisfaction with the administration. “DOGE is just becoming the whipping boy for everything,” he said, adding that the entrenched federal bureaucracy made reform efforts extremely difficult.

While DOGE achieved large-scale layoffs and departmental closures, Musk admitted the agency fell short of its full goals. Reports also suggest his aggressive management style and lack of political experience contributed to these shortcomings.

Meanwhile, Musk’s private companies took a hit. Tesla faced backlash, including protests and even arson, with some electric cars being set on fire. “People were burning Teslas. Why would you do that? That’s really uncool,” Musk said.

Elon Musk has also turned his attention back to SpaceX, especially following another failed Starship test on Tuesday, when a prototype exploded over the Indian Ocean.

Last week, Musk announced he would reduce his involvement in political funding after contributing roughly $250 million to Trump’s campaign.

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