US president-elect Donald Trump has announced

Donald Trump

US president-elect Donald Trump has announced that Elon Musk and businessman Vivek Ramaswamy will lead a new Department of Government Efficiency tasked with cutting federal waste

President-elect Donald Trump announced that Elon Musk and Vivek Ramaswamy will lead a new “Department of Government Efficiency” if he returns to the White House. Trump stated that this department will help get rid of unnecessary government rules, cut down on wasteful spending and reorganize federal agencies.

The choice of Musk who runs businesses that earn money from government contracts, raises questions about possible conflicts of interest. It is unclear how this new department will work and whether Congress will be willing to support big changes to government spending and operations even if controlled by Republicans.

In September, Trump had mentioned to create a government efficiency commission as part of his economic plans and he said Musk agreed to lead it. Musk commented that this move would “send shockwaves through the system” and affect many people involved in government waste.

Ramaswamy who previously ran against Trump in the Republican primaries has also focused on reducing waste in government spending. He has proposed eliminating several federal agencies which would mean job losses for many federal workers. Last year, Ramaswamy shared a plan which explain how a president could get rid of federal agencies.

Musk has suggested to reduce government regulations and even has ideas for a system to identify wasteful employees which could lead to layoffs but also offer them good severance packages. Earlier, in a chat on social media, Musk and Trump discussed to form a government efficiency commission and Trump showed interest.

On his social media, Musk shared a fun image of himself at a podium labeled “Department of Government Efficiency” and expressed his willingness to help. He promised that this new office would make its actions public for transparency including creating a “leaderboard” for the most wasteful government spending.

Trump said the department’s work must be finished by July 4, 2026, the 250th anniversary of America’s Declaration of Independence and expressed confidence in their success.