To hire 1 employee, first fire 4 people: Donald Trump to US government agencies

US President Donald Trump, who is on a mission to cut government spending, has issued a new directive to government agencies and asked them to work with Musk.

In his latest bid to slash government spending, US President Donald Trump has directed government agencies across the country to work with his ‘First Buddy’ and billionaire Elon Musk to cut their workforce, news agency Bloomberg reported.

Donald Trump has entrusted Elon Musk to work on rapidly finding billions of dollars by slashing government spending and increasing efficiency.(Bloomberg)

According to a White House fact sheet, Trump has ordered agency heads to coordinate with Musk's Department of Government Efficiency (DOGE) to “significantly reduce the size of the government” and “limit hiring to essential position”.

The fact sheet said agencies would be allowed to hire only one employee for every four workers they fire. Agencies exempted from this directive include those in law enforcement, national security, immigration, and public safety roles.

It's unclear if DOGE has the authority to enact mass layoffs in government agencies yet.

Musk defends cost-cutting

Musk on Tuesday made a rare appearance in the Oval Office alongside Trump to defend his approach, which has involved young staffers fanning across agencies, obtaining access to sensitive computer systems and employee data, and in some cases shuttering offices and placing workers on leave — all in an effort to reduce the size of government.

The billionaire industrialist said without providing evidence that Treasury Department systems lacked “basic controls,” including measures preventing money going to entities on a “do-not-pay list.”

“It’s like just a massive number of blank checks just flying out of the building,” Musk said.

Trump asserted DOGE had uncovered “billions and billions of dollars in waste, fraud and abuse”, again without substantiation.

Musk, who has posted dozens of alleged examples of government fraud and waste on X, told reporters some of the things he said will turn out to be false and ought to be corrected.

Trump’s plans for mass firings follow a voluntary “buyout” plan pushed by Musk, which faces a legal challenge. The latest push is also sure to trigger lawsuits from federal workers and their unions, potentially stymieing Trump’s plans to cull the government bureaucracy.