‘Shutting it down’: Elon Musk says he has Trump OK to axe entire US government agency

Elon Musk has said he has President Trump’s approval to axe an entire US government agency with 10,000 staff – but some say he’s acting illegally.

Elon Musk says he has Donald Trump’s approval to “shut down” a major US government agency, in the latest development in a power tussle at the heart of Washington.

There was a standoff on Saturday night as members of Mr Musk’s Department of Government Efficiency, or ‘DOGE’, tried to gain access to sensitive computer systems.

It’s the latest sign of the power of Mr Musk, and his DOGE cost-cutting organisation, over the federal government – despite him not having an official Senate approved role. It could also see a court showdown over the limit of his, and indeed Mr Trump’s, powers.

But Mr Trump has pushed back on Mr Musk, a touch, commenting that “Elon can’t do and won’t do anything without our approval”.

Mr Musk’s move comes as staff in another government department were placed on leave for taking diversity training during Mr Trump’s first term in office despite that training being encouraged.

Early on Monday morning US time, Mr Musk took to X to claim USAID, the federal agency that distributes much of the country’s foreign aid, was being shut down.

USAID has 10,000 staff and a budget of $62 billion to spend on overseas disaster relief, anti-poverty programs and health services. It accounts for less than 0.5 per cent of US Government spending.

Its website was taken down over the weekend. A few web pages for USAID, with just some statements and reports, has appeared on the State Department website.

(FILES) A USAID officer watches as a US military C-17 cargo plane taxis to a stop at Kathmandu's international airport on May 3, 2015. Elon Musk says the agency is being shut down. (Photo by Roberto SCHMIDT / AFP)

‘Shutting it down’

“We’re shutting down USAID … We’re shutting it down” Mr Musk said in an audio broadcast on X.

“We spent the weekend feeding USAID into the woodchipper. Could (have) gone to some great parties. Did that instead”.

Mr Musk said he had “the full support of the President”.

“With regard to the USAID stuff, I went over (it) with him in detail, and he agreed that we should shut it down.

“I actually checked with him a few times (and) said, ‘Are you sure?’”

Mr Musk claimed that Mr Trump said “yes”.

On Monday, the USAID entrance was blocked off and staff were told to remain at home.

Elon Musk has heavily criticised USAID and has targeted it as part of his cost cutting plans. (Photo by Christopher Furlong / GETTY IMAGES NORTH AMERICA / Getty Images via AFP)

Trump responds

Recently, Mr Trump signed a presidential executive order suspending almost all foreign aid, which halted much of USAID’s work.

That freeze was so far reaching that it had to be altered a few days later so “lifesaving humanitarian assistance” was exempted. The US also exempted payments to fund a prison in Syria full of Islamic State militants that could have seen them all set free.

Later on Monday, US time, Mr Trump didn’t exactly chastise Mr Musk. But he did reign in his hubris somewhat.

“Elon can’t do and won’t do anything without our approval. And we’ll give him the approval where appropriate. Where not appropriate, we won’t,” Mr Trump said in response to reporters.

President Trump said Mr Musk’s goal was to “shrink government,” but he didn’t have carte blanche and if there was a conflict with The White House, “we won’t let him go near it”.

Elon Musk said he has US President Donald Trump’s approval. (Photo by Jim WATSON / AFP)

Trump insisted he can close USAID

On Sunday, Mr Musk tweeted that USAID was a “criminal organisation” and needed “to die”. There’s no evidence USAID is “criminal”.

There had been rumours in the past few days that USAID might be placed under the State Department, the US’ foreign ministry, not that it would be axed altogether. However, even that would see its previous freedom changed.

Many legal academics believe it is questionable whether either Mr Musk or Mr Trump can shut down USAID or even move it into the State Department.

The agency was created by an executive order of President John F Kennedy in 1961. He said the US had a “moral obligation” as a wealthy nation to provide aid which also helped to “counter the adversaries of freedom”.

In theory, President Trump could then issue another executive order overriding President Kennedy’s order. However in 1998, Congress established USAID as its own agency. That legally puts its dissolution in the hands of Congress.

“Not a single person in the executive branch — not Donald Trump, not Elon Musk, and not any of their cronies — has the authority to shut down USAID. Congress created the agency by statute,” Democrat Congressman Gerry Connelly said.

Mr Trump doesn't see it that way. He accused USAID of “fraud” and suggested that gave him the powers needed.

“The Biden administration … went totally crazy (with USAID), what they were doing and the money they were giving to people that shouldn’t be getting it”.

He added that he loved the “concept” of USAID but not how it was run. .

An employee of USAID who wished to remain anonymous protests outside of the USAID headquarters on February 03, 2025 in Washington, DC. (Photo by Kevin Dietsch / GETTY IMAGES NORTH AMERICA / Getty Images via AFP)

Also on Monday, Secretary of State Marco Rubio said he was now acting director of USAID, – a move which could be challenged by the Democrats.

He accused USAID of being “involved in programs that run counter to what we’re trying to do in our national strategy. That cannot continue”.

But he didn’t go along with Mr Musk’s claims that USAID was being closed down.

“There are things that we do through USAID, that we should continue to do, and we will continue to do.”

Despite its name, Mr Musk’s Department of Government Efficiency (DOGE) is not an official US government department whose creation would need Congress’ approval. Rather it’s a “temporary organisation” that sits under an existing agency.

Because DOGE is not a government department, it also means Mr Musk has not needed to go through a Senate vetting or confirmation process. However, officially, Mr Musk doesn’t even work for the government and is merely an unpaid volunteer. Nonetheless, the Tesla boss does appear to sit at the top of DOGE.

A security guard stands at the entrance to the U.S. Agency for International Development (USAID) headquarters on February 03, 2025 in Washington, DC. (Photo by Kevin Dietsch / GETTY IMAGES NORTH AMERICA / Getty Images via AFP)

Fraught DOGE incident at USAID

USAID’s apparent closure comes days after an incident at the agency as staff from DOGE descended.

On Saturday, reports emerged that DOGE officials tried to gain access to USAID’s personnel and security systems. At least some of the DOGE staff did not have the necessary security clearances.

Two senior USAID officials were reportedly told the US Marshals would be called if they did not allow DOGE entry.

Eventually, they relented, but were then placed on leave.

“No classified material was accessed without proper security clearances,” said Katie Miller, who worked in President Trump’s first administration and is now part of DOGE, she said on Sunday on X.

The Democrats said DOGE’s actions at USAID were “incredibly serious”.

“Reports that individuals without appropriate clearance may have accessed classified USAID spaces as well as American citizens’ personal information are incredibly serious and unprecedented,” Democratic Senator Jeanne Shaheen said.

On Monday, Mr Trump said DOGE’s oversight of IT systems was limited.

“He’s got access only to letting people go that he thinks are no good, if we agree with him, and it’s only if we agree with him.”

Elon Musk speaks live via a video transmission during the election campaign launch rally of the far-right Alternative for Germany (AfD) political party. (Photo by Sean Gallup/Getty Images)

Meanwhile, in the education department, there are reports staff who undertook diversity training more than four years ago provided under the previous Trump administration have been stood down on full pay.

The diversity training wasn’t compulsory but department bosses hired under the Trump administration had encouraged employees to attend.

NBC News reported that union official Sheria Smith said 55 staff that took the training had been placed on leave. It appears to be part of a wide ranging crackdown on anything related to diversity, equity and inclusion initiatives.

“It looks like they’re entrapping people, because they encouraged people to take these trainings … and are now maybe using these trainings as a basis to put them on administrative leave,” Ms Smith said.

“I think it is shock and awe. They’re trying to send us emails that make no sense and are super confusing to intimidate us or to make us run scared so we quit,” she said.

The Trump administration has encouraged federal staff to quit with promises of eight months redundancy pay.

Originally published as ‘Shutting it down’: Elon Musk says he has Trump OK to axe entire US government agency