Trump proposes 75% cut to federal workforce, led by Musk and Ramaswamy

Jan. 31, 2025, 8:50 am ET

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  • President Trump aims to significantly cut the federal workforce, targeting a reduction of up to 75% of federal employees.
  • Elon Musk and Vivek Ramaswamy lead the advisory task force, the Department of Government Efficiency (DOGE), to implement these cuts.
  • The plan includes abolishing or consolidating hundreds of federal agencies and slashing the federal budget by trillions of dollars.

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Essential Context

President Trump’s return to the White House is marked by a bold initiative to shrink the federal government. At the heart of this plan is the Department of Government Efficiency, led by tech mogul Elon Musk and GOP-primary-rival-turned-ally Vivek Ramaswamy.

Core Players

  • Donald Trump – President of the United States
  • Elon Musk – Tech mogul and co-leader of the Department of Government Efficiency
  • Vivek Ramaswamy – Co-leader of the Department of Government Efficiency
  • Office of Personnel Management (OPM) – Federal government’s human resources department

Key Numbers

  • 3 million – Total number of federal employees as of November 2024
  • 2.4 million – Number of federal workers excluding the U.S. Postal Service
  • 75% – Proposed reduction in federal payroll
  • 486,000 – Number of employees in the Department of Veterans Affairs, the largest federal employer
  • 4,245 – Number of employees in the Department of Education, the smallest Cabinet-level department

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The Catalyst

President Trump’s plan to cut the federal workforce is part of a broader effort to shrink the size and scope of the federal government. This initiative has been ongoing, with significant emphasis during his second administration.

The advisory task force, DOGE, aims to cut trillions of dollars from the federal budget and slash the federal payroll by as much as 75%.

Inside Forces

The plan involves abolishing or consolidating hundreds of federal agencies. For instance, the Department of Education, with just 4,245 workers, is proposed for abolition.

Internal dynamics also include a push to end remote work policies, with Trump mandating federal employees to return to the office full-time, despite existing union agreements allowing for telework.

Power Dynamics

Elon Musk and Vivek Ramaswamy hold significant influence as leaders of DOGE. Their vision includes modernizing federal technology and maximizing governmental efficiency.

The White House has also proposed offering buyouts to federal employees who refuse to comply with the return-to-office mandate, a move that could further reduce the workforce.

Outside Impact

The proposed cuts could lead to an increase in dependency on federal contractors. Historical data shows that when the federal workforce is reduced, the number of government contractors often increases.

This shift could have broader implications, such as increased costs and inefficiencies, as well as potential disruptions to critical government services.

Future Forces

Looking ahead, the federal workforce may face significant changes. The plan to reduce the workforce through buyouts and attrition is set to be implemented within the next 90 days.

Additionally, the requirement for federal employees to return to in-person work could lead to a wave of voluntary terminations, further reducing the workforce.

Data Points

  • November 2024: Federal government employed over 3 million people.
  • March 2024: 2,278,730 executive-branch workers were documented by OPM’s FedScope data portal.
  • 2000: Federal employment, excluding the Postal Service, was at 1,855,900 people.
  • 1999: U.S. Postal Service workforce peaked at 909,000 before declining to around 600,000.
  • 2024: About 54% of federal employees work every day in roles not eligible for telework.

The proposed cuts to the federal workforce by the Trump administration could have far-reaching consequences, including increased reliance on contractors and potential disruptions to government services. As the plan unfolds, it will be crucial to monitor its impact on both the workforce and the public.