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President Donald Trump's administration took further steps on Tuesday to reshape the federal workforce, targeting bank regulators, rocket scientists, and tax officials for dismissal. This comes after a federal judge allowed Trump to proceed with his sweeping restructuring of the U.S. civil service—at least for now.
With Trump's endorsement, tech billionaire Elon Musk's Department of Government Efficiency (DOGE) has aggressively cut thousands of federal jobs since Trump assumed office last month. Musk, a key campaign donor, has been leading this drastic overhaul, with the administration claiming, albeit without evidence, that the effort will save “hundreds of billions of dollars.” According to Musk’s team, $55 billion has been saved so far—less than 1% of the federal government’s annual $6.7 trillion budget.
Republicans have hailed the initiative as a necessary step to reduce what they perceive as a bloated and inefficient federal bureaucracy. Meanwhile, Democrats warn that Trump is overstepping his constitutional authority and dismantling essential government programs, jeopardizing middle-class families. Critics also argue that Musk is operating without oversight, gaining access to sensitive government data.
NASA, IRS, and Other Agencies Face Deep Cuts
The latest round of dismissals has extended to NASA, where at least 1,000 employees, including rocket scientists, face termination, according to sources familiar with the space agency’s plans. The cuts have created an atmosphere of fear among employees.
"People are scared and hesitant to voice dissent or disagreement," said an anonymous NASA employee.
The White House has not provided figures on total layoffs. Instead, reports are emerging from within federal agencies. The Office of Personnel Management (OPM) set a deadline for all departments to submit lists of terminated probationary employees and those marked for retention, though it remains unclear if these numbers will be disclosed.
Court Battles Over Musk’s Role
At least 20 lawsuits have been filed in federal courts challenging Musk’s authority, yielding mixed results. In a significant ruling on Tuesday, U.S. District Judge Tanya Chutkan denied a request by state attorneys general to halt DOGE, allowing the initiative to continue as legal challenges proceed.
However, Chutkan expressed concerns over Musk’s unchecked authority.
"Plaintiffs legitimately question what appears to be the unchecked power of an unelected individual and an entity not created by Congress, over which there is no oversight," she wrote in her ruling.
Democratic lawmakers have also raised concerns about transparency, citing unanswered oversight committee requests and agency officials’ unresponsiveness.
Trump Expands Executive Authority
Further asserting executive control, Trump issued an order on Tuesday claiming presidential supervision over all independent government agencies except the Federal Reserve. Meanwhile, layoffs continued across key federal institutions.
The IRS identified at least 7,500 employees for dismissal, while the Federal Deposit Insurance Corporation confirmed an undisclosed number of job cuts. Layoffs were also expected at the Federal Emergency Management Agency (FEMA) and the Department of Homeland Security (DHS), where Trump’s administration planned to fire hundreds of senior officials deemed disloyal.
Musk’s Influence and Federal Investigations
Among those affected by the government’s restructuring are officials overseeing Musk’s brain implant company, Neuralink. His role in government operations has sparked concerns about the fate of at least 20 ongoing federal investigations into his business empire.
Despite the controversy, Trump defended Musk, denying that the billionaire was making policy decisions but acknowledging his influential role.
"Elon is, to me, a patriot," Trump said. "You can call him an employee, a consultant, whatever you want—but he’s a patriot."
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