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Elon Musk exits Trump administration over 'big, beautiful' bill dispute

Musk thanked US President Donald Trump for the opportunity

Elon Musk Leaves Trump Admin Amid Bill Disagreement

The exit was soon after his criticism about the legislative centrepiece of Trump’s agenda

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Billionaire and Tesla CEO Elon Musk has announced his departure from Donald Trump’s administration after completing a turbulent efficiency drive, during which he served as a special government employee.

The initiative aimed to cut thousands of federal jobs and reduce the size of the US government.


Musk thanked US President Donald Trump for the opportunity to contribute to the Department of Government Efficiency—also known as DOGE—via social media platform X.

“As my scheduled time as a Special Government Employee comes to an end, I would like to thank President @realDonaldTrump for the opportunity to reduce wasteful spending,” Musk wrote on X. He added that the DOGE mission “will continue and eventually become a way of life with this government.”

His offboarding process from the White House began on Wednesday night.

Although Musk’s role was always intended to be temporary, his departure came shortly after he criticised a key part of Trump’s legislative agenda.

Musk expressed disappointment with the president’s budget bill, which includes multi-trillion-dollar tax cuts and a major increase in defence spending. He stated that “a bill can be either big or beautiful, but it cannot be both,” referring to Trump’s description of it as a “big, beautiful bill.” He warned that the bill could seriously undermine the DOGE mission.

He also called the president’s flagship tax legislation too expensive.

Tensions had also emerged between Musk and several Trump cabinet officials. Musk initially pledged to cut “at least $2 trillion” from the federal government budget, but later revised the target to $150 billion. He openly criticised White House trade adviser Peter Navarro, calling him a “moron” for rejecting his proposal for “zero tariffs” between the US and Europe.

As a result of the DOGE programme, around 260,000 out of the 2.3 million-strong federal civilian workforce have either been made redundant or accepted voluntary severance.

Musk’s exit was as low-key as his appointment, with no formal discussion with the president. However, he had been permitted to serve as a special federal employee for up to 130 days a year, and Trump had previously announced that Musk’s tenure would end in May.

The Tesla and SpaceX owner has now pledged to refocus on his business interests, which have struggled during his political stint.

Tesla experienced a 13 per cent drop in sales, and a 45 per cent fall in stock prices—later recovering to a 10 per cent dip. Investors are facing a difficult period, while activists have launched aggressive campaigns to boycott the company.

Musk has spent roughly $300 million supporting Trump’s presidential campaign and other Republican causes. However, he now says he plans to reduce his political spending, stating: “I think I have done enough.” Despite promising Trump’s advisers a $100 million contribution this year, the funds have yet to be delivered.

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Musk backs H1B visas, says US has 'long benefitted' from Indian workers

Highlights

  • Roughly 70 per cent of H1B visas used by Indian citizens working in technology and medicine sectors.
  • Trump administration imposed $100,000 fee on H1B applicants in September, sparking anxiety.
  • Approvals for Indian outsourcing firms drop 70 per cent since 2015 to lowest level in decade.
Elon Musk has backed the H1B visa programme, saying America has "long benefitted" from talented Indian migrant workers, even as he acknowledged the system is being "gamed" by some outsourcing companies.
H1B visa approvals for Indian outsourcing companies have plunged 70 per cent since 2015 to their lowest level in a decade and insisted the solution lies in stopping the abuse rather than dismantling the programme entirely.
Musk made the comments during an interview with Indian entrepreneur Nikhil Kamath on his podcast, released on Sunday evening. He said "We need to stop the gaming of the system. But I'm certainly not in the school of thought that we should shut down the H1B programme...which some on the Right are. I think they don't realise that that would actually be very bad."
Data released this month by the National Foundation for American Policy (NFAP) showed the top seven Indian companies had only 4,573 H1B petitions approved for initial employment this financial year.H1B visas allow US companies to hire skilled foreign workers, with roughly 70 per cent used by Indian citizens working in sectors like technology and medicine.

Visa approvals plummet

In September, US President Donald Trump added a $100,000 (£74,000) fee for H1B visa applicants, sparking anxiety among Indian workers and employers.

H1B visas are allocated through a lottery system. Outsourcing and staffing firms have been accused of manipulating the system using tactics such as submitting multiple entries for the same worker or using the visa to hire low-cost contract workers rather than for specialty occupations.

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