Elon Musk’s Department of Government Efficiency (DOGE) is making headlines again, this time for uncovering enormous savings by aggressively targeting costly DEI (Diversity, Equity, and Inclusion) initiatives. In a series of explosive posts on X (formerly Twitter), DOGE announced that it has already saved the federal government around $1 billion per day—although Musk noted that to achieve a target of $1 trillion in overall savings, that figure will need to rise to over $3 billion a day.
According to DOGE, these savings have primarily come from two areas: halting the hiring of employees for positions deemed unnecessary, and terminating expensive DEI-related contracts. Since the inauguration on January 20, DOGE has canceled 85 DEI-focused contracts across multiple federal agencies, including the Departments of Education, Labor, Treasury, Defense, Agriculture, Commerce, and several others. In an official post, DOGE detailed that through January 29, 2025, the agency terminated contracts totaling roughly $1 billion. This move, aimed at dismantling what they describe as a “DEI regime,” is part of a broader initiative to trim wasteful discretionary spending.
Elon Musk himself took to X to emphasize the scale of the cost savings, stating, “DOGE has now saved taxpayers over $1 billion in crazy DEI contracts.” He further explained how these savings were derived from canceling contracts that he believed were not producing results but merely serving as political gestures. According to DOGE’s internal reports, the cancellation of these contracts has been just the beginning of a sweeping overhaul intended to align federal spending more closely with efficient, mission-critical operations.
The cost-cutting measures don’t end with DEI contracts. In another series of posts, DOGE revealed that it had identified additional savings by terminating underutilized leases. The General Services Administration (GSA) recently terminated three leases covering mostly empty office spaces. The tenants were relocated within the existing GSA portfolio, resulting in immediate savings of $1.6 million. This was only the initial step: in just six days, the number of terminated leases jumped from 3 to 22, and the savings increased from $1.6 million to an impressive $44.6 million. These actions reflect DOGE’s commitment to “right sizing” the federal real estate portfolio, which includes over 7,500 leases.
The public response on X has been a mix of praise and skepticism. Supporters cheered the initiative, with one commenter proclaiming, “Awesome, cash cow for DEI leftists/Marxists are gone. $1 billion is lots of taxpayer money.” Another user added, “This is a huge step in the right direction! Nearly $1 billion in DEI-related contracts terminated shows a serious commitment to cutting the fat and focusing on real results, not just political agendas.” However, not all reactions have been positive. Some critics have questioned whether the savings might come at the cost of undermining programs designed to promote inclusivity and fairness. One pointed comment suggested that the termination of these contracts might reveal underlying corruption, hinting that the companies benefiting from these leases could have ties with influential lawmakers.
While supporters of the DOGE initiative argue that these drastic measures are necessary to eliminate wasteful spending and boost efficiency, detractors worry about the potential fallout. Critics contend that DEI programs, despite their high costs, play a crucial role in ensuring equitable opportunities across diverse communities. They argue that cutting these programs might lead to unintended consequences, such as reduced support for underrepresented groups within the federal workforce and beyond.
Nonetheless, DOGE’s aggressive strategy appears to be a deliberate effort to align federal spending with the new administration’s goals of fiscal responsibility and streamlined operations. The initiative underscores a broader political debate about the role of DEI initiatives in government and whether such programs represent essential investments in a diverse society or merely expensive political ventures.
As the DOGE team continues to monitor federal expenditures and seek further efficiencies, the administration’s plan to ramp up daily savings to over $3 billion remains a bold and ambitious target. Whether these efforts will eventually add up to the promised trillion-dollar savings is yet to be seen, but for now, the aggressive cost-cutting measures are sending ripples through Washington.
