WASHINGTON, USA — President Donald Trump signed an executive order on Monday, January 20, 2025, formally establishing the Department of Government Efficiency, DOGE, as a federal entity, marking a key step in his administration’s pledge to streamline government operations.
The order temporarily renames the United States Digital Service, USDS, as the United States DOGE Service for 18 months and tasks the entity with leading a sweeping “Software Modernisation Initiative.”
The goal: to overhaul the software used across federal agencies to “maximise governmental efficiency and productivity.”
A New Structure for Efficiency
Under the executive order, all federal agencies must establish DOGE teams composed of a team lead, an engineer, a human resources specialist, and an attorney.
The teams are expected to work in tandem with the United States DOGE Service to implement modernised systems tailored to each agency’s needs.
“Each DOGE Team will typically include one DOGE Team Lead, one engineer, one human resources specialist, and one attorney,” the executive order specifies.
Absent from the order, however, are explicit references to significant budget cuts or workforce reductions—key promises President Trump initially associated with the DOGE initiative when it was unveiled in November.
Further executive actions may address those objectives in the future, administration officials said.
Musk at the Helm
Tech entrepreneur Elon Musk has been tapped to spearhead the initiative, an appointment that has drawn both praise and scrutiny.
Musk initially pledged that DOGE could help cut at least $2 trillion from the federal budget but has since revised that target to $1 trillion.
The executive order’s designation of DOGE as part of the federal government has raised questions about Musk’s role in the initiative, particularly in light of his companies’ substantial federal contracts.
If Musk serves as an outside advisor, he would be exempt from the financial disclosure and conflict-of-interest requirements imposed on government employees.
However, should he take on a formal role within the federal structure, watchdogs warn, his involvement could trigger significant conflict-of-interest concerns.
“Making DOGE a formal part of the executive branch changes the calculus,” said Max Stier, CEO of the Partnership for Public Service.
“If Elon Musk becomes a special government employee as DOGE leader, the potential for conflicts of interest given his business interests is substantial.”
The Path Forward
When President Trump introduced the DOGE initiative last year, he emphasised its focus on providing external advice to the federal government.
Its new status within the executive branch suggests a pivot in strategy, according to sources familiar with the plans.
Further complicating the matter is the abrupt departure of entrepreneur Vivek Ramaswamy, who had co-led the initiative alongside Musk.
Ramaswamy had publicly emphasised the need for DOGE to reduce regulatory burdens and eliminate inefficiencies within the federal government.
The creation of this new federal entitity marks the latest chapter in Trump’s push to reshape the federal bureaucracy, though questions remain about its implementation and Musk’s role.
As federal agencies prepare to establish their DOGE teams, all eyes will be on the effectiveness of the initiative in achieving its ambitious goals.