The White House and Elon Musk have denied reports claiming Musk is departing his role leading the Department of Government Efficiency (DOGE), with officials dismissing the story as “garbage” and “fake news” while reaffirming his temporary status. Press Secretary Karoline Leavitt stated Musk “will depart… when his incredible work at DOGE is complete,” emphasizing there’s no early exit. This follows a Politico report alleging President Trump told advisors Musk would step back after facing backlash over political activism and Tesla’s declining performance.
White House spokespeople aggressively rejected claims of Musk being pushed out, calling Politico’s reporting “fake news” motivated by canceled government contracts. Leavitt clarified Musk remains a “special government employee” limited to 130 days (expiring around late May) under ethics rules. Trump praised Musk’s work cutting $140 billion in spending but acknowledged he’ll eventually return to Tesla.
While administration insiders told Politico and ABC News that Trump privately signaled Musk’s reduced role, official channels maintain continuity. Tensions arose from Musk’s:
– Polarizing political donations ($21M to a failed Wisconsin judicial candidate)
– Controversial DOGE actions (cutting LGBTQ+ refugee aid, targeting education/military budgets)
– Declining Tesla sales (36% stock drop Q1 2025)
Tesla shares rose 3% after Politico’s story, reflecting investor optimism about Musk refocusing on the company. However, DOGE’s aggressive cuts remain divisive, with Democrats framing Wisconsin’s election as a referendum on Musk.
Musk’s hybrid government-CEO role has faced scrutiny over conflicts of interest, though Leavitt insists he follows ethics guidelines. With his 130-day term ending in May, the White House stresses this transition was always planned—not a reaction to recent controversies.
