World

Elon Musk is a ‘special government employee’, White House confirms

The world’s richest man has been granted broad latitude by Donald Trump to reduce the size of the federal government.

Elon Musk (Kevin Lamarque/AP)
Elon Musk (Kevin Lamarque/AP) (Kevin Lamarque/AP)

Elon Musk is working for Donald Trump as a “special government employee”, according to a White House official, solidifying his role in the administration but sidestepping some disclosure rules that are typical for federal workers.

The source said Mr Musk has a government email address and office space in the White House complex.

The world’s richest man has been granted broad latitude by the president to reduce the size of the federal government.

On Monday morning, the headquarters of the US Agency for International Development was abruptly shut down, and Mr Musk’s team, known as the Department of Government Efficiency, has also received access to sensitive payment systems at the US Treasury Department.

Elon Musk at Donald Trump’s rally on January 19 (Alex Brandon/AP)
Elon Musk at Donald Trump’s rally on January 19 (Alex Brandon/AP) (Alex Brandon/AP)

Democrats fear that Mr Musk is consolidating power within the federal government, acting without accountability and potentially against the law.

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Special government employees are usually appointed to their position for up to 130 days. It is unclear how standard rules on ethics agreements and financial disclosures will apply to Mr Musk, who has billions of dollars in federal contracts with SpaceX, his rocket company.

He does not receive a salary for his work, the White House official said, and under federal guidelines, it is unlikely that he will need to file a public financial disclosure report.

The official did not provide additional details apart from saying that Mr Musk is following the law.

The stock market value of Mr Musk electric vehicle firm Tesla has rocketed by half a trillion dollars since the presidential election, a climb uninterrupted in recent days despite a disappointing financial report that would have sunk the stock of nearly any other company.

Investors appear to be wagering that Mr Trump will help the company more than damage it with his plans to axe reams of Washington regulations and wield tariffs to get his way with key trading partners.

Mr Trump signalled his approval of Mr Musk’s work on Sunday evening after returning to Washington from a weekend in Florida.

“I think Elon is doing a good job. He’s a big cost-cutter,” the president said.

“Sometimes we won’t agree with it and we’ll not go where he wants to go. But I think he’s doing a great job.”