Hey, everybody. Welcome back to the Elon Musk
Podcast. This is a show where we discuss
the critical crossroads that shape SpaceX, Tesla X, The
Boring Company, and Neurolink. I'm your host, Will Walden.
So why is the Trump administration trying to put
thousands of USAID employees on leave?
And what did the judge say about the legality of that move?
And how do Trump and Elon Musk justify their push to dismantle
the whole agency now? A federal judge on Friday
temporarily blocked the Trump administration from proceeding
with a plan to place roughly 2200 employees at the US Agency
for International Development, or US Aid on administrative
leave. The order, issued by Judge Carl
Nichols in US District Court in Washington, DC, came in response
to a lawsuit filed by two federal employee unions that
argued the move was unconstitutional and also
illegal. Now, the Trump administration
has scheduled the mass leave order to take effect at 11:59
PM. Eastern on Friday as part of a
broader effort to reduce USA's operations.
USAID, an independent government agency established in 1961,
overseas foreign Aid and Development assistance around
the world. The agency currently accounts
for about 1% of the federal budget, according to the
Brookings Institute report from September.
Judge Nichols, who was appointed by Trump in 2019, said his
restraining order was very limited and specifically applied
to the 2200 workers who had not yet been placed on leave.
He did not immediately decide whether to reverse the
administration's actions against an additional 500 USAID
employees who had already been placed on leave now.
The lawsuit against the administration was filed by the
American Foreign Service Association and the American
Federation of Government Employees.
In court filings, the unions argued that US aid was under an
onslaught of unconstitutional and illegal attacks, leaving its
workers, contractors, grantees and beneficiaries deserted in
the wreckage in a global humanitarian crisis.
In the wake, they further accuse the administration of engaging
in a deliberate campaign to dismantle USA's infrastructure
and described the proposed leave orders as a near final killing
blow to the agency of the unions requested that the court
immediately halt the administration's efforts to
limit USA's operations. And during Friday's hearings,
Nichols press Department of Justice attorney Brett Schmidt
on why the administration was moving so quickly to place the
employees on leave. What's the urgency of this?
Nichols asked. Shumate responded by setting
allegations of corruption within USAID, saying the president has
decided there is corruption in fraud at USAID.
He did not provide specific evidence or wrongdoing, but
maintained that the agency needed a major overhaul.
Now, Trump has been vocal about his disdain for USAID, accusing
it of financial mismanagement and calling for its closure.
On Friday morning, he wrote on Truth Social in all caps,
yelling the corruption is at levels rarely seen before. close
it down. Exclamation point now.
The Post echoed his long, withstanding criticism of US
foreign aid programs, which he has argued are wasteful and
ineffective. Now, Elon Musk has played a key
role in reshaping the federal government under the White
House's Department of Government Efficiency, or DOGE, also took
credit for the administration's actions against US aid, he said.
We spent the weekend feeding US aid into the wood.
Chipper said that on X. Musk's influence in
administration has grown since the launch of DOGE, an
initiative aimed at dramatically reducing the size of the federal
workforce and consolidating government agencies, and his
comments about USAID reflect his broader push to cut foreign aid
spending and streamline government operations now.
USAID was created by President John F Kennedy was created while
he was there following the passage of the foreign
assistance act. It's played a central role in
providing humanitarian aid, economic development assistance,
and disaster relief worldwide. The company's defenders argue
that it's or the agency's defenders argue that its
programs advance US foreign policy interests, promote global
stability and assist vulnerable populations.
But critics of the administration's actions warned
that the sudden removal of thousands of US aid employees
could disrupt critical aid programs, including food
assistance, medical relief efforts and support for refugees
in conflict zones. The unions representing USAID
workers have argued that their disruptions could have long term
consequences for both US diplomatic relations and global
humanitarian efforts. The Brookings Institute report
noted that while US AIDS budget is a small fraction of overall
federal spending, the agency exerts considerable influence in
International Development isn't often a key partner in disaster
response efforts. Sudden reduction in staffing
could weaken the US leadership and foreign Aid and Development,
the report suggested. Now, the judge's temporary
restraining order is not a final ruling on the matter, though the
case is expected to proceed with further hearings where the
administration will have to defend its rationale for
sidelining US aid workers. Nichols has not yet indicated
when he will issue a more definitive decision on the
legality of the leave orders. Now, as legal proceeding
continue, the future of US aid remains uncertain.
The Trump administration's effort to curtail the agency's
operations reflects a broader push to cut US involvement in
international aid, which is a priority that Trump has
emphasized since his first term. He's always been for this.
But for now, restoring the restraining order means that US
AIDS 2200 employees will remain on the job, at least
temporarily. Whether the administration
ultimately succeeds in its attempt to restructure or shut
down the agency will likely depend on the outcome of ongoing
court battles and political negotiations.
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