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. Hey, thank you so much for listening today. I really do appreciate your support. If you could take a second and hit this subscribe or the follow button on whatever podcast platform that you're listening on right now, I greatly appreciate it.
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