Elon Musk
DOGE’s cost-cutting measures have reduced the Inter-American Foundation’s workforce to a single employee, in line with Trump’s push to shrink federal bureaucracy. Twitter / Camarote da República @camarotedacpi

In line with President Trump's executive order to streamline federal bureaucracy, the Department of Government Efficiency (DOGE) announced on 4th March that the Inter-American Foundation's workforce had been reduced to a single employee.

According to DOGE, led by Elon Musk, the independent federal agency previously employed 48 staff members, each earning an average salary of £102,213 ($131,000) per year. "The Inter-American Foundation—an agency primarily responsible for issuing foreign grants with a £47.1 million ($60 million) budget—has now been reduced to its statutory minimum of one active employee," DOGE stated in a post on X.

DOGE's Downsizing Initiative

Created by Congress in 1969, the Inter-American Foundation (IAF) issues grants to countries in Latin America and the Caribbean, supporting 'localised community-led development,' as the agency's website states.

Since 1972, the agency has awarded approximately 5,800 grants, totalling over $945 million. It asserts that its approach is 'increasingly recommended as the most effective way to improve the quality of life in marginalised communities.'

Due to severe reductions, the cost-cutting initiative resulted in the cancellation of several Inter-American Foundation grants, such as:

  • £284566.65 ($364,500): Reduce social discrimination of recyclers in Bolivia.
  • £634876.39 ($813,210): Vegetable gardens in El Salvador.
  • £252661.62 ($323,633): Cultural understanding of Venezuelan migrants in Brazil.
  • £570776.68 ($731,105): Improve mushroom/pea marketability in Guatemala.
  • £528803.69 ($677,342): Expand fruit/jam sales in Honduras.
  • £377349.43 ($483,345): Artisanal salt production in Ecuador.
  • £30642.64 ($39,250): Beekeeping in Brazil.

Trump's Cost-Cutting Slashes Foreign Aid And USAID Grants

The cuts were implemented in response to Trump's 19th February executive order labelling federal spending on the Inter-American Foundation, the Presidio Trust, the United States African Development Foundation, and the United States Institute of Peace as 'unnecessary.'

'The non-statutory components and functions of the following governmental entities shall be eliminated to the maximum extent consistent with applicable law, and such entities shall reduce the performance of their statutory functions and associated personnel to the minimum presence and function required by law,' the order explains.

Seeking to eliminate waste, fraud, and abuse in the federal government, the Trump administration has scrutinised foreign aid spending, tasking Musk and his DOGE team with leading this effort and ensuring the implementation and enforcement of the President's executive orders.

With plans to eliminate approximately £46.84 billion ($60 billion) in foreign aid, the Trump administration aims to terminate 92% of USAID and 45% of State Department grants. Since implementing its cost-cutting initiatives, DOGE claims to have generated savings of approximately £42.94 billion ($55 billion).

Trump Praises DOGE Chief For Reducing Waste

Trump recognised DOGE's impact early on, specifically mentioning Musk during his first joint address to Congress. During his address, the President emphasised DOGE's success in cutting costs, calling Musk its leader and noting that he 'didn't need this.'

While Musk was seated in the gallery, Trump recognised his contribution to controlling inflation and decreasing government spending. 'Created the DOGE, perhaps you heard of it... which is headed by Elon Musk, who is in the gallery tonight, thank you Elon, you are working very hard,' Trump said.

Following Trump's remarks, Musk stood up in the gallery as Republican lawmakers applauded. 'Thank you very much, we appreciate it...he didn't need this... even this side (Democrats) appreciates this, they just don't want to admit,' he said.

'To further combat inflation, we will not only be reducing the cost of energy, but we'll be ending the flagrant waste of taxpayer dollars,' the President added. Trump noted that to combat inflation further, his administration would cut energy costs and end the reckless waste of taxpayer dollars, reinforcing his vision for DOGE.

Meanwhile, Democrats held small black signs with bold white lettering that read 'Protect Veterans,' 'Save Medicaid,' and 'Musk Steals.' Some raised them even higher as Trump began his speech, demonstrating their opposition.