Elon Musk’s DOGE initiative offers SEC workers $50,000 to resign in 30 days
In a surprising move aimed at restructuring the US government workforce, Elon Musk‘s Department of Government Efficiency (DOGE) has announced an offer to employees of the US Securities and Exchange Commission (SEC). As part of Musk’s cost-cutting measures, SEC workers are being offered a $50,000 financial incentive to voluntarily resign or retire within the next 30 days. This initiative, part of a broader effort to reduce federal government spending, has sparked significant discussion within government circles.
The offer was communicated through an email sent by SEC Chief Operating Officer Ken Johnson. According to reports, employees who have been with the agency since before January 24, 2025, must either resign, retire, or transfer to another government agency. The SEC, which employs about 5,000 individuals, is encouraging its workers to make quick decisions. Those who choose to accept the payout have until March 21, 2025, to apply and must depart by April 4, 2025. As reported by Forbes, this package is part of a broader plan led by Musk to reduce government payrolls and streamline federal agencies.
Restructuring the SEC under DOGE
The SEC buyout offer comes as part of a larger restructuring initiative under DOGE, a new department led by Musk with the goal of reducing what he considers wasteful spending within the federal government. As reported by Forbes, DOGE’s efforts have already led to the elimination of over 100,000 positions across the federal workforce, which consists of roughly 2.6 million employees. The government has reportedly saved $50 billion in the first few months of these initiatives, and the restructuring is expected to result in significant long-term savings, potentially amounting to several percentage points of the nation’s GDP.
The SEC, along with other agencies, is facing increased pressure to streamline operations. As reported by Forbes, the buyout offer is seen as a strategic move to cut costs while simultaneously restructuring the agency to make it more efficient. Employees who accept the offer will receive the $50,000 payment, but if they return to the SEC within five years, they will be required to pay back the full amount.
The implications of the buyout offer
For SEC employees, the decision is not without its challenges. While $50,000 may provide a financial cushion, the economic landscape is currently uncertain. The offer places workers at a crossroads: either accept the payout and explore new opportunities or risk potential job insecurity in the future. As quoted by Forbes, Treasury Secretary Scott Bessent said that the government’s overall restructuring could save “several percent of GDP.”
For those who choose to resign, the franchise sector may provide a potential new path. In 2023, the US had over 805,000 franchises, with many opportunities in food services, tutoring, business coaching, and other sectors. Workers looking to transition could leverage the skills they acquired at the SEC to run successful franchise businesses.
As Musk’s DOGE initiative continues to reshape the government, its impact on federal agencies, including the SEC, will likely be felt for years to come.
