Elon Musk, Donald Trump, and the Department of Government Efficiency: A Lesson for Canada

Government waste has long been a problem in both the United States and Canada. Unchecked bureaucracy, redundant agencies, and bloated public sector employment have made taxpayers the ultimate victims of government mismanagement. In the U.S., both Elon Musk and Donald Trump have been vocal about the need to streamline government operations and eliminate inefficiencies, with Musk frequently criticizing bureaucratic red tape and Trump advocating for leaner, more effective governance.

Now, with Trump pushing for the creation of the Department of Government Efficiency (DOGE)—a department focused on auditing, cutting, and restructuring wasteful government operations—the U.S. may be on the verge of a radical shift in how public resources are managed.

Canada should be paying attention. The Conservative Party of Canada (CPC) should recognize the potential benefits of a similar approach to curbing government waste and restoring fiscal responsibility. While businesses and private citizens are expected to balance budgets, reduce waste, and operate efficiently, the federal government continues to expand irresponsibly.

Here’s why the CPC should take inspiration from Musk, Trump, and the DOGE model to rein in government waste and put Canada’s finances back on track.

The Problem of a Bloated Federal Government in Canada

Canada’s federal government has grown at an unsustainable rate, with layers of bureaucracy slowing down decision-making, impeding private sector growth, and draining taxpayer dollars on non-essential programs. Instead of prioritizing efficiency and effectiveness, Ottawa has focused on expanding public sector employment and increasing regulatory oversight, often at the expense of economic development.

1. Redundant and Inefficient Government Agencies

One of the key issues that the Department of Government Efficiency aims to address in the U.S. is the consolidation or elimination of redundant agencies. The same approach could be applied in Canada, where many government departments have overlapping mandates, excessive staff, and minimal accountability for their actual productivity.

Examples of redundant or bloated agencies in Canada include:

• Employment and Social Development Canada (ESDC): Administers multiple complex benefit programs that could be simplified and streamlined.

• Canadian Heritage: Uses taxpayer dollars to fund ideological cultural programs rather than focusing on core national interests.

• Department of Fisheries and Oceans (DFO): Regulates far beyond its mandate, frequently impeding responsible resource development.

• Public Health Agency of Canada (PHAC): Expanding rapidly with increasing budgets despite questionable efficiency in handling national health issues.

The U.S. DOGE model focuses on cutting bureaucratic redundancies—a strategy the Conservative Party of Canada should seriously consider.

2. Explosive Growth in Public Sector Employment

Since 2015, Canada’s federal public sector workforce has expanded by nearly 40%, far outpacing private sector job growth. Today, over 400,000 federal employees enjoy salaries, benefits, and pensions that exceed what is typical in the private sector—all funded by taxpayers.

The push for public sector expansion continues to put pressure on the economy in multiple ways:

• Higher taxes to fund salaries, benefits, and pensions.

• Reduced productivity, as many government jobs do not contribute to economic growth.

• Private sector job losses, as resources are diverted away from business investment and towards government spending.

DOGE would force a reevaluation of public sector employment growth, ensuring that only essential roles remain. The CPC should take a similar stance in Canada, where the size of the federal workforce has reached unsustainable levels.

Canada’s Soaring Debt Crisis: A Ticking Time Bomb

While businesses and households are forced to live within their means, the federal government continues to borrow at record levels. Canada’s national debt now exceeds $1.2 trillion, with no clear plan to curb spending or balance the budget.

Government waste has direct economic consequences:

• Higher taxes on businesses and individuals.

• Increased borrowing costs, making it harder to fund essential services.

• Risk of long-term financial instability, leaving future generations to bear the burden.

The DOGE’s focus on eliminating unnecessary spending is exactly the approach Canada needs. The CPC must make debt reduction a priority, ensuring that taxpayer dollars are spent wisely rather than on bloated bureaucracy.

Environmental Agencies Blocking Development

Another key area where government waste is out of control is within environmental regulatory agencies that exist primarily to hinder, delay, or block development projects rather than ensure balanced, responsible growth.

In Canada, agencies such as the Impact Assessment Agency of Canada (IAAC) create excessive regulatory hurdles that discourage investment in mining, energy, infrastructure, and housing. Rather than facilitating responsible development, these agencies operate as obstacles that:

• Slow down job-creating projects with endless reviews and consultations.

• Drive investment away from Canada due to regulatory uncertainty.

• Increase costs for businesses while delivering minimal environmental benefits.

DOGE would aim to streamline and modernize these agencies in the U.S., ensuring that they support development rather than obstruct it. The CPC should take a similar approach, cutting down on unnecessary environmental bureaucracy and ensuring Canada remains competitive.

Rethinking Federal Funding for Canada’s Territories

One of the most glaring inefficiencies in Canadian government spending is the massive financial support given to the territories—Yukon, Northwest Territories, and Nunavut. Instead of helping these regions develop independent, sustainable private sectors, Ottawa funnels billions in federal transfers annually, keeping them dependent on government funding.

A smarter approach would be to incentivize economic development in these regions by:

• Encouraging resource development with tax incentives.

• Supporting infrastructure projects that allow industries to thrive.

• Partnering with private businesses rather than relying solely on federal dollars.

DOGE’s principle of reducing government dependency is exactly the kind of thinking Canada needs to reshape how it supports the territories.

Final Thoughts: The CPC Must Lead the Charge

The Department of Government Efficiency is a bold idea—one that Canada should take seriously. The Conservative Party of Canada has an opportunity to reshape government by:

• Eliminating wasteful agencies and streamlining government operations.

• Reducing the size of the public sector and focusing on essential services.

• Balancing the budget and controlling debt before it spirals further out of control.

• Reforming environmental regulations to facilitate rather than hinder development.

• Transforming federal funding for the territories into economic incentives rather than endless subsidies.

If Musk, Trump, and DOGE can push for government efficiency in the U.S., there’s no reason why Canada can’t follow suit. The CPC must take the lead in bringing accountability, transparency, and fiscal responsibility back to Ottawa.

The question is: will they rise to the challenge?