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Hundreds of thousands of federal workers have been given little more than 48 hours to explain what they accomplished over the last week, sparking confusion across key agencies as billionaire Elon Musk expands his crusade to slash the size of federal government.

Musk, who serves as President Donald Trump’s cost-cutting chief, telegraphed the extraordinary request on his social media network on Saturday.

“Consistent with President @realDonaldTrump’s instructions, all federal employees will shortly receive an email requesting to understand what they got done last week,” Musk posted on X, which he owns. “Failure to respond will be taken as a resignation.”

Shortly afterward, federal employees — including some judges, court staff and federal prison officials — received a three-line email with this instruction: “Please reply to this email with approx. 5 bullets of what you accomplished last week and cc your manager.”

The deadline to reply was listed as Monday at 11:59 p.m., although the email did not include Musk’s social media threat about those who fail to respond.

The latest unusual directive from Musk’s team injects a new sense of chaos across beleaguered multiple agencies, including the National Weather Service, the State Department and the federal court system, as senior officials worked to verify the message’s authenticity Saturday night and in some cases, instructed their employees not to respond.

Thousands of government employees have already been forced out of the federal workforce — either by being fired or offered a buyout — during the first month of Trump’s administration as the White House and Musk’s so-called Department of Government Efficiency fire both new and career workers, tell agency leaders to plan for “large-scale reductions in force” and freeze trillions of dollars in federal grant funds.

There is no official figure available for the total firings or layoffs so far, but The Associated Press has tallied hundreds of thousands of workers who are being affected. Many work outside of Washington. The cuts include thousands at the Departments of Veterans Affairs, Defense, Health and Human Services, the Internal Revenue Service and the National Parks Service, among others.

Labor union leaders quickly condemned the ultimatum and threatened legal action.

AFGE President Everett Kelley called the new order an example of Trump and Musk’s “utter disdain for federal employees and the critical services they provide to the American people.”

“It is cruel and disrespectful to hundreds of thousands of veterans who are wearing their second uniform in the civil service to be forced to justify their job duties to this out-of-touch, privileged, unelected billionaire who has never performed one single hour of honest public service in his life,” Kelley said. “AFGE will challenge any unlawful terminations of our members and federal employees across the country.”

Musk on Friday celebrated his new role at a gathering of conservatives by waving a giant chainsaw in the air. He called it “the chainsaw for bureaucracy” and said, “Waste is pretty much everywhere” in the federal government.

McLaurine Pinover, a spokesperson at the Office of Personnel Management, confirmed Musk’s directive and said that individual agencies would “determine any next steps.”

What happens if an employee is on leave or vacation? Again, she said individual agencies would determine how to proceed.

In a message to employees on Saturday night, federal court officials instructed recipients not to respond.

“We understand that some judges and judiciary staff have received an email ... directing the recipient to reply with 5 accomplishments from the prior week. Please be advised that this email did not originate from the Judiciary or the Administrative Office and we suggest that no action be taken,” officials wrote.

Judges around the country got emails from Musk’s team in late January, apparently by mistake, U.S. District Judge Randolph Daniel Moss said earlier this month. Moss said he’d also gotten a message and ignored it.

The National Weather Service leadership acknowledged some confusion in a message to its employees late Saturday as well.



Troubled electric vehicle maker Nikola has filed for Chapter 11 bankruptcy protection months after saying that it would likely run out of cash early this year.

Nikola was a hot start-up and rising star on Wall Street before becoming enmeshed in scandal and its founder was convicted in 2022 for misleading investors about the Arizona company’s technology.

At the trial of founder Trevor Milton, prosecutors say a company video of a prototype truck appearing to be driven down a desert highway was actually a video of a nonfunctioning Nikola that had been rolled down a hill.

But the hype around the company was immense. In 2020, Nikola was valued at around $30 billion, exceeding the market capitalization of Ford Motor Co.

Nikola filed for protection in the United States Bankruptcy Court for the District of Delaware and said Wednesday that it has also filed a motion seeking approval to pursue an auction and sale of the business.

The company has about $47 million in cash on hand. rolled

Nikola Corp. plans to to continue limited service and support operations for vehicles on the road, including fueling operations through the end of March, subject to court approval. The company said that it will need to raise more funding to support those types of activities after that time.

“Like other companies in the electric vehicle industry, we have faced various market and macroeconomic factors that have impacted our ability to operate,” CEO Steve Girsky said in a statement.

The executive said the company has made efforts in recent months to raise funds and reduce liabilities and preserve cash, but that it hasn’t been enough.

“The Board has determined that Chapter 11 represents the best possible path forward under the circumstances,” Girsky said.

In December 2023 founder Trevor Milton was sentenced to four years in prison after being convicted of exaggerating claims about his company’s production of zero-emission 18-wheel trucks, leading to sizeable losses for investors.

Milton was convicted of fraud charges, portrayed by prosecutors as a con man six years after he had founded the company in a basement in Utah.

Prosecutors said Milton falsely claimed to have built its own revolutionary truck that was actually a General Motors product with Nikola’s logo stamped onto it.

Called as a government witness, Nikola’s CEO testified that Milton “was prone to exaggeration” when pitching his venture to investors.

Milton resigned in 2020 amid reports of fraud that sent Nikola’s stock prices into a tailspin. Investors suffered heavy losses as reports questioned Milton’s claims that the company had already produced zero-emission 18-wheel trucks.




Even as he’s vowed to push the United States ahead in artificial intelligence research, President Donald Trump’s threats to alter federal government contracts with chipmakers and slap new tariffs on the semiconductor industry may put new speed bumps in front of the tech industry.

Since taking office, Trump has said he would place tariffs on foreign production of computer chips and semiconductors in order to return chip manufacturing to the U.S. The president and Republican lawmakers have also threatened to end the CHIPS and Science Act, a sweeping Biden administration-era law that also sought to boost domestic production.

But economic experts have warned that Trump’s dual-pronged approach could slow, or potentially harm, the administration’s goal of ensuring that the U.S. maintains a competitive edge in artificial intelligence research.

Saikat Chaudhuri, an expert on corporate growth and innovation at U.C. Berkeley’s Haas School of Business, called Trump’s derision of the CHIPS Act surprising because one of the biggest bottlenecks for the advancement of AI has been chip production. Most countries, Chaudhuri said, are trying to encourage chip production and the import of chips at favorable rates.

“We have seen what the shortage has done in everything from AI to even cars,” he said. “In the pandemic, cars had to do with fewer or less powerful chips in order to just deal with the supply constraints.”

The Biden administration helped shepherd in the law following supply disruptions that occurred after the start of the COVID-19 pandemic ? when a shortage of chips stalled factory assembly lines and fueled inflation ? threatened to plunge the U.S. economy into recession. When pushing for the investment, lawmakers also said they were concerned about efforts by China to control Taiwan, which accounts for more than 90% of advanced computer chip production.

As of August 2024, the CHIPS and Science Act had provided $30 billion in support for 23 projects in 15 states that would add 115,000 manufacturing and construction jobs, according to the Commerce Department. That funding helped to draw in private capital and would enable the U.S. to produce 30% of the world’s most advanced computer chips, up from 0% when the Biden-Harris administration succeeded Trump’s first term.

The administration promised tens of billions of dollars to support the construction of U.S. chip foundries and reduce reliance on Asian suppliers, which Washington sees as a security weakness. In August, the Commerce Department pledged to provide up to $6.6 billion so that Taiwan Semiconductor Manufacturing Co. could expand the facilities it is already building in Arizona and better ensure that the most advanced microchips are produced domestically for the first time.

But Trump has said he believes that companies entering into those contracts with the federal government, such as TSMC, “didn’t need money” in order to prioritize chipmaking in the U.S.

“They needed an incentive. And the incentive is going to be they’re not going to want to pay at 25, 50 or even 100% tax,” Trump said. TSMC held board meetings for the first time in the U.S. last week. Trump has signaled that if companies want to avoid tariffs they have to build their plants in the U.S. ? without help from the government. Taiwan also dispatched two senior economic affairs officials to Washington to meet with the Trump administration in a bid to potentially fend off a 100% tariff Trump has threatened to impose on chips.

If the Trump administration does levy tariffs, Chaudhuri said, one immediate concern is that prices of goods that use semiconductors and chips will rise because the higher costs associated with tariffs are typically passed to consumers.



by legalnewspost.com

The Supreme Court Revives Corporate Transparency Act, Mandating Small Business Registration

The Supreme Court has reinstated a key provision of the Corporate Transparency Act (CTA), requiring owners of over 32.6 million small businesses to register personal information with the Treasury Department’s Financial Crimes Enforcement Network (FinCEN). This act, designed to combat money laundering and the misuse of anonymous shell companies, was previously blocked by a federal judge in Texas and held by the 5th U.S. Circuit Court of Appeals.

[Image credit: Pexel]

Key Details of the Ruling:

  • What is Required: Small business owners must provide personal information, including photo IDs and home addresses, to FinCEN.
  • Purpose: To deter financial crimes and increase transparency in corporate ownership.
  • Legal Challenges: Opposed by Republican-led states, conservative groups, and business associations, the law was initially struck down on grounds that Congress overstepped its authority.

Reactions:

  • Supporters: Labor, environmental, and progressive groups applaud the decision as a win for transparency.
  • Opponents: Business organizations express concerns about compliance challenges and legal uncertainty. The National Small Business Association and Small Business & Entrepreneurship Council have called for clarity and leniency for late filers.

Next Steps:

  • The Supreme Court’s decision allows enforcement to proceed while the Texas case continues.
  • Advocates for repeal, including business leaders, urge Congress to reassess the mandate.

This decision marks a significant step in the federal government’s efforts to curb illicit financial activities, though its future enforcement and impact remain subjects of heated debate.




The Supreme Court ‘s decision could come Friday in the case about whether TikTok must shut down in a few days under a federal law that seeks to force its sale by the Chinese company that owns the social media platform used by 170 million people in the U.S.

The justices are weighing a free speech challenge to the law, which takes effect Sunday, against the national security concerns that prompted its enactment with broad bipartisan support last year. A lawyer for TikTok and ByteDance, its Chinese owner, told the court last week that TikTok will “go dark” on Sunday unless the justices grant it a temporary reprieve or strike down the law.

During courtroom arguments, most of the justices seemed likely to uphold the law.

Alongside the ongoing court case, a potential lifeline for TikTok has emerged. President-elect Donald Trump, who once supported banning the app, is exploring options to “preserve” TikTok, his incoming national security adviser, Florida Rep. Mike Waltz, said in a televised interview on Wednesday.

It’s not clear what authority Trump has to intervene, although he could direct the Justice Department not to enforce the law, which threatens sanctions against the technology companies that make the app available and host it. The Supreme Court indicated Thursday that the justices will issue at least one decision Friday, adhering to its custom of not saying which one. But it also departed from its usual practice in some respects, heightening the expectation that it’s the TikTok case that will be handed down.

Except for when the end of the term nears in late June, the court almost always issues decisions on days when the justices are scheduled to take the bench. The next scheduled court day is Tuesday.

And apart from during the coronavirus pandemic, when the court was closed, the justices almost always read summaries of their opinions in the courtroom. They won’t be there Friday.

Any opinions will post on the court’s website beginning just after 10 a.m. EST Friday.




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