Massive Staff Cuts and Office Closures Planned at Social Security Administration (SSA)
Democrats Warn of “Dismantling the Social Safety Net”
Joe Biden Criticizes the Move as “Taking an Axe to Social Security”

Tensions continue to mount over the future of the U.S. Social Security system. Under the leadership of Tesla CEO Elon Musk, the Department of Government Efficiency (DOGE) has begun scaling back operations at the Social Security Administration (SSA). In response, Democrats have pushed back strongly, warning that President Donald Trump’s governance is threatening the livelihood of ordinary Americans.

Musk Calls Social Security a “Massive Fraud”

On April 17, reports from The Washington Post and Bloomberg revealed that the Trump administration has launched a sweeping overhaul of the U.S. Social Security system in its push for federal downsizing and budget cuts. This foundational welfare program provides retirement, disability, and survivors’ benefits, funded by payroll taxes.

DOGE head Elon Musk described the program as “the greatest Ponzi scheme in history”, citing mismanagement, waste, and improper payments to deceased beneficiaries between 2015 and 2022. The administration has already announced plans to cut at least 7,000 Social Security Administration (SSA) staff and shutter 47 of the 1,200 SSA offices nationwide.

Ims Agresti, head of the conservative think tank Just Facts, echoed Musk’s stance in an interview with Fox News, calling Social Security “structurally identical to a Ponzi scheme as defined by the SEC.” He argued that the $6.7 billion administrative cost of running SSA could otherwise fund benefits for 300,000 recipients, supporting the case for staff reductions.

Ims Agresti, head of the conservative think tank Just Facts, echoed Musk’s stance in an interview with Fox News, calling Social Security “structurally identical to a Ponzi scheme as defined by the SEC.” He argued that the $6.7 billion administrative cost of running SSA could otherwise fund benefits for 300,000 recipients, supporting the case for staff reductions.

Biden Issues First Post-Presidency Rebuke of Trump: “He Caused Enormous Harm and Destruction”

The backlash from Democrats was immediate. Senators Elizabeth Warren, Ron Wyden, and Mark Kelly condemned the policy shift, calling Social Security a national obligation and safety net now in jeopardy due to the Trump administration’s “incompetence.”

Former President Joe Biden, in his first major public rebuke since leaving office, slammed Trump’s approach during a keynote at a disability rights event in Chicago on April 15. He criticized the firing of 7,000 SSA workers, noting, “Many Americans rely on Social Security as their only source of income. Cutting it would be devastating.”

Responding to Musk’s fraud allegations, Biden said: “What nonsense. People are receiving benefits they’re entitled to.” He also criticized Commerce Secretary Howard Lutnick, who reportedly called frustrated claimants “frauds,” remarking, “Imagine a 94-year-old mother living alone with no billionaire in the family—what then?”

Immigrant Communities on Edge Amid Musk-Style Government Overhaul

Advocates warn that SSA downsizing is already fueling uncertainty—especially among immigrant communities. For immigrants, failing to update Social Security records after gaining legal status can result in missed benefits due to mismatched government databases.

Compounding the issue, the Real ID Act goes into full effect on May 7, requiring compliant ID for domestic flights and federal building access. The DMV verifies ID against SSA records, meaning outdated information may prevent access to basic services.

An immigrant rights organizer explained: “Even naturalized citizens are now carrying their certificates or passports routinely. Permanent residents must carry both ID and passport to avoid misunderstandings.”

Non-citizens must also file Form AR-11 within 10 days of changing address, or risk deportation. An immigration lawyer noted, “America today is not the same as it was just months ago. For people of color and immigrants, staying ahead of the system’s changes is critical.”