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How Musk’s exit throws a new generation of workers into limbo

May 30, 2025

04:33

How Musk’s exit throws a new generation of workers into limbo
How Musk’s exit throws a new generation of workers into limbo

What happens when the most disruptive tech leader in America leaves the government just as Gen Z is stepping into public service? The answer: a talent pipeline in crisis, a workforce in flux, and a generation questioning its future in Washington.


The Gen Z Federal Workforce: Already on Shaky Ground

Gen Z—those born after 1996—are the fastest-growing segment of the US workforce, expected to make up 27% by 2025. Yet, in the federal government, they’re drastically underrepresented: people under 30 account for just 7% of full-time civil servants, compared to 20% of the overall US labor force. This gap isn’t just a statistic—it’s a warning sign for the future of American governance.

Michelle Amante, VP at the Partnership for Public Service, explains,

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“For students who are in fields or disciplines that are public service-related, there is this stigma with applying for federal jobs. They feel defeated before they even apply.”


What Musk Changed—and Why It Matters to Gen Z

Elon Musk’s DOGE (Department of Government Efficiency) era was marked by rapid, sweeping layoffs, cutting nearly 12% of the federal civilian workforce, or about 260,000 jobs. Many of those jobs were entry-level or probationary roles, the very positions Gen Z targets for launching public service careers.

The Fallout:

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  • Abrupt Layoffs: Gen Zers, already underrepresented, now face even steeper odds of landing a federal job.
  • Application Drop: Early data shows a double-digit decline in federal internship and fellowship applications in 2025, as students question the stability of government work.
  • Morale Shock: Gen Z values purpose-driven work— 89% say it’s crucial to job satisfaction. The chaos and uncertainty left by Musk’s exit have left many disillusioned about whether the government can offer that sense of purpose.

Gaurav Gupta, managing director at Kotter, notes,

“Gen Z has a really important role to play… While this change has been happening in the world around us, Gen Z has been entering the workforce in this environment.”


The Flexibility Factor: Gen Z’s Top Priority Meets Government’s Old Habits

Gen Z is the most digitally savvy, flexibility-seeking generation yet. According to recent surveys:

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  • 72% of Gen Z have left or considered leaving a job due to lack of flexible work options.
  • They recoil from rigid, 9-to-5, in-office schedules, preferring hybrid or remote work.

Musk’s tenure, however, was marked by a push for “efficiency” that included return-to-office mandates and a rollback of remote work policies—moves that clash directly with Gen Z’s expectations and have driven many to look elsewhere for meaningful work.

Surgeon General Vivek Murthy has warned,

“We can’t assume young people will just roll into an office and build relationships. We’ve done them a disservice by not adapting workplaces to their needs.”

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The Retention Rollercoaster: Why Gen Z Is on the Fence

Gen Z’s relationship with work is volatile. Eagle Hill Consulting’s Retention Index shows Gen Z’s intent to stay in jobs fluctuates more than any other generation, reflecting both their high expectations and the instability they’ve faced since entering the workforce.

  • In 2023, Gen Z had the highest retention score, but by 2024, their sentiment dropped below other generations.
  • The Musk era’s layoffs and uncertainty have only amplified this volatility, making Gen Z even more likely to “jump ship” if their needs aren’t met.

Diversity, Innovation, and the Future: What’s at Stake

Gen Z brings a digital-first mindset, a focus on diversity and inclusion, and a hunger for purpose-driven work. Their underrepresentation in federal jobs means agencies miss out on fresh perspectives and tech skills, just as the government needs to modernize.

  • 30% of the federal workforce will be eligible to retire in the next five years. Without Gen Z stepping in, the risk of a “talent drain” is real.
  • Gen Z’s presence is linked to more innovative, responsive government—qualities that are crucial in an era of rapid change.

What Gen Z and Experts Are Saying

  • Gen Z on Social Media: “Why bother applying for a federal job if you could be laid off before you even get your badge?” wrote one recent grad on X.
  • Jitendra Kumar, workforce analyst: “Gen Z isn’t waiting around—if the federal pipeline is broken, they’ll leap into startups or remote gigs. The government risks losing a whole generation of digital talent.”
  • Michelle Amante: “We need to break through rigid hiring and workplace constraints if we want to attract and keep Gen Z.”

The Bottom Line: A Generation in Limbo

Elon Musk’s exit from the Trump administration leaves Gen Z federal job seekers in a state of uncertainty. With fewer opportunities, greater instability, and a mismatch between government culture and Gen Z’s values, the risk is clear: America’s public sector could lose its next generation of innovators, leaders, and changemakers just when it needs them most.

For the US government, the message is urgent: adapt or risk a talent drought. For Gen Z, the question remains—will Washington ever be worth the risk?

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