US President Donald Trump has ordered a significant overhaul of the Pentagon following years of financial mismanagement, White House spokesperson Karoline Leavitt said Tuesday.
The Department of Defense has never passed an independent financial audit since Congress mandated the process in 2018. Its most recent audit, in November 2024, found that only seven of 30 sub-agencies could fully account for their expenditures. Pentagon officials admitted they are unlikely to achieve a clean audit before 2028.
Read more: Trump teases ‘gold card’ for wealthy immigrants
“They failed seven audits in a row; the trust in our United States military, amongst the warfighters, is low,” Leavitt told reporters at a press briefing. “The president is shaking up the Pentagon and the Department of Defense, of course, with Secretary [Pete] Hegseth leading, and he has the right to do such a thing.”
The White House’s latest announcement follows last week’s dismissal of Joint Chiefs of Staff Chairman General Charles Q. Brown Jr., along with several other high-ranking Pentagon officials, including Admiral Lisa Franchetti – the first woman to command the US Navy. The administration has framed these firings as part of a broader effort to improve accountability and efficiency within the military.
Defense Secretary Pete Hegseth has echoed the call for change, rejecting past policies that he claims prioritized diversity initiatives over military effectiveness. “In this department, we will treat everyone equally,” Hegseth said earlier this month. “We will judge you as an individual by your merit.”
Read more: Elon Musk Mocks Altman as Billionaire Feud Escalates Over OpenAI
The administration’s push for reforms includes an extensive financial audit of the Pentagon, led by the newly formed Department of Government Efficiency (DOGE), headed by Elon Musk. Trump has tasked DOGE with reviewing federal expenditures, aiming to cut up to $2 trillion in government spending by mid-2026. With its $886 billion budget, the Pentagon is one of the key targets for cost reductions.
“I’ve instructed him to go check out education, to check out the Pentagon, which is the military, and sadly, you’ll find some things that are pretty bad,” Trump said earlier this month. “We need to get rid of waste and make sure taxpayer money is spent correctly.”
The White House has not yet detailed specific changes to military budgeting but has indicated additional personnel changes and restructuring efforts are on the horizon. The administration argues that these reforms are essential to restoring public confidence in the military and ensuring defense funds are spent effectively.