Federal Department of Government Efficiency Achieves Major Savings
The newly established federal Department of Government Efficiency (DOGE) announced on Friday that taxpayers can expect savings exceeding billion due to the cancellation of 104 contracts related to diversity, equity, and inclusion (DEI).
Details on Contract Cancellations
As of Wednesday, DOGE had reported the cancellation of 85 DEIA (Diversity, Equity, Inclusion, and Accessibility) contracts across 25 federal agencies. However, by Friday afternoon, the figure increased to 104 contracts, amounting to a total savings of ,000,060,792, as detailed in a DOGE news release.
Among the agencies, the Department of the Treasury saw the most significant impact, with 21 contracts canceled, which culminated in savings of ,247,783. The Department of Health and Human Services followed closely behind, canceling 15 contracts that saved ,187,448. Meanwhile, the Office of Personnel Management stood out with only three contract cancellations, but these drew attention due to the staggering total of 4,956,233, averaging about 5 million per DEI contract.
The Trump Administration’s Impact on DEI Initiatives
The trend of contract cancellations appears to be driven by the current administration’s efficiency initiatives. Notably, other departments that canceled DEI contracts include Agriculture, which axed 11 contracts, and both the U.S. Agency for International Development (USAID) and the Department of Homeland Security, each eliminating seven contracts.
In a separate announcement from the Department of Veterans Affairs, 60 employees dedicated entirely to DEI roles were placed on administrative leave. Spokesperson Morgan Ackley emphasized the administration’s commitment to prioritizing care and benefits for veterans and their families, stating, “We are proud to have abandoned the divisive DEI policies of the past and pivot back to VA’s core mission.”
A Shift in Federal Policy
The swift cancellation of DEI contracts aligns with President Donald Trump’s recent executive order, officially aimed at “ending illegal discrimination and restoring merit-based opportunity.” The order represents a marked shift in federal policy regarding DEI initiatives that some believe have led to undue divisiveness in government operations.
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Pushback from Liberal Attorneys General
While the Trump administration celebrates these changes, various liberal state attorneys general have condemned the cancellations. A joint statement led by Rhode Island AG Peter Neronha criticized the executive orders contributing to the dismantling of DEI policies as “unnecessary and disingenuous.” The statement was signed by AGs from 12 states, including California, Illinois, and New York.
These attorneys general assert that the actions taken by the Trump administration do not align with genuine efforts to combat discrimination. “Contrary to President Trump’s assertions, the policies he seeks to end do not diminish the importance of individual merit, nor do they imply that employers lower their standards or hire unqualified candidates,” they argued.
Furthermore, the AGs expressed their willingness to collaborate in combating discrimination, urging Trump to instead rely on “longstanding civil rights laws” to ensure fairness in employment practices. They posited that DEIA initiatives are essential for fostering equitable opportunities that drive success across various organizations.
Congressional Support for DOGE Initiatives
In Congress, support for DOGE’s initiatives has been spearheaded by members such as Rep. Aaron Bean and Sen. Joni Ernst. Bean, a Republican representing Jacksonville, Florida, founded the Congressional DOGE Caucus in November to advocate for further reductions in government waste. Meanwhile, Ernst, hailing from Iowa, has been particularly vocal in promoting measures to reinstate work requirements for federal employees and to facilitate the sale of unused federal office space.
These legislative efforts are expected to continue to play a pivotal role in shaping the administration’s efficiency agenda and may influence future policies regarding diversity, equity, and inclusion in federal contracts.
Looking Forward
The landscape of federal DEI initiatives is clearly undergoing a transformation as the DOGE prioritizes cost-cutting measures. With the substantial cancellations of DEI contracts, it’s evident that the current administration is firmly committed to re-evaluating and restructuring federal spending practices.
The unfolding reactions from both proponents and critics of DEI policies hint at a contentious debate that is likely to persist. As taxpayers brace for the impacts of these decisions, the focus will remain on ensuring that any steps taken not only address fiscal responsibility but also uphold fairness and meritocracy in public service.