Department of Government Efficiency Engages with Labor Department for $1.3 Million Service Agreement

Department of Government Efficiency Engages with Labor Department for $1.3 Million Service Agreement

Elon Musk’s Department of Government Efficiency (DOGE) is doing the very thing. They just recently signed a master service agreement with the Department of Labor (DOL), with fees totaling upwards of $1.3 million for services to be supplied by their subsidiaries. With this agreement, DOGE takes a big step forward to make federal operations much more efficient. It plans to cut waste and save about $1 trillion.

Over the last several months, DOGE has implemented transformative changes within numerous federal agencies. Together, these actions have displaced tens of thousands of current and prospective federal workers. The group has built a powerful brand as government’s efficiency cops. As evidenced by its recent flexing of power over the Department of Labor, this is a glimpse into its organizational structure and modus operandi.

DOGE has been retooled to act as the dog wagging the central tail for statewide efficiency. It is supposed to be a tool to ensure that federal dollars are spent wisely. With this new initiative, you’ll find many of DOGE’s ambassadors. Interviewees Aram Moghaddassi, Miles Collins, and Marko Elez will be working in the DOL. Their duties include working directly with DOL employees on projects that focus on improving efficiencies in DOL’s operations and activities.

DOGE is allowed to touch DOL systems, however, it is limited to read-only capabilities. Moreover, its operatives are not allowed to write or change any information. Moghaddassi stressed this latter limitation, explaining, “So far they do not have write access. He expanded on why DOGE and DOL are so closely related. He said, “They’ve called; we’ve kept them at arms length. We dodged above what’s called the Wizard Gap — typically them not giving collaborative programming a try, but them miscommunicating or undercommunicating their basic needs. They only have read access.”

The interagency agreement between the United States Digital Service (USDS) and DOL provides clarity on the working protocols established between DOGE and federal agencies. Under this settlement, DOGE is required to give DOL a 24-hour notice before attempting to access any DOL system. Moreover, USDS employees assigned to DOGE would still report directly to DOL supervisors, providing them with strong oversight and accountability.

To gain access to various processes or systems at the DOL, DOGE affiliates are required to review and sign a specific form. This provision was specifically designed to improve security and oversight of sensitive information. Affiliates may not access or use any data, information, or documents generated by DOL systems. They can’t do that without first receiving explicit written permission from the Office of the Chief Information Officer at DOL.

The collaboration between DOGE and DOL reaches the Treasury Department, where Moghaddassi has worked in the past. Elez, a DOGE associate, had full read and write access to sensitive Treasury systems while working there. This connection raises questions about data security and the handling of sensitive information as DOGE seeks to modernize IT systems under an executive order aimed at improving federal efficiency.

In pursuit of its mission, DOGE is committed to leading IT modernization efforts across the DOL. USDS employees will be instrumental in supporting the efforts of DOGE’s team at DOL. The partners believe the collaboration will expand tech expertise and foster greater technological innovation, maximizing operational efficiency across the department.

The memorandum of understanding specifies that DOL will pay USDS back for work performed by four DOGE partners. This plan will lay a foundation over an 18-month period and solidify the financial underpinnings of the alliance. This reimbursement structure underscores the commitment to accountability and responsible management of taxpayer resources as DOGE navigates its ambitious agenda.

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