The Department of Government Efficiency scrapped 104 DEI contracts across 25 agencies, saving taxpayers over $1 billion.

DOGE Cancels 104 DEI Contracts, Saves Taxpayers Over $1 Billion

The Department of Government Efficiency (DOGE) has scrapped 104 diversity, equity, and inclusion (DEI) contracts across multiple federal agencies, resulting in savings exceeding $1 billion.

Led by Elon Musk, the nongovernmental advisory commission shared an operational update on Jan. 31 via X , listing 25 federal agencies affected by the cancellations. The Department of the Treasury led the cuts, terminating 21 contracts and saving $25.2 million. The Department of Health & Human Services followed, canceling 15 contracts worth $28.2 million.

The most significant savings came from the Office of Personnel Management, which axed three contracts totaling nearly $495 million—an average of $165 million per contract. Overall, DOGE reports a total savings of $1,000,060,792 for taxpayers.

Trump’s DOGE Initiative Targets DEI, Aims to Slash Federal Spending

Former President Donald Trump officially established the Department of Government Efficiency (DOGE) on Jan. 20 through an executive order, renaming the United States Digital Service—originally created under President Barack Obama—as the United States DOGE Service.

Initially, biotech entrepreneur Vivek Ramaswamy was appointed to lead DOGE alongside Elon Musk, but Trump’s team later announced Ramaswamy’s departure from the initiative. Now under Musk’s leadership, DOGE aims to cut up to $2 trillion in federal spending, with its Jan. 31 operational update signaling progress.

The latest update highlighted the cancellation of 104 diversity, equity, and inclusion (DEI) contracts, saving taxpayers over $1 billion. This move aligns with Trump’s Jan. 20 executive order, which mandates the immediate dismantling of DEI and DEIA (diversity, equity, inclusion, and accessibility) programs across federal agencies. The order deems such programs “illegal and immoral,” citing “immense public waste” and “shameful discrimination.”

Trump’s Executive Order Ends DEI Programs, Orders Immediate Rollback

“That ends today,” former President Donald Trump declared in his Jan. 20 executive order, emphasizing that taxpayer resources should be dedicated solely to “making America great.” The order mandates the immediate dismantling of diversity, equity, and inclusion (DEI) programs across federal agencies, asserting that Americans deserve a government committed to serving all with “equal dignity and respect.”

Following Trump’s directive, the Office of Personnel Management has instructed all federal agencies to take immediate action in rolling back DEI initiatives. This includes canceling related training programs and terminating DEI staff as part of a broader effort to streamline government spending.

Trump’s DOGE Initiative Targets Bureaucracy, Promises Cost-Cutting Over Reports

Critics of diversity, equity, and inclusion (DEI) programs argue they promote discrimination and undermine meritocracy, while supporters say they enhance diversity and strengthen organizational culture.

Before biotech entrepreneur Vivek Ramaswamy’s departure from DOGE, he and Elon Musk outlined their vision in a November 2024 Wall Street Journal article. “The entrenched and ever-growing bureaucracy represents an existential threat to our republic, and politicians have abetted it for too long,” they wrote. “Unlike government commissions or advisory committees, we won’t just write reports or cut ribbons. We’ll cut costs.”

Trump’s Jan. 20 executive order not only dismantles DEI programs but also requires every federal agency to establish a DOGE team of at least four employees. These teams will work with DOGE to implement the administration’s cost-cutting agenda, with a strong focus on modernizing federal technology to improve efficiency.

Trump Unveils DOGE Initiative to Slash Regulations, Cut Wasteful Spending

Former President Donald Trump formally announced the Department of Government Efficiency (DOGE) on Tuesday, calling it an effort to “slash excess regulations, cut wasteful expenditures, and restructure Federal Agencies.”

The name DOGE is a nod to Elon Musk’s support for the cryptocurrency dogecoin , which began as a joke but has surged in value, now trading at 38 cents after tripling in the past month.

Trump stated that Musk and former co-leader Vivek Ramaswamy’s work on DOGE “will conclude no later than July 4, 2026,” aligning with the 250th anniversary of the Declaration of Independence. However, he did not provide details on the initiative’s funding or staffing, and the Trump campaign did not respond to inquiries about whether Musk or Ramaswamy would receive compensation.

On Thursday, DOGE’s official X account announced it is seeking “super high-IQ small-government revolutionaries willing to work 80+ hours per week on unglamorous cost-cutting.” In a separate post, Musk clarified: “compensation is zero.”

References