DOGE’s Sweeping Changes of Federal Agencies: Here’s the Latest

The Department of Government Efficiency (DOGE) got its start on Day One of President Donald Trump’s second term and met with immediate legal action.

According to the executive order that established and implemented DOGE, the entity’s purpose will be to “modernize federal technology and software.” The end goal of the modernization will be to maximize the efficiency and productivity of the government.

The executive order also explains that a software modernization initiative will seek to improve the quality and performance of not only software but also network infrastructure and IT systems used by government agencies.

So, businesses can expect that the tech overhaul will lead to procedural changes when electronically submitting reports, forms and other information to various federal agencies.

Details in the President’s Executive Order

To identify potential changes, federal agencies are supposed to assemble DOGE teams, with details laid out in the executive order: Establishing and Implementing the President’s “Department of Government Efficiency.”

Each team will consist of at least four employees. A typical team would be a:

• team leader
• engineer
• HR specialist, and
• attorney.

Agency heads would have the responsibility of assembling their teams. They’d work in consultation with the head of DOGE — currently, Elon Musk. Originally, the role of DOGE leader was going to be shared by Musk and Vivek Ramaswamy. But with Ramaswamy deciding to run for governor in Ohio instead, Musk is the sole leader for now. It’s possible someone else may replace Ramaswamy and his emphasis on regulatory reductions.

Ideas for Government Efficiency

While the executive order didn’t specifically mention government spending, it’s anticipated that DOGE will look for ways to make cuts from the $6.8 trillion federal budget, though likely not as dramatic as the $2 trillion in cuts Musk had earlier suggested.

Will that mean reducing the number of federal agencies — currently, over 400?

Will that mean reducing the number of federal civilian employees — currently, over 2 million?

And/or will it mean something else, such as this recently floated idea: stopping the production of the penny.

Minting that coin costs more than 3 cents — i.e., three times the value of the penny itself. The expense of making the penny added up to more than $179 million in FY 2023, DOGE said in an X post on January 21, 2025. So, the federal government stands to save millions each year.

In case you’re wondering if you’ll end up needing to reconfigure your payroll system to default to 5-cent increments, the penny isn’t expected to be removed from circulation, only from production.

Legal Challenges to DOGE

The January 20, 2025, executive order stipulates that DOGE should exist for 18 months.

So, it’ll be around until July 4, 2026. That’s assuming it makes it that far.

Several legal challenges have been filed against DOGE, including three on Inauguration Day. The lawsuits were all filed in the Federal District Court for the District of Columbia.

Lentini v. Department of Government Efficiency claims violations of four laws, including the Federal Advisory Committee Act (FACA). Under this 1972 law, advice from advisory committees must be objective and accessible to the public. The plaintiffs ask the court to decide in their favor on eight points, including this one: declaring that DOGE is a presidential advisory committee subject to FACA requirements.

The other cases filed January 20, 2025, also bring claims under FACA. The cases are:

• American Public Health v. Office of Management and Budget, and
• Public Citizen Inc. vs. Donald J. Trump.

As the courts consider whether or not DOGE is an advisory committee, as defined by FACA, here’s a summary of how DOGE describes itself:

• It’s part of the United States DOGE Service (USDS) — previously, USDS referred to a team President Barack Obama founded in 2014, called the United States Digital Service.
• The official name of DOGE is the USDS Temporary Organization, and it’s headed by the USDS administrator.
• The USDS is established in the executive office of the president, with the USDS administrator reporting to the White House chief of staff.

To see an updated list of executive orders impacting HR, check out New Executive Orders: What HR Should Know for Trump 2.0.