The Department of Government Efficiency (DOGE), led by Elon Musk, has announced another round of federal spending cuts, primarily affecting foreign aid programs. The agency claims these measures have generated significant savings for American taxpayers.
According to a press release, DOGE has terminated 113 contracts worth a total of $4.7 billion, aiming to save $3.3 billion. Among the canceled contracts is a $145,000 consulting agreement from the U.S. Department of Agriculture (USDA) for “climate change initiatives in Peru.”
Additionally, DOGE reported that the Department of Labor has scrapped “America Last” grants worth $577 million, projected to save $237 million. The funding cuts include:
- $10 million for “gender equality in the Mexican workplace”
- $12.2 million for “empowering workers in South America”
- $6.25 million for “improving labor rights in agricultural supply chains” in Honduras, Guatemala, and El Salvador
- $5 million to increase female workforce participation in West Africa
- $4.3 million for assisting foreign migrant workers in Malaysia
- $3 million for expanding social security access and worker protections for domestic migrant workers in Bangladesh
- $3 million for safe and inclusive work environments in Lesotho
DOGE was established by President Donald Trump through an executive order with a mandate to optimize federal government operations and reduce spending within 18 months.
As of March 26, DOGE claims to have saved Americans $130 billion, averaging $807.45 per taxpayer.
Critics argue that DOGE has excessive access to federal systems and should not have the authority to cancel government contracts or impose spending cuts across agencies.