AFL-CIO sues U.S. Treasury over sharing data with DOGE, raising privacy concerns amid Musk's growing influence - IcoHolder.
The American Federation of Labor and Congress of Industrial Organizations (AFL-CIO), the largest union federation in the United States, has filed a lawsuit against the U.S. Treasury Department, accusing it of illegally sharing sensitive data of American citizens with the newly created Department of Government Efficiency (DOGE). The lawsuit has sparked significant political fallout and raised privacy concerns, particularly due to the department’s ties to billionaire entrepreneur Elon Musk.
In its lawsuit, the AFL-CIO claims that the U.S. Treasury, led by Secretary Scott Bessent, improperly shared personal information such as Social Security numbers and banking details with DOGE, a government body established to enhance federal efficiency. The union federation argues that this action violated citizens’ privacy rights and is demanding accountability from both the Treasury and the department Musk leads.
The Department of Government Efficiency, or DOGE, was created through an executive order signed by former President Donald Trump in late 2024. Initially conceived as an advisory body, the department was meant to streamline government operations, reduce unnecessary regulations, and cut wasteful spending. The role of Elon Musk, alongside Vivek Ramaswamy, was to guide this transformation. However, Ramaswamy opted not to take the role, citing political reasons, leaving Musk to lead the effort.
DOGE has since shifted from an external committee to a more direct role in the federal government. It now aims to assist the President in modernizing federal technology and systems, although the executive order does not provide specifics on how this restructuring will reduce government expenditures.
The increasing role of DOGE in managing government efficiency has not been without controversy, particularly concerning the department’s access to citizens’ data. Senator Ron Wyden, a prominent Democrat, raised alarms about the department’s unfettered access to sensitive financial data, including Social Security numbers. Wyden and other Democratic leaders, such as Senators Chuck Schumer and Elizabeth Warren, have fiercely criticized this situation, calling it a significant threat to privacy.
Senator Schumer, in particular, is reportedly preparing to introduce legislation aimed at limiting DOGE’s influence over U.S. public data and curbing its control over Treasury-related operations. As the lawsuit unfolds, these tensions highlight the growing concerns over government oversight and the potential risks of privatized influence in federal affairs, especially with Musk’s involvement.
The legal battle between the AFL-CIO and the Treasury Department, combined with the mounting political pressure from top Democratic senators, is set to raise critical questions about data privacy, federal transparency, and the role of private sector leaders in shaping government policy. As the lawsuit progresses, the public is left to consider the implications of an increasing convergence between Silicon Valley and Washington, particularly as Musk’s influence in federal operations grows.
