Defense Secretary Hegseth Announces Cuts Exceeding $580 Million in DOD – One America News Network
OAN Staff Rayana Unutoa
8:53 AM – Friday, March 21, 2025
Secretary of Defense Pete Hegseth has provided an update regarding the Department of Defense’s initiatives to eliminate unnecessary spending.
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In a video shared on X Thursday, Hegseth revealed the cancellation of over $580 million in contracts and grants within the Department of Defense (DOD) that do not align with the allocation of taxpayer dollars.
One of the first items to be removed is an HR software project that was supposed to take one year and cost $36 million. Instead, it has actually cost the DOD $280 million and is projected to take eight years to complete.
“They represent a poor use of taxpayer dollars — ultimately, that’s who funds us, and we owe you transparency and must ensure we’re using it appropriately,” Hegseth stated in the video while reviewing some of the cost savings.
The Defense Secretary also mentioned that the department will eliminate $30 million in contracts with Gartner and McKinsey for unused licenses and technology-related costs.
Hegseth has expressed strong support for Elon Musk’s Department of Government Efficiency (DOGE) and its mission to identify cost-saving opportunities across the government.
The Pentagon, home to the Department of Defense, manages the largest budget among all federal agencies. Last fiscal year, Congress allocated $825 billion to the department. The DOD employs over 2 million personnel.
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