Workday gets contract from US agency behind DOGE staff cuts, no other bids
WASHINGTON, May 8 (Reuters) - The federal human resources agency at the heart of billionaire Trump advisor Elon Musk's efforts to slash the federal workforce has awarded a contract for a new cloud-based HR platform to Workday (WDAY.O), opens new tab without seeking bids from rivals, raising questions among the agency's current and former employees.
The workers, consulted on Thursday, described the sole source contract as unusual, given the competition in an industry that includes ADP and SAP (SAPG.DE), opens new tab. They expressed surprise to see OPM's largely successful in-house HR platform on track to be replaced.
The Office of Personnel Management said in a May 2 memo that the sole source award was necessary due to "an urgent confluence of operational failures and binding federal mandates that require immediate action,", citing strict deadlines from President Donald Trump's administration for workforce restructuring and hiring reforms.
"OPMs fragmented and outdated HR systems have reached a critical failure point, resulting in payroll errors, benefits disruptions, and a manual workload that is no longer sustainable," said the memo.
https://www.reuters.com/world/us/workday-gets-contract-us-agency-behind-doges-staff-cuts-without-competitive-2025-05-08/