Federal Employee Unions Sue Treasury Over Musk's Access to Sensitive Data

The White House stated that Elon Musk has "abided by all applicable federal laws." This follows a lawsuit filed by three federal employee unions against the Treasury Department, claiming that the department unlawfully granted Musk's Department of Government Efficiency (DOGE) access to sensitive information.

The lawsuit, filed on Monday, includes the Alliance for Retired Americans, the American Federation of Government Employees, and the Service Employees International Union, represented by lawyers from the Public Citizen Litigation Group and the State Democracy Defenders Fund.

The complaint alleges that Treasury Secretary Scott Bessent violated federal law by sharing departmental data with DOGE. The plaintiffs argue that federal laws protect sensitive personal and financial information from improper disclosure and misuse, particularly by individuals lacking a legitimate need for access.

According to the lawsuit, Musk and DOGE staff had previously sought access to the Bureau of Fiscal Service's records but were repeatedly denied by the responsible employee. Subsequently, the lawsuit claims, Bessent placed that employee on leave and granted DOGE full access to the Bureau's data and computers.

The lawsuit emphasizes the significant invasion of privacy, stating, "Individuals who provide information to the federal government should not be compelled to disclose it to Elon Musk or DOGE. Federal law protects them from such disclosure."

Lawyers for the plaintiffs did not respond to requests for comment. In related news, President Donald Trump defended Musk’s access to Treasury data, saying it was to identify wasteful government spending.

Trump clarified that Musk's authority is limited, stating, "Elon can't do and won't do anything without our approval." Additionally, a White House spokesperson confirmed that Musk is a "special government employee" and will not receive payment for his work, adhering to regulations that limit the duration of employment for such positions.

The Treasury and Musk's representatives failed to comment on the ongoing situation.

In the past, Trump announced that Musk and Vivek Ramaswamy would lead DOGE to cut wasteful federal spending. Following Ramaswamy's departure from DOGE, Musk remains its sole leader, with prior statements suggesting grand budget cuts, including a claim of saving the government $2 trillion, though he later acknowledged that such savings would be a "best-case outcome."

Musk commented on scaling back the budget deficit to mitigate inflation, suggesting that if effective measures are taken, long-term economic growth could be achieved.