Tag: cut

  • Defense Sec. Hegseth working with DOGE to ‘cut the bs’

    Defense Sec. Hegseth working with DOGE to ‘cut the bs’

    Secretary of Defense Pete Hegseth released a video Thursday detailing oncoming Department of Government Efficiency (DOGE) cuts and restructuring that will take place within the Pentagon.

    On the date of filming, Hegseth said he met with DOGE and they are beginning their review.

    “They’re here, and we’re welcoming them,” Hegseth said. “They’re going to have broad access, obviously, with all the safeguards on classification.”

    Secretary of Defense Pete Hegseth posted a video on Thursday explaining Department of Defense budget and personnel changes. (@SecDef/X)

    TRUMP ISSUES WARNING ABOUT WASTEFUL SPENDING, ORDERS ‘RADICAL TRANSPARENCY’ AMID DOGE PROBES, REVELATIONS

    He added that many DOGE workers are veterans, and it is a “good thing” that they will find deficiencies.

    “They care just like we do, to find the redundancies and identify the last vestiges of Biden priorities — the DEI, the woke, the climate change B.S., that’s not core to our mission, and we’re going to get rid of it all,” Hegseth said.

    DOGE’s stop at the Department of Defense comes after reviews of the Treasury, Labor, Education and Health departments, as well as at the Consumer Financial Protection Bureau, Office of Personnel Management and Internal Revenue Service (IRS).

    Defense Secretary Pete Hegseth speaks at a press conference in Poland

    The Defense Department has already slashed 8%, or $50 billion, from former President Joe Biden’s budget. (Omar Marques/Getty Images)

    The temporary organization has faced an enormous amount of scrutiny over the last few weeks, with some accusing President Donald Trump of giving department head Elon Musk too much power.

    Numerous lawsuits have also been filed in an attempt to block DOGE’s access to sensitive information.

    $1,300 COFFEE CUPS, 8,000% OVERPAY FOR SOAP DISPENSERS SHOW WASTE AS DOGE LOCKS IN ON PENTAGON

    The Defense Department has already slashed 8%, or $50 billion, from former President Joe Biden’s budget.

    “It’s not a cut,” Hegseth said. “It’s refocusing and reinvesting existing funds into building a force that protects you, the American people.”

    The budget will be “refocused” on Trump’s priorities, and key programs will not be eliminated, he added.

    Donald Trump smiles in a navy suit and red tie

    President Donald Trump arrives at an election night watch party at the Palm Beach Convention Center, Wednesday, Nov. 6, 2024, in West Palm Beach, Fla. (Evan Vucci/AP)

    The department is also reevaluating its probationary workforce, a government-wide action ordered by the president.

    “Bottom line, it is simply not in the public interest to retain individuals whose contributions are not mission-critical,” Hegseth said. “We start with poor performers amongst our probationary employees, because that is common sense, and you want the best and brightest.”

    DOGE fired 3,600 probationary Health and Human Services employees, and 7,000 are expected to be slashed from the IRS amid tax season.

    It is unclear how many defense employees will lose their jobs.

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    There will also be a hiring freeze as the defense department reviews its needs.

    “Ever since I’ve taken this position, the only thing I care about is doing right by the war fighters, by the troops,” Hegseth said. “In short, we want the biggest, most bad a– military on the planet, on God’s green Earth.”

  • Southwest to cut 15% of corporate staff, including senior leadership positions

    Southwest to cut 15% of corporate staff, including senior leadership positions

    Southwest Airlines cut 15% of its corporate workforce as it tries to rapidly reduce overhead costs to become a “leaner” company. 

    The airline said that the layoffs primarily target corporate overhead and leadership positions, including senior leadership and director roles. In total, 1,750 jobs will be affected, including 11 senior leadership positions, as the carrier strives to build a “leaner and more agile organization” under its transformational plan.

    “We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,” CEO Bob Jordan said in a statement.

    SOUTHWEST TO PAUSE SOME HIRING, SUMMER INTERNSHIPS IN COST-CUTTING MEASURE

    Southwest said most of the separations will be completed by the end of the second fiscal quarter, and will result in approximately $210 million in savings for fiscal year 2025 and $300 million for the full 2026 fiscal year.

    The company expects to incur $60 million to $80 million in costs related to severance payments and post-employment benefits in the first quarter of fiscal year 2025. 

    Travelers use a Southwest Airlines Co. self check-in kiosk at Logan International Airport (BOS) in Boston, Massachusetts, U.S., on Friday, July 19, 2019. ( Scott Eisen/Bloomberg via Getty Images / Getty Images)

    Southwest has made substantial changes to rein in costs, particularly after activist investor Elliott Investment Management took a $2 billion stake in the carrier and subsequently called on the airline to take actions such as making leadership changes to improve its financial performance. 

    Last month, the company announced it was halting certain corporate events and pausing some hiring and most summer internships, though it plans to honor offers that were already made, in order to limit discretionary spending. 

    Southwest Airline jet

    Southwest Airlines Boeing 737-700 aircraft landing at Ronald Reagan Washington National Airport. (Getty Images / Getty Images)

    Southwest CEO Bob Jordan told employees in a January memo that “every single dollar matters as we continue to fight to return to excellent financial performance,” The Wall Street Journal reported.

    Last fall, the carrier said it would be “minimizing hiring, optimizing scheduling efficiency, capitalizing on supply chain opportunities, and improving corporate efficiency” while implementing a “multi-year” plan to improve its finances. Southwest is aiming to achieve a $500 million run rate in savings in 2027, the company said at its investor day in September. 

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    Ticker Security Last Change Change %
    LUV SOUTHWEST AIRLINES CO. 30.28 +0.35 +1.17%

    During the investor day, Southwest also detailed big changes it has in the pipeline, such as offering assigned seats, evolving its boarding process and introducing premium seating. It will also start operating red-eye flights in February to “maximize aircraft utilization” and shorten the turnaround time for planes between flights.

    FOX Business’ Aislinn Murphy contributed to this report. 

  • Trump to sign order instructing DOGE to massively cut federal workforce

    Trump to sign order instructing DOGE to massively cut federal workforce

    President Donald Trump is expected to sign an executive order Tuesday instructing the Department of Government Efficiency (DOGE) to coordinate with federal agencies and execute massive cuts in federal government staffing numbers.  

    The order will instruct DOGE and federal agencies to work together to “significantly” shrink the size of the federal government and limit hiring new employees, according to a White House fact sheet on the order. Specifically, agencies must not hire more than one employee for every four that leave their federal post. 

    Agencies will also be instructed to “undertake plans for large-scale reductions in force” and evaluate ways to eliminate or combine agency functions that aren’t legally required.

    DOGE Chair Elon Musk, the CEO of SpaceX and Tesla, told reporters Tuesday in the Oval Office that the American people voted for “major” government reform and that the Trump administration would deliver. 

    Trump voiced similar sentiments about providing voters what they wanted – to tackle “all of this “horrible stuff going on” – and told reporters that he hoped the court system would cooperate. 

    “I hope that the court system is going to allow us to do what we have to do,” Trump said, who also said he would always abide by a court’s ruling but will be prepared to appeal.

    The order builds on another directive Trump signed after his inauguration implementing a federal hiring freeze, as well as an initiative from the U.S. Office of Personnel Management (OPM) offering more than 2 million federal civilian employees buyouts if they leave their jobs or return to work in-person. A federal judge has temporarily blocked the administration’s plan from advancing amid challenges from union groups. 

    Trump’s executive order aligns with DOGE’s “workforce optimization initiative” and would impose restrictions to hire only for “essential positions” as agencies brace for significant cuts to their workforce, according to the White House fact sheet. 

    DC FEDERAL WORKERS IN A ‘PANIC’ OVER NOVEL EXPERIENCE OF JOB INSECURITY WITH JOB CUTS

    Elon Musk, the chair of DOGE, has been leading an investigation into USAID’s spending practices as the agency comes to a standstill. (Getty Images)

    The executive order will leave just a few areas of the federal government unscathed, including positions affiliated with law enforcement, national security and immigration enforcement. 

    DOGE is focused on eliminating wasteful government spending and streamlining efficiency and operations, and it is expected to influence White House policy on budget matters. The group has been tasked with cutting $2 trillion from the federal government budget through efforts to slash spending, government programs and the federal workforce.

    The White House said on Feb. 4 that it predicted a “spike” in resignations close to the original Feb. 6 deadline for the buyout offer, which would allow employees to retain all pay and benefits and be exempt from in-person work until Sep. 30.

    “The number of deferred resignations is rapidly growing, and we’re expecting the largest spike 24 to 48 hours before the deadline,” a White House official told Fox News Digital on Feb. 4.  

    JUDGE EXTENDS INJUCTION ORDER TO BAN TRUMP ADMIN BUYOUT OFFER TO FEDERAL WORKERS

    Trump signs executive order

    President Donald Trump is expected to sign an executive order instructing the Department of Government Efficiency (DOGE) to coordinate with federal agencies to execute massive cuts in federal government staffing numbers.   (Reuters)

    So far, approximately 65,000 federal employees have accepted the buyout offer, but a federal judge has issued a pause on the deadline for when employees must submit their resignations. 

    U.S. District Judge George O’Toole indefinitely extended a temporary restraining order Monday, pausing the deadline as he evaluates a preliminary injunction request stemming from cases against the buyout program filed by union groups including the American Federation of Government Employees. 

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    When asked about the buyout, Trump said that there are empty office spaces and that his administration is attempting to reduce the size of government. 

    “We have too many people. We have office spaces occupied by 4% — nobody showing up to work because they were told not to,” Trump said. 

    DOGE has moved to slash other areas of the federal government as well. 

    Other recent initiatives by DOGE have included launching an effort to shutter the U.S. Agency for International Development, a group that works to deliver aid to impoverished countries and development assistance. 

    The group has come under scrutiny from DOGE amid concerns about wasteful government spending and poor leadership, as well as questionable funding, including an Iraqi version of “Sesame Street” and reportedly providing millions of dollars in funding to extremist groups tied to designated terrorist organizations and their allies. 

    “It’s been run by a bunch of radical lunatics, and we’re getting them out,” Trump told reporters on Feb. 2.
     

    Fox News’ Brooke Singman, Emma Colton and Louis Casiano contributed to this report. 

  • ‘DOGE boys’: Dems fume over spending cut spree at rally outside Trump’s next potential target

    ‘DOGE boys’: Dems fume over spending cut spree at rally outside Trump’s next potential target

    Democratic lawmakers are fuming over the “DOGE boys” and their recent crackdown on federal spending, holding a rally outside the newly formed cost-cutting department’s potential next target: the Social Security Administration (SSA).

    The Department of Government Efficiency (DOGE), led by Elon Musk, has been working with federal agencies to identify and cut wasteful spending. Most recently, the group began probing the Centers for Medicare and Medicaid Services (CMS) for potential fraud — a move that wasn’t welcomed by Democratic lawmakers who warned that the SSA could be the next agency on the target list.

    On Monday, Sen. Chris Van Hollen, Sen. Angela Alsobrooks, Rep. Kweisi Mfume, D-Ma., Rep. Johnny Olszewski, D-Ma., and Rep. Sarah Elfreth, D-Ma., gathered for a rally outside the SSA headquarters in Baltimore to criticize DOGE’s efforts.

    “Every time you hear DOGE, the Department of Government Efficiency, you just remember it is the department of government evil,” said Mfume, a Maryland-based Democrat.

    DOGE CANCELS FUNDING FOR FAUCI MUSEUM EXHIBIT

    Rep. Kweisi Mfume at a hearing in the Rayburn House Office Building on Capitol Hill on March 8, 2023, in Washington, DC. (Chip Somodevilla)

    Fox News Digital previously reported that according to Just Facts, a nonprofit research institute, SSA disbursed roughly $2 billion in fraudulent or improper payments in 2022, which it calculated was enough “to pay 89,947 retired workers the average annual old-age benefit of $21,924 for 2023.”

    Democrats, however, have claimed that Americans’ Social Security benefits could be targeted. 

    ELON MUSK EMBRACES X PLATFORM AS KEY TOOL IN DOGE TRANSPARENCY AMID ONSLAUGHT OF ATTACKS FROM DEMS

    “We have one simple message, which is: Elon Musk, keep your hands off our Social Security,” Van Hollen told the crowd. 

    Sen. Van Hollen told Musk to ‘keep your hands off our Social Security.’

    Sen. Van Hollen told Musk to ‘keep your hands off our Social Security.’ (Getty Images)

    “Over the last 21 days, we have seen Elon Musk conducting illegal raids on federal agencies with his DOGE crew,” the senator said. “This is a recipe for corruption by the DOGE boys.”

    Sen. Angela Alsobrooks, D-Ma., speaking during the rally, claimed that “the intention of this administration is to make us feel demoralized, to make many of us feel frightened, to incite fear, to silence people.”

    Many of DOGE’s targets have ranged from canceling a number of diversity, equity and inclusion (DEI) initiatives at federal agencies to consolidating duplicative agencies and programs.

    Angela Alsobrooks, Democratic U.S. Senate candidate from Maryland, and Gov. Wes Moore, D-Md., are seen while greeting voters on the state's primary election day at Lewisdale Elementary School in Chillum, Md., on Tuesday, May 14, 2024.

    Angela Alsobrooks, Democratic U.S. Senate candidate from Maryland, and Gov. Wes Moore, D-Md., are seen while greeting voters on the state’s primary election day at Lewisdale Elementary School in Chillum, Md., on Tuesday, May 14, 2024. (Tom Williams)

    DOGE, as of the end of January, said that it was saving the federal government $1 billion a day, mostly by “stopping the hiring of people into unnecessary positions, deletion of DEI and stopping improper payments to foreign organizations, all consistent with the President’s Executive Orders.”

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    The efforts have been widely rejected by Democratic lawmakers, who have been gathering outside government agency headquarters in protest of the DOGE agenda.

    Fox News Digital’s Andrew Mark Miller and Eric Revell contributed to this report.

  • The Hitchhiker’s Guide to House Republicans releasing their tax and spending cut plan

    The Hitchhiker’s Guide to House Republicans releasing their tax and spending cut plan

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    House Republican leaders spent nearly five hours at the White House on Thursday – some of it with President Donald Trump – as they tried to finalize the outline of their tax and spending cut package. 

    The plan is to release a framework with some numbers in the coming days. 

    Fox is told to expect north of $1 trillion in spending cuts. The bill would make permanent the 2017 Trump tax cuts. It is also likely the bill includes a provision to bar taxes on tips. 

    ‘POWER GRAB’: JEFFRIES UNVEILS DATA PROTECTION BILL AMID DOGE CRACKDOWN

    Congress is racing to be ready to execute the recommendations of President Donald Trump’s new DOGE commission. (Getty Images)

    House Republicans hoped to have a bill ready to go before the Budget Committee this week after their retreat at Mar-a-Lago. 

    But no dice. 

    Republicans hope to prep this bill before the House Budget Committee next week. 

    DOGE TARGETS MEDICARE AGENCY, LOOKING FOR FRAUD

    House Speaker Mike Johnson on Trump agenda

    House Speaker Mike Johnson, right, discusses President Donald Trump’s agenda during an appearance on “Sunday Morning Futures.” (Photo by Chip Somodevilla/Getty Images | Photo by Mustafa Yalcin/Anadolu via Getty Images/ Fox News Channel)

    When asked if a plan would be unveiled Friday, Speaker Mike Johnson told Fox News, “nothing today” on paper or details of a budget package.

    He said the committee markup may come Tuesday, but that there are a couple of details to “work out.”

    Republicans need a budget framework adopted on the floor so they can use the budget reconciliation tool to bypass a Senate filibuster. No budget? No reconciliation option. 

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    House GOPers are feeling pressure from Senate Republicans who are pressing ahead with their own plan. Senate Republicans dine at Mar-a-Lago tonight with President Trump. 

    House Republicans are worried if they stumble at moving first, they could get jammed by the Senate. 

  • The Hitchhiker’s Guide to House Republicans releasing their tax and spending cut plan

    The Hitchhiker’s Guide to House Republicans releasing their tax and spending cut plan Friday

    Join Fox News for access to this content

    Plus special access to select articles and other premium content with your account – free of charge.

    By entering your email and pushing continue, you are agreeing to Fox News’ Terms of Use and Privacy Policy, which includes our Notice of Financial Incentive.

    Please enter a valid email address.

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    House Republican leaders spent nearly five hours at the White House yesterday – some of it with President Donald Trump – as they tried to finalize the outline of their tax and spending cut package. 

    The plan is to release a framework with some numbers today. 

    Fox is told to expect north of $1 trillion in spending cuts. The bill would make permanent the 2017 Trump tax cuts. It is also likely the bill includes a provision to bar taxes on tips. 

    ‘POWER GRAB’: JEFFRIES UNVEILS DATA PROTECTION BILL AMID DOGE CRACKDOWN

    Congress is racing to be ready to execute the recommendations of President Donald Trump’s new DOGE commission. (Getty Images)

    House Republicans hoped to have a bill ready to go before the Budget Committee this week after their retreat at Mar-a-Lago. 

    But no dice. 

    Republicans hope to prep this bill before the House Budget Committee next week. 

    DOGE TARGETS MEDICARE AGENCY, LOOKING FOR FRAUD

    House Speaker Mike Johnson on Trump agenda

    House Speaker Mike Johnson, right, discusses President Donald Trump’s agenda during an appearance on “Sunday Morning Futures.” (Photo by Chip Somodevilla/Getty Images | Photo by Mustafa Yalcin/Anadolu via Getty Images/ Fox News Channel)

    Republicans need a budget framework adopted on the floor so they can use the budget reconciliation tool to bypass a Senate filibuster. No budget? No reconciliation option. 

    House GOPers are feeling pressure from Senate Republicans who are pressing ahead with their own plan. Senate Republicans dine at Mar-a-Lago tonight with President Trump. 

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    House Republicans are worried if they stumble at moving first, they could get jammed by the Senate. 

  • What has DOGE cut so far?

    What has DOGE cut so far?

    The Department of Government Efficiency (DOGE) led by Elon Musk is working to cut federal spending, shrink the government’s workforce and increase the efficiency of federal agencies.

    DOGE was created by President Donald Trump through an executive order he signed on Inauguration Day. Under the order, DOGE will be a temporary organization within the White House that will spend 18 months until July 4, 2026, carrying out its mission.

    The group has faced criticism over its access to federal systems, including the Treasury Department’s payment system, and moves to cancel federal contracts and make cuts at various agencies. A treasury official told lawmakers in a letter to Congress that DOGE has “read-only” access to the payment system.

    In the weeks since its inception, DOGE has canceled a number of diversity, equity and inclusion (DEI) initiatives at federal agencies as well as certain consulting contracts, canceling leases for underused federal buildings, while also working to consolidate duplicative agencies and programs.

    ELON MUSK’S DOGE MAKES ANOTHER HIRING PUSH

    Billionaire Elon Musk has been named a “special government employee” to lead DOGE. (Matteo Nardone/Pacific Press/LightRocket via Getty Images/File)

    What has DOGE cut or targeted?

    DOGE has focused much of its initial work on canceling DEI programs, consulting contracts and lease terminations for federal buildings.

    DOGE wrote on Feb. 4 that it canceled 12 contracts in the Government Services Administration and the Department of Education that resulted in a total savings of about $30 million. It also canceled 12 underutilized leases for savings of $3 million.

    On Feb. 3, DOGE said it canceled 36 contracts, leading to savings of about $165 million across six agencies.

    ELON MUSK’S DOGE SETTING ITS SIGHTS ON THE PENNY

    DOGE wrote in a post on Feb. 2 that it has canceled 22 leases in the past six days, saving $44.6 million.

    On Jan. 29, DOGE said in a post on X that it had eliminated 85 contracts related to diversity, equity, inclusion and accessibility (DEIA) at more than a dozen federal agencies worth roughly $1 billion. It also canceled a $45 million scholarship program for students in Burma.

    USAID logo with big crack

    USAID is facing pressure from DOGE, and the Trump administration could try to merge it with the State Department. (Getty Images/Photo illustration/FoxBusiness)

    Musk and DOGE have also focused on the U.S. Agency for International Development (USAID) as a target for potential savings. USAID was created in the early 1960s to deliver aid around the world, particularly to impoverished and underdeveloped regions. The agency currently operates out of 60 nations and employs 10,000 people, according to the Congressional Research Service.

    USAID’s website went dark and its employees were barred entry into its headquarters on Monday, while others had their work put on hold. The Trump administration announced Tuesday that all USAID direct-hire personnel will be put on administrative leave starting Feb. 7.

    Secretary of State Marco Rubio has been named acting director of the independent agency, and the Trump administration has signaled some parts of USAID may be absorbed by the State Department.

    WHAT IS USAID AND WHY IS IT IN TRUMP’S CROSSHAIRS?

    Elon Musk and Donald Trump

    President Donald Trump tasked Elon Musk with leading DOGE. (Brandon Bell/Getty Images/File)

    How much has DOGE saved?

    DOGE posted on Jan. 28 that the group is “saving the Federal Government approx. $1 billion/day, mostly from stopping the hiring of people into unnecessary positions, deletion of DEI and stopping improper payments to foreign organizations, all consistent with the President’s Executive Orders.”

    “A good start, though this number needs to increase to > $3 billion/day,” DOGE added. 

    DOGE hasn’t provided a detailed breakdown of its cuts, so it’s unclear how it’s calculating the savings it’s claiming.

    Musk claimed on Jan. 31 that he was “cautiously optimistic that we will reach the $4B/day FY2026 reduction this weekend.” 

    He previously suggested that cutting an average of $4 billion a day in spending would be needed to reduce the federal deficit by $1 trillion in fiscal 2026, but he didn’t post a follow-up about whether the goal was achieved.

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    Most federal spending comes from mandatory spending programs such as Social Security and Medicare as well as interest on the national debt. 

    DOGE has thus far focused on areas included in discretionary spending, which is subject to annual appropriations by Congress.

    Fox News Digital’s Caitlin McFall and Reuters contributed to this report.

  • Walmart to cut jobs, relocate some employees to Arkansas, California hubs

    Walmart to cut jobs, relocate some employees to Arkansas, California hubs

    Exclusive: Walmart – the nation’s largest private employer – is eliminating hundreds of roles and closing one of its North Carolina offices as it continues to pull workers back to its main hubs in California and Arkansas, according to an internal memo seen by FOX Business on Tuesday.

    Walmart Chief People Officer Donna Morris said in the memo sent to employees that the company is cutting roles and asking office-based employees in Hoboken and some of its smaller offices to relocate to the company’s newly opened headquarters in Bentonville, Arkansas, as well as its office in Sunnyvale, California.

    WALMART CHANGING TITLES, PAY STRUCTURE FOR CORPORATE STAFF

    “We are making these changes to put key capabilities together, encouraging speed and shared understanding,” Morris said in the memo. “Through this review process, we have eliminated some roles as we streamline how we work.”

    Walmart didn’t specify how many people will be affected, as the employees who are being asked to relocate will have at least a month to inform the company if they plan to move to the main hubs.

    SOME WALMART MANAGERS GET PAY BUMP, PUSHING COMPENSATION OVER $600K

    A shot of Helen’s Amphitheater on Walmart’s new campus in Arkansas. (Walmart)

    The decision announced on Tuesday is part of a broader relocation strategy unveiled in May 2024, when Walmart initiated the first phase of relocating employees by asking staff from offices in Dallas, Atlanta and Toronto to move to Walmart’s corporate headquarters in Bentonville, its Hoboken, New Jersey, office or its California location. Any employees still working remotely at that time were also called back to the office.

    Walmart began requiring workers to return to the office in February 2022, saying it boosts collaboration, innovation and faster work processes, while also strengthening company culture.

    WALMART OPENS MASSIVE FITNESS CENTER ON ARKANSAS CAMPUS

    As the corporate world began to ditch remote work, Walmart constructed a new 350-acre campus in Bentonville, where it opened office buildings last month. The campus has 12 office buildings, along with amenity buildings, parking decks and surface lots. 

    bentonville

    Pedestrians with bicycles at the main downtown square in Bentonville, Arkansas, on Nov. 21, 2022. (Terra Fondriest/Bloomberg via Getty Images / Getty Images)

    The company is also opening new office spaces in Sunnyvale and Bellevue, Washington, while expanding its office in Hoboken and its fashion office in New York City. 

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    “Our values and culture are strategic differentiators for us as a company, and they are fostered by being together,” Morris said in the memo. “We’ve already seen the benefits of having more teams working together in person, and today we are sharing another step that will help accelerate our momentum.” 

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    WMT WALMART INC. 100.74 +1.20 +1.21%

    Morris said the company will help affected employees “navigate the path forward, including providing relocation support or severance.”

  • Ilhan Omar accuses Trump of running dictatorship as he works to cut wasteful spending

    Ilhan Omar accuses Trump of running dictatorship as he works to cut wasteful spending

    Rep. Ilhan Omar, D-Minn., slammed President Donald Trump and billionaire Elon Musk on Monday for their efforts to dismantle the United States Agency for International Development (USAID), while also accusing the president of starting a dictatorship.

    Omar and several other Democratic lawmakers spoke outside the USAID building in Washington, D.C., damning the efforts made by Trump and Musk to take control of independent agencies like USAID and strip them down to cut away wasteful spending.

    “It is a really, really sad day in America. We are witnessing a constitutional crisis,” Omar said. “We talked about Trump wanting to be a dictator on day one. And here we are. This is what the beginning of dictatorship looks like when you gut the Constitution, and you install yourself as the sole power. That is how dictators are made.”

    She continued, saying Trump, Musk and their “cronies” are attempting to take away Congress’ constitutional power of deciding where money is allocated.

    MUSK’S DOGE TAKES AIM AT ‘VIPER’S NEST’ FEDERAL AGENCY WITH GLOBAL FOOTPRINT

    Rep. Ilhan Omar calls out President Trump and Elon Musk for handling of USAID while also accusing the president of running a dictatorship. (Pool)

    Fifty senior USAID staff have been placed on administrative leave, sources told Fox News over the weekend. Staff have also been barred from communicating with anyone outside the agency without approval.

    Omar said she was “exceptionally upset” about USAID, explaining she lived in a refugee camp as a child for four years, and in that camp, USAID provided programs that kept her and her family fed and safe.

    GOP HARLINERS RALLY AROUND TRUMP, MUSK SCALING BACK USAID

    Elon Musk and Donald Trump

    House conservatives are rallying behind Elon Musk and President Donald Trump as they appear to be scaling back USAID

    “Privileged billionaires who don’t give a damn about America and Americans should not be making decisions that put Americans at harm,” she said. “And a billionaire that hasn’t been vetted has not gone through confirmation, has not been elected by the American people who we still do not understand what in the world he’s doing should not be telling American employees that they cannot access the building they work at.”

    Rep. Jamie Raskin, D-Md., also weighed in on the matter, telling Musk he did not create USAID, but Congress did.

    “Just like Elon Musk did not create USAID, he doesn’t have the power to destroy it. And who’s going to stop him? We are!” Raskin said. “We’re going to stop him. Elon Musk, you may have illegally seized power over the financial payment systems of the United States Department of Treasury, but you don’t control the money of the American people. The United States Congress does that under Article One of the Constitution.”

    As the lawmakers spoke from outside the USAID building, Musk fired back at them on social media.

    RUBIO PAUSES FOREIGN AID FROM STATE DEPARTMENT AND USAID TO ENSURE IT PUTS ‘AMERICA FIRST’

    “The corrupt politicians ‘protesting’ outside the USAID building are the ones getting money from USAID,” Musk wrote on X. “That’s why they’re there – they want your stolen tax dollars!”

    While lawmakers on the left side of the aisle are shouting in opposition to the changes being made at the agency, GOP hardliners are in favor of what they say are much-needed modifications.

    USAID is an independent agency in the federal government that provides civilian foreign aid to help encourage development, fight poverty and disease and promote democracy overseas.

    However, conservatives argue that the agency has strayed from its intended purpose and have called for steep cuts to its multi-billion-dollar budget.

    For instance, the White House claims $1.5 million was sent to USAID to “advance diversity, equity and inclusion in Serbia’s workplaces and business communities,” while another $2 million was sent to Guatemala for sex changes and “LGBT activism.”

    The White House also says $6 million was used to fund tourism in Egypt, and hundreds of thousands of meals were sent to al Qaeda-affiliated fighters in Syria.

    “USAID is a corrupt governmental organization run by unelected bureaucrats created to shovel taxpayer dollars to Democrats’ pet projects overseas,” Rep. Andy Biggs, R-Ariz., told Fox News Digital.

    AFTER RAUCOUS FIRST WEEK IN OFFICE, DONALD TRUMP TO KEEP HIS FOOT ON THE GAS

    USAID flag flying in Washington

    The U.S. Agency of International Development (USAID) flag flies in front of the agency’s headquarters building on September 15, 2014, in Washington, DC.

    “At nearly $37 trillion in national debt – and a $1.8 trillion annual deficit – we can’t afford to continue giving money to countries that hate America and everything we stand for,” he said.

    Rep. Eric Burlison, R-Mo., told Fox News Digital that shutting down USAID “will help reduce our national debt and relieve the burden on taxpayers, while compelling aid-dependent countries to achieve true self-reliance, snapping them out of the dependency cycle USAID has perpetuated under the false banner of ‘development.’”

    The U.S. State Department posted on X that USAID has “long strayed” from its mission of responsibly advancing American interests abroad, adding that it is now clear that significant portions of USAID funding are not aligned with national interests.

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    “As an interim step toward gaining control and better understanding over the agency’s activity, President Donald J. Trump appointed Secretary Marco Rubio as Acting Administrator,” a statement from the State Department read on X. “Secretary Rubio has also now notified Congress that a review of USAID’s foreign assistance activities is underway with an eye towards potential reorganization. As we evaluate USAID and ensure it is in alignment with an America First agenda and the efforts of the State Department, we will continue to protect the American people’s interests and ensure their tax dollars are not wasted.”

    Fox News Digital’s Elizabeth Elkind contributed to this report.

  • DeepSeek fallout: GOP Sen Josh Hawley seeks to cut off all US-China collaboration on AI development

    DeepSeek fallout: GOP Sen Josh Hawley seeks to cut off all US-China collaboration on AI development

    FIRST ON FOX: This week the U.S. tech sector was routed by the Chinese launch of DeepSeek, and Sen. Josh Hawley is putting forth legislation to prevent that from happening again. 

    Hawley’s bill, the Decoupling America’s Artifical Intelligence Capabilities from China Act, would cut off U.S.-China cooperation on AI. It would ban exports or imports of AI technology from China, ban American companies from conducting research there, and prohibit any U.S. investment in AI tech companies in China. 

    “Every dollar and gig of data that flows into Chinese AI are dollars and data that will ultimately be used against the United States,” said Hawley, R-Mo., in a statement. “America cannot afford to empower our greatest adversary.”

    His is one of the first bills introduced directly in response to the DeepSeek market shakeup of the past few days.

    THERE IS A ‘WAKE-UP CALL’ FOR US TO BE THE LEADER IN AI, SAYS WHITE HOUSE AI AND CRYPTO ‘CZAR’ 

    Sen. Josh Hawley has introduced a bill to cut off U.S.-China cooperation on artificial intelligence. (C-Span)

    DeepSeek’s release of a new high-profile AI model that costs less to run than existing models like those of Meta and OpenAI sent a chill through U.S. markets, with chipmaker Nvidia stocks tanking on Monday before slowly gaining ground again on Tuesday. 

    The surprise release displayed how China’s economic competitiveness has far outpaced the ability of U.S. business leaders and lawmakers to agree on what to do about it. 

    Unlike other legislation to thwart China’s profiting off U.S. innovation, Hawley’s bill would cover any AI-related technology instead of specific entities, which has prompted the Chinese to seek out loopholes through other companies. 

    TRUMP’S AI ‘DECLARATION’ REMINISCENT OF JFK PLEDGE TO PUT A MAN ON THE MOON: FORMER WHITE HOUSE IT OFFICIAL 

    Microsoft and OpenAI are now reportedly investigating whether DeepSeek could have accessed and used their data to train its own Chinese model, Bloomberg News reported. 

    White House artificial intelligence czar David Sacks told Fox News there is “substantial evidence that what DeepSeek did here is they distilled the knowledge out of OpenAI’s models.” 

    The U.S. and China flags

    The U.S. and China are engaged in an AI race, and until recently the U.S. was thought to be slightly ahead. (AP Photo/Kiichiro Sato)

    President Donald Trump on Monday said DeepSeek’s arrival on the scene “should be a wakeup call” for America’s tech companies after the new low-cost AI assistant soared to number one on the Apple app store over the weekend. 

    “The release of DeepSeek AI from a Chinese company should be a wake-up call for our industries that we need to be laser focused on competing,” Trump said. 

    But the president said it was ultimately a good thing if the world had access to cheaper, faster AI models. “​​Instead of spending billions and billions, you’ll spend less, and you’ll come up with, hopefully, the same solution,” Trump said.

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    In his final week in office, President Joe Biden issued a rule slapping export controls on AI chips, with his national security advisor, Jake Sullivan, arguing that the U.S. was only six to 18 months ahead of China in the AI sector. 

    U.S. officials are now looking at the national security implications of DeepSeek, according to White House press secretary Karoline Leavitt, who added that the Trump administration was working to “ensure American AI dominance.”