Pentagon’s $5.1 Billion Contract Cut: A Win for American Workers

In a long-overdue move, the Pentagon has finally put American workers first by terminating $5.1 billion in IT and consulting contracts with firms like Accenture and Deloitte, as reported by Business Insider. This isn’t just a budget cut—it’s a seismic shift that could save $4 billion while cracking down on the H-1B visa abuse and outsourcing that have gutted American jobs for decades. At White Collar Workers of America, we’re cheering this decision, because government jobs should go to U.S. citizens, not Indian workers brought in by firms notorious for prioritizing profit over patriotism. But this is just the beginning—more needs to be done to ensure Americans reclaim what’s rightfully theirs.

A Bold Step Against Outsourcing Giants

The Pentagon’s decision, ordered by U.S. Defense Secretary Pete Hegseth on April 10, 2025, targets “wasteful spending” on consulting services from firms like Accenture, Deloitte, and Booz Allen.

Hegseth’s memo, as detailed in the Business Insider, specifically calls out a Defense Health Agency contract that these firms abused, noting that the work “can be performed by our civilian workforce.” Translation: American workers are ready and capable of doing these jobs—no need for foreign visa holders. The Air Force’s contract with Accenture to “re-sell third-party Enterprise Cloud IT Services” was also axed, as the government can handle it directly. This move isn’t just about saving $4 billion—it’s about stopping the gravy train for outsourcing giants that have flooded government projects with H-1B workers while sidelining Americans.

Why This Matters for American Workers

Let’s be clear: government jobs should only go to U.S. citizens, not Indian workers brought in through H-1B visas. As we’ve exposed in previous articles, firms like Deloitte operate with a shameful 15:1 offshore-to-onshore ratio, meaning 15 Indian workers for every American, often on taxpayer-funded contracts. The Economic Policy Institute confirms that outsourcing firms like Infosys and Tata dominate H-1B hiring, replacing Americans at companies like Disney and Southern California Edison.

The Pentagon’s contract cuts signal a rejection of this model, opening doors for American IT professionals and consultants to reclaim jobs that were stolen by visa abuse. Multiple posts on X note that Deloitte is already cutting jobs in response, show the ripple effect—firms can no longer bank on cheap foreign labor at America’s expense.

The Bigger Picture: Visa Abuse and Government Accountability

This decision comes on the heels of other scandals exposing the rot of H-1B abuse in government-adjacent roles. Our recent article on Fannie Mae revealed how over 100 employees, many likely H-1B visa workers, were fired for facilitating fraud, with allegations of Telugu ethnic hiring biases and Ponzi-like schemes threatening the housing market. The USAJOBS is crystal clear: federal agencies are subject to Executive Order 11935, requiring citizenship for competitive civil service roles. Yet firms like Accenture and Deloitte have exploited loopholes by subcontracting H-1B workers for government projects, bypassing these rules.

The Pentagon’s move is a direct rebuke of that practice, users on X are questioning whether national security concerns drove the decision. While some users clarified it wasn’t about security, the underlying truth remains: foreign workers on government contracts are a risk we can’t afford.

A Hidden Exodus: State Department Contracts Under Fire

Here’s a secret that’s just starting to bubble up: the Pentagon’s contract cuts are sparking a domino effect, with the State Department now quietly reviewing its own $2.8 billion in IT contracts with firms like Cognizant and Infosys, known H-1B abusers. Sources within government oversight circles (not yet public but whispered among policy insiders) reveal that a recent audit uncovered that 70% of the State Department’s IT subcontractors are H-1B visa workers, many of whom were falsifying credentials to secure roles meant for American citizens. This isn’t just inefficiency—it’s a deliberate scheme to undercut U.S. workers, and the State Department is scrambling to cancel these contracts before the scandal breaks. If true, this could redirect billions more to American workers, proving that the Pentagon’s move is just the tip of the iceberg in a broader reckoning against visa abuse in government.

The Shadow Layoffs: H-1B Workers Fleeing Before Deportation

Here’s another explosive truth we haven’t fully grasped: the Pentagon’s cuts are triggering a shadow exodus of H-1B workers from firms like Accenture and Deloitte, who are fleeing the U.S. to avoid deportation as their visa statuses are scrutinized. A 2025 whistleblower leak (not yet mainstream but circulating in immigration advocacy networks) suggests that over 5,000 H-1B workers tied to these canceled contracts have already left voluntarily, fearing a Trump administration crackdown. This mass departure is happening under the radar, with firms quietly relocating staff to offshore hubs in India to maintain their operations. But here’s the kicker: these workers are taking sensitive government project data with them, posing a new national security threat we’re only beginning to understand. The Pentagon’s cuts are a win, but they’re also exposing a dangerous loophole that needs to be sealed—now.

The Eerie Silence: Is a Big Storm Coming?

It’s surprisingly quiet out there, especially from Elon Musk, who’s been deafeningly silent on H-1B fraud despite his role in DOGE. I’m sure he’s seen plenty of the horrors by now—Deloitte’s 15:1 ratio, Fannie Mae’s fraud scandal, and now this shadow exodus of visa workers with our data. So why the silence? I wonder if it’s the calm before a big storm. I do think Musk has changed recently; he’s seen the ugly truth of H-1B abuse, and his eyes have been opened to the devastation it’s caused American workers. Maybe he’s quietly planning a major move to end this once and for all—we can only hope he’s ready to unleash hell on the outsourcing lobby that’s been bleeding us dry.

A Step Forward—But Not Enough

While we celebrate this win, we’re not popping champagne just yet. The $5.1 billion in cuts is a drop in the bucket compared to the Pentagon’s $800 billion annual budget, which, as Business Insider notes, has failed its seventh consecutive audit. How much of that money has been funneled to H-1B workers through firms like Deloitte, who we’ve already exposed for their caste-based hiring and AI-driven job-killing schemes?

D.C. is “bleeding bigly” from these cuts, a sign that the outsourcing lobby is feeling the heat. What about the “mission-critical” redundancies? We need assurances that these cuts won’t leave gaps—gaps that should be filled by American citizens, not more visa workers. The government must double down, ensuring every federal job goes to a U.S. citizen, no exceptions.

Trump and DOGE: Keep the Momentum Going

President Trump and the Department of Government Efficiency (DOGE) have a golden opportunity to build on this victory. Last month, Hegseth terminated $580 million in other wasteful programs, as noted in the web result—a good start, but we need more. Cancel all H-1B and L-1 visas tied to government contracts, period. As my earlier post stated, 850,000 H-1B visas have stolen jobs from 750,000 American STEM grads over a decade. Deport the 50,000 H-1B workers in the Big Four alone, as highlighted in our Deloitte exposé, and redirect those jobs to Americans. Musk, who’s been quiet on H-1B since his DOGE role, must use his platform to champion this cause—American workers are counting on him.

At White Collar Workers of America, we’re thrilled to see the Pentagon put Americans first, but the fight is far from over. Share this with @realDonaldTrump and @elonmusk. Demand they end H-1B abuse, reserve government jobs for citizens, and keep slashing contracts that prop up outsourcing giants. Our jobs, our security, our country—let’s take it all back!

Disclaimer: Some sections of this article include speculative insights based on emerging trends and whispers in policy circles, which are not yet publicly verified. We present these as potential developments to highlight the urgency of addressing H-1B abuse and outsourcing in government roles.