• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
PoliticsSocial Security

Social Security’s acting chief privately admits DOGE ‘will make mistakes’ while cuts delay processing of claims, report says

Jason Ma
By
Jason Ma
Jason Ma
Weekend Editor
Down Arrow Button Icon
Jason Ma
By
Jason Ma
Jason Ma
Weekend Editor
Down Arrow Button Icon
March 8, 2025, 2:17 PM ET
Updated March 8, 2025, 2:17 PM ET
People waiting in front of a Social Security office in Citrus Heights, California, in 2023.
People waiting in front of a Social Security office in Citrus Heights, California, in 2023.Getty Images
  • The Social Security Administration’s acting commissioner recently acknowledged that “DOGE people are learning and they will make mistakes, but we have to let them see what is going on at SSA,” according to the Washington Post. Meanwhile, the report added that cuts to staff, spending and operating systems are already delaying the processing of claims.

Acting Social Security Administration Commissioner Leland Dudek privately admitted that Elon Musk’s team of cost-cutters will trip up, sources told the Washington Post.

Recommended Video

In a meeting Tuesday with senior staff, legal-aid attorneys, and advocates, the agency’s interim chief acknowledged that the Department of Government Efficiency are “outsiders who are unfamiliar with nuances of SSA programs,” according to the report, which cited detailed notes taken by someone at the meeting.

“DOGE people are learning and they will make mistakes, but we have to let them see what is going on at SSA,” Dudek said. “I am relying on longtime career people to inform my work, but I am receiving decisions that are made without my input. I have to effectuate those decisions.”

The Social Security Administration didn’t immediately respond to a request for comment.

President Donald Trump has vowed not to cut benefits but has claimed massive fraud. Musk also raised concerns about his plans for the safety net after he said tens of millions of dead Americans are receiving Social Security checks—a claim the Associated Press debunked.

And last week, he added to fears when he called Social Security a “Ponzi scheme” and described the federal government as “one big pyramid scheme.”

In a separate message to SSA staff obtained by the Post, Dudek said the agency has been operating on autopilot for too long, creating inefficiencies.

“We have spent billions annually doing the same things the same way leading to bureaucratic stagnation, inefficiency, and a lack of meaningful service improvements. It is time to change that,” he wrote last Saturday, adding that the agency would outsource “nonessential functions to industry experts.”

Dudek plans to cut 7,000 jobs as part of the Trump administration’s broader push across the federal government to slash staffing levels and trim costs. But SSA has already seen a number of departures at senior levels, including regional commissioners and top leadership.

Meanwhile, Trump’s nominee to lead the agency, Fiserv CEO Frank Bisignano, awaits Senate confirmation.

SSA employees told the Post that DOGE-led cuts to staff, spending and operating systems are already sowing chaos and delaying the processing of claims, including reviews of disability claims and hearings before administrative law judges.

In addition, wait times for customer service on phones lines have grown to hours with one regional office forced to take calls from two-thirds of Indiana. Handling all the calls means staff haven’t been able to process retirement claims, according to the report.

And DOGE’s spending freeze on government credit cards has prevented some offices from paying their phone bills.

The US DOGE Service didn’t immediately respond to a request for comment.

“It’s just chaos, people are terrified, and no one knows anything, including our supervisors,” one employee told the Post, while another worker with 30 years of experience warned, “No one really knows what they’re doing, no one has answers, and at some point, something is going to break.”

Of particular concern is the 65-year-old programming language known as COBOL, which is used at SSA and at other federal agencies.

COBOL is no longer taught to recent engineering hires at SSA, sources told CNN, and long-tenured IT staff with experience dealing with the fragile system—as well as the numerous software workarounds that keep it running—are at retirement age.

Former Social Security Commissioner Martin O’Malley, who headed the agency during the Biden administration, told CNBC last week that cuts have already led to IT outages, which he predicted will become more frequent and last longer each time until there’s a total failure. 

“Ultimately, you’re going to see the system collapse and an interruption of benefits. I believe you will see that within the next 30 to 90 days,” he said, adding that “people should start saving now” before payments stop.

Charles Blahous, a senior research strategist at George Mason University’s Mercatus Center and a former public trustee for Social Security, told Fortune on Monday it’s unclear whether the SSA staff cuts are more likely to result in an interruption of benefits or an increase in improper payments.

That’s because claims for Social Security disability payments involve more hands-on work compared to retirement benefits, which are more efficient, he explained. 

“It’s not obvious to me where the choke point will be,” Blahous said in an email. “If the reduced staff err on the side of making sure all claims are processed, improper payments will likely rise. If instead the reduced staff prioritizes preventing improper payments, the risk of processing delays would increase.”

Subscribe to Fortune Gulf Brief. Every Tuesday, this new newsletter will deliver clear-eyed, authoritative intelligence on the deals, decisions, policies, and power shifts shaping one of the world’s most consequential regions, written for the people who need to act on it. Sign up here.
About the Author
Jason Ma
By Jason MaWeekend Editor

Jason Ma is the weekend editor at Fortune, where he covers markets, the economy, finance, and housing.

See full bioRight Arrow Button Icon

Latest in Politics

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Politics

Markets sell off as U.S.-Iran ceasefire plans go nowhere, leaving Trump with military options to reopen the Strait of Hormuz
EnergyIran
Markets sell off as U.S.-Iran ceasefire plans go nowhere, leaving Trump with military options to reopen the Strait of Hormuz
By Jason MaMay 10, 2026
4 hours ago
Mexican cartel armed with explosives launched from drones attacks rural communities, forcing 800-1,000 families to flee
North AmericaMexico
Mexican cartel armed with explosives launched from drones attacks rural communities, forcing 800-1,000 families to flee
By Megan Janetsky and The Associated PressMay 10, 2026
5 hours ago
Trump quickly blasts Iran’s response to U.S. ceasefire proposal as ‘totally unacceptable’ after warning Tehran ‘will be laughing no longer’
PoliticsIran
Trump quickly blasts Iran’s response to U.S. ceasefire proposal as ‘totally unacceptable’ after warning Tehran ‘will be laughing no longer’
By Jon Gambrell, Samy Magdy and The Associated PressMay 10, 2026
6 hours ago
Netanyahu says war with Iran isn’t over, need to secure uranium
PoliticsIran
Netanyahu says war with Iran isn’t over, need to secure uranium
By Yash Roy and BloombergMay 10, 2026
8 hours ago
Iran responds to U.S. ceasefire proposal, saying talks must focus on permanently ending the war on all fronts
PoliticsIran
Iran responds to U.S. ceasefire proposal, saying talks must focus on permanently ending the war on all fronts
By Jon Gambrell, Samy Magdy and The Associated PressMay 10, 2026
12 hours ago
China may not offer breakthroughs when Trump meets Xi because Beijing is ‘working backward from our midterm elections’
AsiaChina
China may not offer breakthroughs when Trump meets Xi because Beijing is ‘working backward from our midterm elections’
By Will Weissert and The Associated PressMay 10, 2026
12 hours ago

Most Popular

‘This is the way’: Elon Musk endorses Warren Buffett’s famed 5-minute plan to fix the national debt
Economy
‘This is the way’: Elon Musk endorses Warren Buffett’s famed 5-minute plan to fix the national debt
By Jacqueline MunisMay 10, 2026
14 hours ago
OpenAI CEO Sam Altman says Gen Z and millennials are using ChatGPT like a 'life advisor'—but college students might be one step ahead
Tech
OpenAI CEO Sam Altman says Gen Z and millennials are using ChatGPT like a 'life advisor'—but college students might be one step ahead
By Sydney LakeMay 10, 2026
14 hours ago
'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
Future of Work
'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
By Jake AngeloMay 9, 2026
2 days ago
Red flag test: former CEO explains why he rejects job candidates who say they can start right away
Success
Red flag test: former CEO explains why he rejects job candidates who say they can start right away
By Orianna Rosa RoyleMay 9, 2026
2 days ago
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
Politics
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
By Jason MaMay 9, 2026
1 day ago
Trump thinks he's flying to Beijing with leverage. China spent 6 years making sure he doesn't have any
Commentary
Trump thinks he's flying to Beijing with leverage. China spent 6 years making sure he doesn't have any
By Steve H. HankeMay 10, 2026
16 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.