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Social Security has never missed a payment. DOGE actions threaten 'interruption of benefits,' ex-agency head says [1]

['Lorie Konish']

Date: 2025-03-01

Then Social Security Commissioner Martin O'Malley testifies before the Senate Committee on the Budget on Sept. 11, 2024. Anna Rose Layden | Getty Images News | Getty Images

Social Security Administration leadership upheaval

The Department of Government Efficiency, also known as DOGE, is not a federal department. And Musk, whom President Donald Trump brought on board to implement DOGE, is not an elected official. Since its establishment, DOGE has looked to slash spending at federal government agencies.

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The cuts have led to leadership upheaval, with the recent resignation of acting Commissioner Michelle King following a reported disagreement over DOGE's access to sensitive data. O'Malley resigned from the Social Security Administration in November to run for chairman of the Democratic National Committee, a race which he lost to Minnesota Democrat Ken Martin. Trump has nominated Frank Bisignano, CEO of financial technology company Fiserv , to serve as the new commissioner of the Social Security Administration. Bisignano has yet to sit for Senate confirmation hearings. In the interim, Lee Dudek, who first joined the agency in 2009, has been appointed acting commissioner. Earlier this month, Dudek posted on LinkedIn that he had been placed on administrative leave from the agency for helping DOGE representatives, The Wall Street Journal reported on Feb. 20. "Our continuing priority is paying beneficiaries the right amount at the right time, and providing other critical services people rely on from us," Dudek said in a Feb. 19 statement about his appointment.

Whose benefits may be most at risk

Yet experts say the benefits Americans rely on could be at risk based on the Trump administration's overhaul of the agency. "The American public needs to understand that one of their major social safety nets is in dire jeopardy," said Jill Hornick, a union official at the American Federation of Government Employees Local 1395, which primarily represents Social Security offices in Illinois. "It'll take a while for the effects to be felt, but they're coming," Hornick said, predicting what will happen to Social Security is going to be "far worse" than the planned cuts to Medicaid. For people who are already receiving Social Security benefits, most of that is automated and may not be affected, she said. However, processing new claims — whether it be for retirement or disability benefits — may take longer since those cannot be processed without Social Security employees, Hornick said.

On Thursday, the Social Security Administration sent a notice to employees that gives them until March 14 to decide whether to take an early buyout. Unlike a previous January offer, this now includes service employees, and staffing reductions in that area may impact how quickly the agency processes benefit claims and provides other services, Hornick said. For example, if a woman files for a survivor benefit after her husband dies, she needs to provide a copy of her marriage license. A Social Security employee then needs to code the system to verify they have seen that document and the applicant is eligible for benefits, Hornick said. "Not everybody can do things electronically," particularly the older adults and disabled individuals who the Social Security Administration serves, said Maria Freese, senior legislative representative at the National Committee to Preserve Social Security and Medicare. "If you don't have people to run an agency that requires hands-on customer service, then of course there's a risk that you could end up with benefits being either denied or interrupted," Freese said.

Office closures may reduce access to services

The DOGE savings web page has a list of about 45 Social Security locations where leases will be terminated, according to Rich Couture, spokesperson for AFGE SSA General Committee, a union that represents 42,000 Social Security employees nationally. The list provides little information on the uses for the locations that are being closed. Based on the square footage listed, they may be sites used to conduct in-person hearings for disability benefits, Couture said. In one case, the location seems to be a busy New York state field office that provides general services, he said. "If they're going to close these offices that are busy in highly populated areas, it would suggest to me that there's no office in this country that would be safe from having a lease terminated, especially in rural areas," Couture said.

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[1] Url: https://www.cnbc.com/2025/03/01/doge-actions-may-cause-social-security-benefit-interruption-ex-agency-head.html

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