The Department of Government Efficiency (DOGE) is planning to lay off the "vast majority" of employees at the Consumer Financial Protection Bureau (CFPB), according to sworn declarations from agency employees. The move, which has already resulted in the firing of roughly 20 technologists, has sparked concerns about the future of consumer protection and data management.

The declarations, submitted as part of a lawsuit by the National Treasury Employees Union against Office of Management and Budget director Russell Vought, who is currently serving as the acting director of the CFPB, paint a picture of a hasty and chaotic process. According to the employees, DOGE is orchestrating the layoffs with little regard for the impact on consumer protection and data management. One employee, using the pseudonym Alex Doe, described a three-phase approach to the layoffs, which would result in the termination of most CFPB employees within 60-90 days.

The speed of the layoffs has necessitated "bypassing several ordinary procedures, safeguards, and rules," according to Alex Doe. The court has temporarily barred the CFPB from making further cuts, but the agency's chief operating officer, Adam Martinez, has told staff that he does not yet know what agency would perform a similar role for the CFPB or whether the Bureau itself would technically continue to exist with a small staff to perform those functions.

The layoffs have also raised concerns about the management of CFPB data, which could include HR and reasonable accommodation records. A CFPB contracting officer, going by the name of Charlie Doe, says that contract termination notices did not include the usual data preservation notices to ensure CFPB data is not lost. As a result, some of the CFPB's data may have been deleted and may not be recoverable.

Other declarations raise issues about DOGE staffers' privacy and security training to handle CFPB systems and concerns about where agency data might end up. The CFPB is responsible for ensuring that companies offering financial services are not misleading consumers or skirting the law, and consumers could submit complaints to the agency about credit cards and loans. The agency could also initiate enforcement actions and rulemakings, like the one it previously finalized to monitor large digital payment providers as it does banks.

The CFPB has returned $17.5 billion to consumers over 12 years through monetary compensation and canceled debts. The agency's dismantling has sparked concerns about the future of consumer protection and the impact on consumers who rely on the agency's services. The court's temporary halt to the layoffs has given the agency a reprieve, but the long-term implications of DOGE's plans remain unclear.

The CFPB and White House did not immediately respond to requests for comment. The National Treasury Employees Union is seeking to halt the dismantling of the financial services watchdog, which fields thousands of consumer complaints each week about financial products.

The situation highlights the ongoing struggle between government agencies and the administration's efforts to reduce the size of government. The CFPB, established in 2011, has been a target for critics who argue that it oversteps its authority and imposes too many regulations on businesses. However, proponents of the agency argue that it provides a vital service to consumers and helps to prevent financial fraud.

The outcome of the lawsuit and the future of the CFPB remain uncertain, but one thing is clear: the agency's employees are facing an uncertain future, and the consumers who rely on its services are left wondering what will happen next.