Government 23 January 2026 - 6 March 2026

KPMG’s $60 Million Pentagon Blow Triggers Full Exit From U.S. Federal Audits
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KPMG’s $60 Million Pentagon Blow Triggers Full Exit From U.S. Federal Audits

KPMG plans to exit federal audit work in the U.S., marking a significant move by the Big Four accounting giant. After losing a Pentagon audit worth roughly $60 million annually, the firm has started reassigning over 450 staff members, according to the Financial Times. The Pentagon’s push comes as it works to fix its audit process, having flunked every yearly review since 2018. Defense Secretary Pete Hegseth told lawmakers this week, “will pass an audit by 2028”—a clean bill from auditors, meaning the department’s numbers are solid enough to trust and approve.
April 30, 2026
ServiceNow stock jumps after new EmployeeWorks, Autonomous Workforce push into government AI
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ServiceNow stock jumps after new EmployeeWorks, Autonomous Workforce push into government AI

ServiceNow rolled out EmployeeWorks along with its new Autonomous Workforce suite for public sector clients on Thursday, touting both as “trusted AI” tailored for government use. Shares climbed roughly 5.8% to $120.38 after hours. Timing here is deliberate. Agencies want generative AI to turbocharge HR, procurement, and service desks, but the tech is still propped up by legacy systems and strict security protocols. Vendors push the words “trusted” and “governed”—they know contracts hinge on that.
March 6, 2026
Grab doubles Indonesia Eid bonus budget to Rp110 billion as new payout rule takes hold
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Grab doubles Indonesia Eid bonus budget to Rp110 billion as new payout rule takes hold

Grab Holdings Limited’s Indonesian arm announced it’s boosting its Bonus Hari Raya allowance for app-based drivers, setting the budget for 2026 between 100 billion and 110 billion rupiah—twice what it allocated previously. More than 400,000 drivers with high activity stand to benefit, according to Grab Indonesia chief Neneng Goenadi, who said the initiative is meant to ensure “support that is directly felt” by their partners. Indonesia’s decision hits now, as the country raises the bar for what gig-economy companies owe just before Eid al-Fitr, shifting what used to be a special bonus into a firmer expense. The manpower ministry has issued a circular, local media say, bumping up the minimum BHR to 25% of a driver’s average net income over
March 4, 2026
OPM 1099-R delays leave federal retirees scrambling as lawmakers press Trump administration
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OPM 1099-R delays leave federal retirees scrambling as lawmakers press Trump administration

James Walkinshaw and Frank Pallone, both Democrats, on Monday pressed the Trump administration for answers after federal retirees complained about missing 1099-R tax forms from the U.S. Office of Personnel Management—and no way to get a live agent on the line. The lawmakers warned that retirees without these forms could wind up filing late, racking up IRS penalties or even missing out on refunds. As tax deadlines draw near, complaints are piling up. The 1099-R form shows a retiree’s yearly annuity income; if the form doesn’t arrive by mail, OPM points retirees to Retirement Services Online, its retirement account portal, to download it.
March 3, 2026
Capgemini puts Capgemini Government Solutions up for sale after ICE row as shares rise
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Capgemini puts Capgemini Government Solutions up for sale after ICE row as shares rise

Capgemini shares jumped as much as 2% Monday after announcing plans to sell its U.S. subsidiary, Capgemini Government Solutions, amid backlash in France over a contract with U.S. Immigration and Customs Enforcement. The unit secured an ICE contract in December 2025 for “skip tracing,” which involves using data analysis to track individuals via financial records, phone data, and digital footprints. Roland Lescure called for transparency in parliament, while CGT criticized the planned sale, noting it didn’t address their concerns and highlighting Capgemini’s broader North American workforce of 6,000 still serving federal clients. This episode matters because it reveals how a seemingly minor contract can swiftly turn into a political battle over a major local employer. For Capgemini, the issue has
February 2, 2026
Treasury Drops Booz Allen After Trump Tax Leak, Rattling Federal Contractor Trust
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Treasury Drops Booz Allen After Trump Tax Leak, Rattling Federal Contractor Trust

The U.S. Treasury Department has terminated all contracts with Booz Allen Hamilton, citing the consulting firm’s failure to secure sensitive data related to its work for the Internal Revenue Service. https://www.reuters.com/sustainability/boards-policy-regulation/treasury-cancels-all-booz-allen-hamilton-contracts-2026-01-26/?utm_source=chatgpt.com The Trump administration is ramping up pressure on agencies to clamp down on government spending and secure taxpayer data, following a breach that both embarrassed the IRS and raised concerns over contractor oversight.
January 26, 2026
UK’s £1bn AI data centre thrown into doubt after ministers concede ‘serious error’
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UK’s £1bn AI data centre thrown into doubt after ministers concede ‘serious error’

Britain’s High Court has greenlit a legal challenge against government approval of a 90-megawatt hyperscale data centre planned near London in Buckinghamshire. A letter to the court revealed officials agree the consent should be overturned, citing that the climate mitigation measures the approval depended on were never secured. The ruling comes as ministers rush to accelerate data centre construction to back artificial intelligence services, notorious for heavy electricity and cooling demands. Campaigners warn the planning process is being hurried, sidelining crucial climate calculations.
January 23, 2026