Trump administration reportedly targets McKinsey and BCG to cut costs

Published 26/06/2025, 20:16
© Reuters

Investing.com -- The Trump administration is expanding its effort to reduce government consulting contract costs to include major firms like McKinsey, BCG, and others that represent billions in federal contracts, according to a Thursday report by the Wall Street Journal.

On Thursday, the General Services Administration (GSA) reportedly sent letters to approximately six consulting companies requesting justification for their federal government work and proposals for cost savings.

"Our objective is to critically evaluate which engagements deliver genuine value," wrote Josh Gruenbaum, commissioner of the Federal Acquisition Service at the GSA, in the Thursday letter. "In keeping with this Administration’s laser focus on fiscal responsibility, our baseline presumption is that most, if not all, of these contracted services are not core to agency missions."

The letters were sent to McKinsey, BCG, EY, AlixPartners, FTI Consulting (NYSE:FCN), and Alvarez & Marsal.

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