A major legal battle has erupted as U.S. union groups sue the Treasury Department, alleging it unlawfully granted Elon Musk’s controversial Department of Government Efficiency (DOGE) access to vast amounts of sensitive financial and personal data.

The lawsuit, filed by the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) in a Washington, D.C., federal court, claims the Treasury’s actions violate federal laws. It accuses Treasury Secretary Scott Bessent of enabling an “unlawful ongoing, systematic, and continuous disclosure” of confidential information to Musk’s DOGE.

“The scale of the privacy invasion is massive and unprecedented,” the AFL-CIO stated. “Americans providing information to the federal government should not have to fear that Elon Musk or his DOGE will misuse it.”

The case follows Donald Trump’s initiative to cut federal spending, placing Musk in charge of efficiency reforms. Critics argue that DOGE—reportedly inspired by Musk’s love for Dogecoin—has overstepped its bounds by gaining full access to the Treasury’s payment system.

Senator Ron Wyden amplified concerns in a Feb. 1 post on Bluesky, citing sources that claim Bessent granted DOGE unrestricted entry to the Treasury’s sensitive databases. The lawsuit highlights the exposure of names, Social Security numbers, addresses, birth details, phone numbers, emails, and banking information belonging to millions of Americans.

Democratic leaders, including Senate Majority Leader Chuck Schumer and Senator Elizabeth Warren, held a press conference condemning the move. Schumer announced plans to introduce legislation to prevent further unauthorized access, asserting, “DOGE is not a legitimate government agency.”

The Treasury and its enforcement division, the U.S. DOGE Service (USDS), have yet to respond to the allegations. The case could set a major precedent on government data privacy and Musk’s growing influence over federal operations.