U.S. Office of Personnel Management Selects Oracle to Power Federal Workforce Modernization

AI-powered HR platform will help OPM reduce costs and improve efficiency, security, and service delivery for more than two million federal employees

AUSTIN, Texas, June 11, 2026 /PRNewswire/ -- The U.S. Office of Personnel Management (OPM) has awarded Oracle a $395.8 million Federal HRIT Modernization Core Human Capital Management (HCM) contract to deliver the federal government's first governmentwide HR platform. Powered by Oracle Fusion Cloud Human Capital Management (HCM), the new platform will replace more than 100 separate systems and serve as the single, governmentwide system of record for workforce management under OPM's Federal HR 2.0 initiative.

Many federal agency HR systems are not interoperable. This can create duplicated efforts and inconsistent data that often results in higher costs and delays in hiring and retirement processes. By consolidating its systems onto a single cloud platform, OPM expects to reduce costs to taxpayers by more than 90 percent while strengthening efficiency, security, and service delivery for agencies and employees alike.

"The federal government's HR infrastructure has become unnecessarily fragmented, making it harder for agencies to efficiently serve employees and taxpayers. Following a rigorous, competitive evaluation process that included extensive testing and input from agencies across government, we selected Oracle Cloud HCM to help consolidate dozens of disconnected systems into a modern, secure platform," said Scott Kupor, director, US Office of Personnel Management. "This is an important step toward improving interoperability, strengthening workforce data capabilities, and delivering a more effective and accountable HR experience across the federal government."

As the foundation for Federal HR 2.0, Oracle Cloud HCM will provide approximately two million U.S. Executive Branch civilian employees with an AI-powered, secure, FedRAMP-authorized HR platform. The solution will centralize HR operations on a single platform to improve the employee experience and effectively manage the federal workforce as a unified enterprise. Capabilities include position management, personnel action and records processing, workforce analytics, and employee and manager self-service, with integration to payroll, retirement, and benefits systems.

"Oracle is honored to partner with OPM to establish a secure, trusted foundation to unify federal HR operations," said Kim Lynch, executive vice president, Oracle Government, Defense & Intelligence. "And in doing so, we're extending our commitment to help government leaders make faster decisions while delivering to federal employees the modern experience they deserve."

About Oracle Fusion Cloud Applications

Oracle Fusion Cloud Applications provide an integrated suite of AI-powered cloud applications that enable organizations to execute faster, make smarter decisions, and lower costs. Oracle Fusion Applications include:

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SOURCE Oracle