IRS Has Loads of Legacy IT, Still Has No Firm Plans To Replace It

The IRS should reopen its Technology Retirement Office to effectively manage the retirement and replacement of legacy systems, according to a Treasury Inspector General for Tax Administration (TIGTA) audit. The Register reports: The report (PDF), from the Treasury Inspector General for Tax Administration (TIGTA), credits the IRS with fully implementing two out of four previous tech modernization recommendations, though argues the other two recommendations were ineffectively implemented. Those failures include the agency’s decision in 2023 to scrap its own Technology Retirement Office, which stood up in 2021 “to strategically reduce the [IRS’ IT] footprint.” Without that office, “there is no enterprise-wide program to identify, prioritize, and execute the updating, replacing, or retiring of legacy systems” at the IRS, the inspector general declared, adding the unit should be reestablished or brought back in some similar form.

The closure of the retirement office, in the eyes of the TIGTA, is part of the IRS’s failure to properly identify and plan for shutting down legacy systems and possibly replacing them with something modern. According to the audit report, the IRS identified 107 of its 334 legacy systems as up for retirement, yet only two of those 107 have specific decommissioning plans. The TIGTA would like to see clear plans for all of those identified systems, and had hoped the retirement office (or similar) would provide them. Then there’s the second incomplete recommendation, which the IG said is the IRS’ failure to properly apply its own definition of a legacy system to all of its tech. […] In its response to the IG report, the IRS said it had largely addressed the two incomplete recommendations, though not entirely as the Inspector General might want.

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FBI Used New Cellebrite Software To Crack Trump Shooter’s Phone

The FBI was given access to unreleased technology to access the phone of the man identified as the shooter of former President Donald Trump, Bloomberg reported late Thursday, citing people familiar with the investigation. From the report: As the FBI struggled to gain access on Sunday morning to the phone, they appealed directly to Cellebrite, a digital intelligence company founded in Israel that supplies technology to several US federal agencies, according to the people, who requested anonymity to speak freely about the case.

FBI agents wanted to pull data from the device to help decipher his motives for the shooting at a rally in Bethel Park, Pennsylvania, where Trump suffered an injured ear and a spectator was killed. Authorities have identified the deceased shooter as Thomas Matthew Crooks. The local FBI bureau in Pittsburgh held a license for Cellebrite software, which lets law enforcement identify or bypass a phone’s passcode. But it didn’t work with Crooks’ device, according to the people, who said the deceased shooter owned a newer Samsung model that runs Android’s operating system. The agents called Cellebrite’s federal team, which liaises with law enforcement and government agencies, according to the people. Within hours, Cellebrite transferred to the FBI in Quantico, Virginia, additional technical support and new software that was still being developed. The details about the unsuccessful initial attempt to access the phone, and the unreleased software, haven’t been previously reported.

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Asda IT Staff Shuffled Off To TCS Amid Messy Tech Divorce From Walmart

An anonymous reader quotes a report from The Register: Asda is transferring more than 100 internal IT workers to Indian outsourcing company TCS as it labors to meet deadlines to move away from IT systems supported by previous owner Walmart by the end of the year. According to documents seen by The Register, a collective consultation for a staff transfer under TUPE — an arrangement by which employment rights are protected under UK law — begins today (June 17). The UK’s third-largest supermarket expects affected staff to meet line managers from June 24, while the transfer date is set for September 16. Contractors will be let go at the end of their current contracts. Asda employs around 5,000 staff in its UK offices. Between 130 and 135 members of the IT team have entered the collective consultation to move to TCS.

The move came as private equity company TDR Capital gained majority ownership of the supermarket group. It was acquired from Walmart by the brothers Mohsin and Zuber Issa and TDR Capital in February 2021 at a value of 6.8 billion pounds. The US retail giant retained “an equity investment.” Project Future is a massive shift in the retailer’s IT function. It is upgrading a legacy ERP system from SAP ECC — run on-prem by Walmart — to the latest SAP S/4HANA in the Microsoft Azure cloud, changing the application software, infrastructure, and business processes at the same time. Other applications are also set to move to Azure, including ecommerce and store systems, while Asda is creating an IT security team for the first time — the work had previously been carried out by its US owner.

Asda signed up to SAP’s “RISE” program in a deal to lift, shift, and transform its ERP system — a vital plank in the German vendor’s strategy to get customers to the cloud — in December 2021. But the project has already been beset by delays. The UK retailer had signed a three-year deal with Walmart in February 2021 to continue to support its existing system, but was forced to renegotiate to extend the arrangement, saying it planned to move away from the legacy systems before the end of 2024. Although one insider told El Reg that deadline was “totally unachievable,” the Walmart deal extends to September 2025, giving the UK retailer room to accommodate further delays without renegotiating the contract.

Asda has yet to migrate a single store to the new infrastructure. The first — Yorkshire’s Otley — is set to go live by the end of June. One insider pointed out that project managers were trying to book resources from the infrastructure team for later this year and into the next, but, as they were set to transfer to TCS, the infrastructure team did not know who would be doing the work or what resources would be available. “They have a thousand stores to migrate and they’re going to be doing that with an infrastructure team who have their eyes on the door. They’ll be very professional, but they’re not going above and beyond and doing on-call they don’t have to do,” the insider said.

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Most CEOs Won’t Priorities Return-to-Office Policies, Survey Finds

The pandemic may have proved to employeers that remote and flexible-work arrangements were viable — and changed the way we work forever. Axios writes:

Just 6 out of 158 U.S. CEOs said they’ll prioritize bringing workers back to the office full-time in 2024, according to a new survey released by the Conference Board. Executives are increasingly resigned to a world where employees don’t come in every day, as hybrid work arrangements — mixing work from home and in-office — become the norm for knowledge workers. “Maintain hybrid work,” was cited as a priority by 27% of the U.S. CEOs who responded to the survey, conducted in October and November. A separate survey of chief financial officers by Deloitte, conducted in November, found that 65% of CFOs expect their company to offer a hybrid arrangement this year.

“Remote work appears likely to be the most persistent economic legacy of the pandemic,” write Goldman Sachs economists in a recent note. About 20%-25% of workers in the U.S. work from home at least part of the week, according to data Goldman cites. That’s below a peak of 47% during the pandemic but well above its prior average of around 3%.

“The battle is over,” said Diana Scott, human capital center leader at The Conference Board. “There are so many other issues CEOs are facing.” Headlines about CEOs determined to get butts in seats get attention, but they are the exception, says Brian Elliott, the cofounder of Future Forum, a future of work think tank. “There are a lot more CEOs that are actually quietly becoming more flexible….” Though the labor market has softened, employers still do care about keeping employees satisfied — and they don’t want to fight with them. “It’s not worth the fight,” says Elliott.

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Will Remote Working Lead Millennials to Buy Homes in Affordable Remote Suburbs?

An anonymous reader shared this report from Fortune:
For eight years now, as millennials have entered their thirties and forties, also known as “homebuying age,” Bank of America has surveyed over 1,000 members of the generation once a year for its Home Work series. And for 2023’s edition… older millennials (age 31-41) are almost three times as likely to move into a house than an apartment, the survey found…

Migration patterns during the pandemic have clearly established that most homebuyers have wanted to flee big cities, with some “zoomtowns” such as Boise benefiting in particular. But the survey reveals something even more drastic. In a section called “suburban nation,” BofA reveals that 43% to 45% of millennials — of every age — expect to buy a house in the suburbs. “We expect the ability to work from home to remain an incentive for young families to seek out more remote suburban and rural markets where housing may be more affordable,” wrote the BofA team led by research analyst Elizabeth Suzuki. And remote work is still robust, they added.

Millennials are also looking toward the suburbs for wealth-building. A majority (two-thirds) of them believe that they’ll buy a home in the next two years, citing a return on investment as the number one reason for purchasing. The interest is pervasive across the generation, and maybe means that the suburb is in for a new and better revival. And a 2021 study from Pew Research Center found that one in five adults preferred city life, compared to one quarter of adults in 2018…

Millennials reported to BoA that the pandemic increased their likelihood of buying a home…

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