Critics say move will harm legal workers and the economy without solving illegal immigration problem.
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Security lapses with routers and switches left taxpayer information open to possible access.
Agencies can resume awarding contracts for products and services from the company.
IG recommends an independent body to investigate concerns and rotation of inspectors to prevent close relationships.
Suspended Defense contractor was designated as small and disadvantaged, but federal officials say it was never officially classified as such.
IG says agency has made improvements, but not "substantial" ones, in eight of nine of the most important preparedness areas.
OMB says the exemption was included in draft regulations because they were based on a decades-old Defense Department rule.
Increased costs and performance issues lead to Commerce secretary’s decision, which will cost the bureau up to $3 billion.
Federal contractors can continue to sell IBM products under their own contracts.
Army vice chief of staff nominee says a maximum of 12 months is the goal.