US funding reductions initiate job losses within UN organizations, with officials fearing deterioration in the quality of services.
Tech Billionaire Musk's New Department Slashing Aid Cripples UN Agencies
In the fallout from Donald Trump's decision to yank the US as the world's leading foreign aid donor, the World Food Programme (WFP) and other United Nations agencies are slashing jobs due to budget cuts, primarily from the United States.
According to internal memos obtained by AP and verified by two UN officials who asked to remain anonymous, procurement of UN agencies will be slashed, impacting around 20% of staff and overall budgets. The WFP, the world's largest humanitarian organization, received 46% of its funding from the United States in 2024 and is expected to cut up to 30% of its staff[1].
The UN's refugee agency, UNHCR, which provides aid to over 43.7 million refugees worldwide, will downsize its headquarters and regional offices by 30% and cut senior-level positions by 50%. UNICEF projects that its funding will be at least 20% less in 2025 compared to 2024, leaving it scrambling for efficiency measures and additional cost-cutting steps[1].
Trump handed over control to Elon Musk and his new Department of Government Efficiency (DOGE) to rework the scale of the federal government, with a priority on slashing foreign assistance. This move dealt a severe blow to the UN agencies, as many donor nations had already reduced humanitarian spending, and UN agencies struggled to meet their funding goals before the administration's decision[2].
The consequences of these cuts are dire, as the impact on vulnerable populations, including children, refugees, and famine-affected communities, may face the loss of critical aid programs[1]. For example, a reduction in funds will cut access to clean water for at least half a million displaced people in Sudan, increasing the risk of disease outbreaks[1].
This turbulent shift raises concerns over national security and potential espionage threats, with some experts warning of the risks associated with federally employed individuals becoming foreign assets due to the unprecedented job losses[3]. The ongoing chaos amidst policy revisions and funding shortfalls has left the global aid network in a precarious position.
Sources:[1] "US foreign aid cuts crippling UN, forcing job and program cuts", Associated Press, [Accessed 16 May 2023].[2] "Trump's cuts to UN agencies underscore impact of pulling US back from position as world's largest aid donor", Associated Press, [Accessed 16 May 2023].[3] "Federal employee to foreign asset? DOGE layoffs raise alarm over espionage threat to the US", Associated Press, [Accessed 16 May 2023].
- The slashing of aid by Elon Musk's new Department of Government Efficiency (DOGE) in 2025, as part of Trump's decision to reduce foreign aid, could potentially force UN agencies to find shortcuts in their finance and business operations.
- The anonymous UN officials revealed that the procurement of UN agencies might be affected by the 20% staff and budget cuts, which could lead to increased political scrutiny and general-news coverage regarding the efficiency and accountability of these organizations.
- Some experts worry that the anonymity of federally employed individuals who lose their jobs due to the layoffs might make them vulnerable to potential espionage threats from foreign entities, raising questions about national security within the business and political landscape.
- The consequences of the aid reductions could extend beyond UN agencies, as the relief programs cut could create a ripple effect, impacting economies and the overall general-news around the world in 2025.


