UN Cuts 20% Jobs Due To Funding Shortage, After Several Countries Slash Contributions
The United Nations has reportedly asked its over 60 offices, agencies and other operatives to reduce their staff by 20 % by mid-June due to fund constraints. The severe fund shortfall happened, after the several member countries either failed to pay their annual dues or did not pay them on time, news agency AP reported.
The UN Secretary General, António Guterres, attributed the proposed job cuts to the diminishing UN resources over the past seven years. Notably, after Donald Trump took charge as US president, America announced funding cuts to the global organisation through an executive order seeking a general review of all US contributions to the UN.
The Trump administration has also announced its withdrawal from the World Health Organization (WHO), a specialised agency of the UN, claiming the global health body is demanding unfairly “onerous payments from the United States.” The US was expected to pay 22% of the regular budget of the UN. In 2024, of the 193 member countries, 152 paid their dues in full, including China. However, around 41 countries, including the United States, did not pay their dues.
After the UN’s origin in 1945, the US has remained the largest funder of the organization. The US contributed almost $13 billion, making up over a quarter of the total funding for the collective budget of the global body in 2023.
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The fifth committee (Administrative and Budgetary) of the UN on May 19 discussed that fund shortfall is affecting the organizations’ capacity to enforce mandated programs and thus compel them to reduce expenditure. There are also reports of the US exposure to increasing reputational risk, affecting the organization’s credibility.
The development is believed to be due to a combination of factors, including internal political polarization, economic challenges, and perceived failures in foreign policy.
