Facing a significant financial shortfall, the United Nations has directed over 60 of its offices and agencies to propose a 20% staff reduction by June 13, 2025, as part of the “UN80” reform initiative.
In response to a critical funding shortfall, the United Nations has instructed more than 60 of its offices, agencies, and operations to submit proposals by June 13, 2025, detailing plans to reduce their staff by 20%. This directive affects approximately 2,800 positions out of the 14,000 funded by the UN’s regular $3.72 billion budget.
The staff reductions span various sectors, including political and humanitarian efforts, refugee aid, gender equality, international trade, environmental missions, and the Palestinian refugee agency UNRWA.
These proposed cuts are part of Secretary-General António Guterres’ “UN80” reform initiative, launched in March 2025, aiming to modernize and streamline UN operations as the organization approaches its 80th anniversary . The initiative seeks a 15-20% budget reduction to address inefficiencies and adapt to contemporary global challenges.
In a memo to affected agencies, UN Controller Chandramouli Ramanathan emphasized the need to assess functions based on efficiency and prioritize roles based on impact, targeting redundant or non-critical functions for consolidation or abolition.
The UN’s financial crisis stems from years of delayed or incomplete payments by member states. In 2024, 41 countries, including the United States, failed to pay their dues in full. The U.S., expected to contribute 22% of the regular budget, owes nearly $1.5 billion in arrears and current-year contributions.
Secretary-General Guterres has dismissed any direct link between the staff cuts and U.S. foreign aid reductions, attributing the financial strain to the broader issue of member states not meeting their financial obligations.
Several UN agencies are already planning significant staff reductions and cost-cutting measures:
- The World Food Program (WFP) is expected to cut up to 30% of its staff.
- The UN refugee agency (UNHCR) plans to downsize its headquarters and regional offices by 30% and reduce senior-level positions by 50%.
- The Office for the Coordination of Humanitarian Affairs (OCHA) is set to lay off about 500 staff members, approximately 20% of its global workforce, due to a significant budget shortfall.
These reductions are expected to affect vital relief programs worldwide, including operations in Afghanistan, Yemen, Sudan, South Sudan, Chad, and Uganda.
The proposed staff cuts must be submitted to the UN Controller by June 13, 2025. These proposals will be incorporated into Secretary-General Guterres’ proposed 2026 budget, which is scheduled for adoption by the General Assembly in December 2025.
While the UN’s 11 peacekeeping missions are financed by a separate budget, and many agencies rely on voluntary contributions, the organization faces ongoing challenges in maintaining essential global relief and support programs amid shrinking resources.
