Chaos erupts at Uno as workers face potential job losses for thousands
U.N. Faces Job Cuts and Budget Reductions Due to Funding Shortfall
The United Nations (U.N.) is pondering potentially significant job cuts and a 20% reduction in its $3.7 billion budget, according to an internal memo obtained by ntv.de. The memo requests detailed cost-cutting suggestions from U.N. employees by June 13.
The financial predicament at the U.N. is, in part, attributed to reduced contributions from the United States (U.S.), which historically accounts for about a quarter of the global organization's annual budget. U.S. President Donald Trump has been critical of the U.N.'s political course and has previously cut funds.
The memo's author, U.N. controller Chandramouli Ramanathan, did not explain the reasons for the U.S. payment default. He emphasized that the cuts are part of an ongoing audit. "The United Nations must fulfill its purpose to support the multilateralism of the 21st century, to reduce human suffering, and to create a better life and a better future for all," Ramanathan stated. The cuts are expected to take effect on January 1, 2026.
As many as 6,900 jobs could be eliminated, and the U.N. Secretary-General Antonio Guterres is exploring the possibility of downsizing or merging individual U.N. departments, or even relocating U.N. locations to more affordable cities. In a warning, Guterres acknowledged that difficult decisions lie ahead.
The financial strain on the U.N. is escalated by the challenges in restructuring to adapt to these funding constraints, as any changes require approval from member states and often face political resistance. The United Nations faces "existential challenges," but its role is "needed more than ever," according to the Green politician Annalena Baerbock, who is vying for the post of President of the U.N. General Assembly. Her election will take place on June 2 in New York.
According to recent analysis, official development assistance peaked in 2023 but is expected to plummet to $140 billion by the end of 2025, leading various U.N. agencies to cut budgets and staff numbers. For example, the International Organization for Migration (IOM) has already made cuts affecting 6,000 staff, and the Office for the Coordination of Humanitarian Affairs plans to reduce its staff by 20%. The UN Refugee Agency (UNHCR) and World Food Program (WFP) are cutting costs by 30%, while the World Health Organization (WHO) faces a $600 million budget gap this year.
Sources: ntv.de, mau/rts.
- The financial predicament at the United Nations might lead to a reevaluation of the community policy regarding funding, as decisions about the European Union's contribution, such as those made by the European Parliament, the Council, and the Commission, could be impacted by these budget reductions.
- As the United Nations faces financial hardship, discussions on politics and general-news topics, including the potential job cuts and budget reductions, may arise within the European Parliament, the Council, and the Commission, as the European Union is one of the key contributors to the organization.
