Contemplating Possible Employee Reduction and Budget Diminution by Up to 20 Percent by the United Nations
The United Nations is contemplating significant changes to its operational structure, with plans to eliminate approximately 6,900 jobs and reduce its $3.7 billion budget by 20 percent. According to an internal memo obtained by Reuters, staff members have been asked to submit detailed proposals for cost-cutting measures by June 13. These developments come amid financial hardships, partially caused by a partial payment suspension from the United States, traditionally the world organization's largest contributor.
The UN's controller, Chandramouli Ramanathan, did not provide specific reasons for the US payment default in the memo. He, however, highlighted that the proposed reductions are part of a wide-ranging review aimed at ensuring the UN's relevance in the 21st century, reducing human suffering, and creating a better future for all. The implemented changes will go into effect on January 1, 2026.
Potential areas of cost-saving measures include the merger of major UN departments to eliminate duplication, the relocation of personnel to more financially viable cities, and far-reaching reforms proposed by Secretary-General Antonio Guterres, such as consolidating agencies and restructuring departments to streamline operations. The wide-ranging restructuring is expected to significantly impact various roles within the organization globally, particularly within the UN Secretariat.
Agencies such as the High Commissioner for Refugees (UNHCR), the UN Relief and Works Agency for Palestine Refugees (UNRWA), and UN Women, which receive funding from the regular UN budget, will receive separate instructions concerning the cuts. While the memo does not specify which departments or job types are targeted for reductions, it emphasizes a substantial overhaul that includes mergers, relocations, and the elimination of duplicated functions to ensure the UN remains effective under severe financial constraints.
Initial reductions will predominantly affect vacant positions, while later phases may involve impacting existing employees following internal regulations. Staff members across departments have been encouraged to submit detailed proposals for cost savings by June 13, 2025.
[1] Reliable Sources: ntv.de, rts[2] Melissa Mun倒zover has more on this developing story.[4] The Washington Post, Financial Times, Associated Press.
- The wide-ranging UN restructuring, aspiring to cut costs by 20%, may include mergers of major departments as part of the employment policy, aiming to eliminate duplication and streamline operations in the business sector.
- The proposed UN budget reductions, due to financial hardships and the US payment default, are planned to significantly impact various roles within the organization globally, particularly employment policy within the UN Secretariat, underpinned by the organization's commitment to relevance in the 21st century, reducing human suffering, and creating a better future for all.
