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United Nations to trim workforce by around 7000 positions

Unsuccessful Transactions in U.S. Payment Systems

UN offices in New York's headquarters could potentially find themselves without power.
UN offices in New York's headquarters could potentially find themselves without power.

United Nations to trim workforce by around 7000 positions

The United Nations, gasping under the weight of financial burdens, is compelled to enact drastic austerity measures as a result of significant payment delays from key contributors, particularly the United States. These measures include staff reductions, program curtailments, and potential relocations of UN locations to cities with lower operational costs, according to an internal memorandum obtained by Reuters.

The UN's budget, amounting to $3.7 billion annually, is expected to be trimmed by 20 percent, with UN employees asked to submit suggestions for cuts by June 13. The financial predicament of the world organization is partly attributed to the US, which accounts for nearly a quarter of its annual budget. President Donald Trump has consistently criticized the UN for its political course, leading to the reductions in funds.

In the memo, Chandramouli Ramanathan, the UN controller, did not elaborate on the payment delays from the US. Instead, he emphasized the ongoing audit process as the reason for the cuts. Ramanathan stated, "It is an ambitious endeavor to ensure that the United Nations continues to support the multilateralism of the 21st century, alleviate human suffering, and create a better life and future for all." The measures are scheduled to take effect on January 1, 2026.

Meanwhile, Secretary-General Antonio Guterres is exploring the possibility of consolidating individual UN departments or relocating UN locations to more affordable cities as part of his “UN80” reform process. He warned that the organization faces uncomfortable and difficult decisions, and ignoring these could lead to a dire outcome.

In her application speech for the post of President of the UN General Assembly, Annalena Baerbock expressed concern over the financial and political pressure confronting the UN, which faces existential challenges. Baerbock emphasized the critical role of the UN in modern society during her mid-May address in New York, ahead of her June 2 election in the General Assembly.

Sources: ntv.de, mau/rts

In light of the UN's financial predicament, the European Union, including the European Parliament, the Council, and the Commission, might contemplate revisions to their community policy to contribute more substantially towards the UN's annual budget, given the organization's significance in global politics, business, and general-news. Concurrently, the European Parliament has expressed solidarity with the UN's general-news, as they face existential challenges, and may advocate for increased funding from member states to alleviate the financial strain.

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