The Trump administration has announced a sweeping reduction of personnel at the United States Agency for International Development (USAID), placing nearly all direct-hire employees worldwide on paid administrative leave while permanently eliminating 1,600 positions in the US. The move, revealed in a notice circulated among agency employees, marks a significant overhaul of American foreign aid policy and has sparked widespread criticism from former officials, unions, and humanitarian organisations.
Mass leave and job cuts announced
According to the notice, which was also posted online, the administrative leave order takes effect at 11:59 pm EST on Sunday, 23 February 2025, affecting thousands of USAID employees across the globe. The agency confirmed that the Reduction-in-Force (RIF) will impact approximately 1,600 USAID positions based in the US.
“As of 11:59 pm EST on Sunday, February 23, 2025, all USAID direct hire personnel, with the exception of designated personnel responsible for mission-critical functions, core leadership, and/or specially designated programmes, will be placed on administrative leave globally,” the notice stated.
The decision, part of the Trump administration’s broader restructuring of government agencies, signals a shift in US foreign aid priorities. Officials have defended the move, arguing that USAID’s structure has long been inefficient and in need of reform.
Federal judge approves USAID workforce reduction
On Friday, a federal judge ruled in favour of the administration’s action, rejecting legal challenges from unions that sought to block the cuts. Unions had argued that the move amounted to an attempt to dismantle USAID, which has historically played a crucial role in global humanitarian assistance and disaster relief.
The ruling dealt a significant blow to agency employees who had hoped legal challenges would delay or reverse the cuts. While the unions have vowed to appeal, the ruling has cleared the way for the administration to proceed with its workforce reduction plans.
Backlash from USAID workers and advocacy groups
The announcement has triggered a wave of backlash, particularly from government employee unions, former officials, and international aid advocates. Critics argue that reducing USAID’s workforce will cripple America’s ability to respond to global crises, including disease outbreaks, refugee emergencies, and food insecurity.
Marcia Wong, a former senior USAID official, expressed her frustration on X (formerly Twitter), writing:
“Eliminating US unique response capacity… Of crisis experts who help contain disease outbreaks, stabilise displaced populations – a shortsighted, high-risk and frankly, stupid act.”
Another former USAID official, speaking anonymously to Reuters, noted that the unsigned notice was not self-executing and would require significant follow-up actions to be fully implemented.
Elon Musk and Marco Rubio’s influence
The sweeping job cuts come amid a push by billionaire Elon Musk, who has been advocating for government efficiency through his Department of Government Efficiency (DOGE) initiative. Musk, who has repeatedly criticised USAID’s operations, boasted on social media that he was “feeding USAID into the wood chipper”.
Meanwhile, Secretary of State Marco Rubio, who was recently appointed as acting USAID administrator, has taken charge of the restructuring effort. The Florida senator has long supported reducing foreign aid expenditures and has echoed Trump’s argument that the agency’s funds are often misallocated.
Trump’s Foreign aid freeze and executive orders
The USAID cuts follow President Trump’s executive order imposing a 90-day freeze on foreign aid funding shortly after taking office for his second term. The pause affected a wide range of programmes, including efforts to combat starvation, infectious diseases, and displacement crises.
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While the administration has approved $5.3 billion in exemptions—mainly for security and counter-narcotics initiatives—USAID programmes have received less than $100 million in exemptions, a tiny fraction of the $40 billion the agency administered annually before the freeze.
Trump and his allies, including Musk, have defended the cuts by arguing that much of USAID’s funding has been wasteful or poorly allocated to projects that do not align with US national interests.
Will the US lose its soft power?
USAID has long been a key instrument of US “soft power” diplomacy, helping to strengthen Washington’s influence abroad through humanitarian assistance. Critics fear that dismantling a significant portion of the agency will reduce America’s global standing and weaken its ability to respond to international crises.
Foreign policy experts have warned that the vacuum left by USAID’s diminished presence could allow rival nations, particularly China, to expand their influence in regions where American assistance has historically played a dominant role.
Meanwhile, legal challenges to the cuts continue, with advocacy groups and unions pledging to fight the decision in court. Whether they can overturn the Trump administration’s actions remains to be seen, but the restructuring of USAID is already reshaping the US approach to foreign aid—potentially for years to come.
