financetom
Economy
financetom
/
Economy
/
More than 200 jobs cut at International Labour Organization as US slashes funding
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
More than 200 jobs cut at International Labour Organization as US slashes funding
May 28, 2025 7:08 AM

GENEVA (Reuters) - The Geneva-based International Labour Organization (ILO) has axed about 225 jobs due to cutbacks in U.S. funding at the United Nations agency, its head said on Wednesday.

The job losses, which affect posts at the ILO's Geneva headquarters and in the field, follow the U.S. administration's decision to reduce voluntary contributions under President Donald Trump, ILO Director-General Gilbert F. Houngbo said.

"One job loss is too many ... You would not imagine the mood that has generated within my staff," he told reporters in Geneva.

The ILO head also raised the possibility of relocating some of the agency's operations out of Geneva, one of the world's most expensive cities, to ease financial pressures, which is also part of broader talks on reform.

Potential locations could be European cities such as Turin, Budapest, or Bonn, or further afield in places including Doha and Pretoria, Houngbo said.

Short-term contractors and employees at some other U.N. agencies like the International Organization for Migration have already been informed of redundancies.

But thousands more job losses could be on the way as international agencies grapple with funding shortages due to the withdrawal of aid by the Trump administration and other donors.

"The U.S. is the top contributor for assessed and voluntary contribution, so our challenge is double," Houngbo said, highlighting also a broader pullback in financial support among member states.

The U.S. accounts for 22% of the ILO's $880 million two-year budget for 2026-2027, expected to be approved at the ILO's International Labour Conference next week.

"Worst case scenario, we may have to consider a revised budget. I don't recall the last time that happened to the ILO," Houngbo said.

He said he is developing a business continuity plan in case of further cuts to financial support, and that the ILO will be implementing a freeze on external recruitment, as well as launching a voluntary redundancy programme.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Zoomed Out | Critical Minerals — why India's current strategy to become self-reliant is so vital
Zoomed Out | Critical Minerals — why India's current strategy to become self-reliant is so vital
Nov 29, 2023
Internationally, there are genuine security concerns related to the criticality in building more diverse and dependable value chains for critical minerals, about their environmental and social sustainability, and technological challenges. While, India has taken the right steps for creating an ecosystem for accelerated exploration and production of critical and new age minerals, observes FICCI Mining Committee Co-Chair Pankaj Satija.
India looking into 'freak' incidents like damage to Sikkim's Chungthang dam: RK Singh
India looking into 'freak' incidents like damage to Sikkim's Chungthang dam: RK Singh
Oct 18, 2023
Stressing on the need to have quick ramp up and ramp down energy sources for grid balancing, the minister described hydroelectric power's role as essential in the path to energy transition as wind energy is intermittent and the sun doesn't shine 24×7.
In fight to curb climate change, a grim report shows world is struggling to get on track
In fight to curb climate change, a grim report shows world is struggling to get on track
Nov 14, 2023
The State of Climate Action report released on Tuesday by the World Resources Institute, Climate Action Tracker, the Bezos Earth Fund and others looks at what's needed in several sectors of the global economy power, transportation, buildings, industry, finance and forestry to fit in a world that limits warming to 1.5 degrees Celsius (2.7 degrees Fahrenheit) over pre-industrial times, the goal the world adopted at Paris in 2015. The globe has already warmed about 1.2 degrees Celsius (2.2 degrees Fahrenheit) since the mid-19th century.
JPMorgan has a new way to gauge its green progress
JPMorgan has a new way to gauge its green progress
Nov 15, 2023
As the largest energy banker, JPMorgan is a frequent target of criticism over Wall Street’s role in the climate crisis. At the same time, the bank is a leading US arranger of green bonds, making it vulnerable to Republicans seeking to protect the fossil fuel industry.
Copyright 2023-2025 - www.financetom.com All Rights Reserved