The Trump administration announced that nearly all United States Agency for International Development (USAID) personnel worldwide would be placed on paid administrative leave, with around 1,600 positions in the US being permanently eliminated. The decision, outlined in a notice sent to agency employees and posted online, marks a significant shift in American foreign aid policy and has drawn sharp criticism from former officials and advocacy groups.
“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.
Federal judge approves USAID cuts
A federal judge on Friday ruled in favour of the administration’s move to place thousands of USAID workers on leave, dealing a blow to unions that had filed lawsuits to block the cuts, arguing they amounted to an attempt to dismantle the agency.
Backlash from USAID workers, unions
The announcement has sparked intense backlash, particularly from government employee unions and international aid advocates.
Following the announcement, Marcia Wong, a former senior USAID official wrote on X, “Eliminating US unique response capacity… Of crisis experts who help contain disease outbreaks, stabilize displaced populations – a shortsighted, high risk and frankly, stupid act.”
Another former official, speaking anonymously to Reuters, pointed out that the unsigned notice was not self-implementing and would require follow-up personnel actions to be executed properly.
Elon Musk and Marco Rubio influence
The sweeping reduction in headcount comes amid a broader push by billionaire Elon Musk, who has been vocal about streamlining government operations through the department of government efficiency (DOGE). Musk boasted on social media that he was “feeding USAID into the wood chipper”.
Additionally, Secretary of State Marco Rubio, who was appointed as acting USAID administrator by President Donald Trump earlier this month, is overseeing the restructuring.
Trump’s foreign aid pause, executive orders
The move follows Trump’s executive order imposing a 90-day pause on foreign aid funding shortly after returning to office. The pause affected a broad range of programmes, including initiatives aimed at combating starvation, infectious diseases, and displacement crises worldwide. While the administration has approved exemptions totalling $5.3 billion — for security and counter-narcotics efforts — USAID programmes have received less than $100 million in exemptions, a fraction of the roughly $40 billion administered annually before the freeze.
Trump and his allies, including Musk, have justified the cuts by pointing to what they describe as wasteful or misallocated spending on overseas aid projects.
Will the US lose its soft power?
The sweeping cuts to USAID, which has long been a cornerstone of US ‘soft power’ diplomacy, raise concerns about its role in global humanitarian efforts. Critics have warned that scaling back the agency’s workforce and funding could weaken US influence abroad and hinder crisis response operations, while simultaneously giving other nations, namely China, opportunities to expand its influence.
Meanwhile, advocacy groups and legal organisations continue to challenge the administration’s actions in court.
The article originally appeared on Business Standard.
