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Thousands of employees at the U.S. Agency for International Development (USAID) will be placed on leave starting Friday night, according to a statement from the agency.
The move, which comes amid sweeping budget cuts and policy realignments under the Trump administration, has sparked concern among staff, lawmakers, and humanitarian organisations.
USAID announced that the order applies to all “direct-hire personnel” except those engaged in “mission-critical functions, core leadership, and specially designated programs.” However, the agency has not specified which positions will be affected. Employees are expected to receive individual notifications by Thursday afternoon.
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The decision follows the Trump administration’s repeated assertions that USAID is inefficient and in need of restructuring to align with the president’s policy priorities. Agency personnel, supported by Democratic lawmakers, have strongly opposed the cuts, warning that they could endanger lives and undermine national security.
President Trump’s previous freeze on foreign aid has already disrupted global relief efforts, with significant consequences for nations reliant on U.S. assistance. USAID, which provides humanitarian aid to over 100 countries, employs approximately 10,000 people worldwide, two-thirds of whom work overseas.
USAID, established in 1961, operates on an annual budget of roughly $40 billion—equivalent to about 0.6% of federal spending. The agency has been instrumental in providing emergency relief, development aid, and health initiatives across the globe.
In its Tuesday statement, USAID assured affected employees stationed overseas that it would coordinate return travel within 30 days in collaboration with the U.S. Department of State. Those exempt from the leave order will be informed by 15:00 EDT on Thursday.
Given that some USAID employees work in conflict zones, concerns have arisen regarding the feasibility of their withdrawal. The agency has yet to clarify how it plans to navigate such logistical challenges.
These measures are part of a broader set of cost-cutting initiatives undertaken by the Trump administration since his return to office, often coordinated with Elon Musk’s unofficial Department of Government Efficiency. One of the most affected regions is Haiti, where the U.S. recently froze $13.3 million in aid.
However, on Wednesday, the U.S. State Department issued a waiver allowing $40.7 million in foreign assistance to support Haiti’s national police and an international security mission.
Critics argue that these drastic changes reflect an overreach of executive power. Some have labelled the USAID cuts as part of an illegitimate power grab, allegedly spearheaded by Musk, who has no official government role. The White House recently published a list of programs it considers examples of “waste and abuse,” including a $1.5 million grant to an LGBTQ group in Serbia and $2.5 million allocated for electric vehicles in Vietnam.
The leadership of USAID is also in flux. Earlier this week, Senator Marco Rubio was appointed as the acting head of USAID amid reports that the agency could be merged into the State Department. However, completely dissolving USAID would require congressional approval.
As of Tuesday, USAID employees began receiving notices informing them of their placement on paid administrative leave. The email, obtained by BBC News, instructed staff to remain “available” via phone and email but barred them from entering USAID offices.
Musk has openly called for the agency’s complete dissolution, claiming it is “beyond repair.” However, many warn that such a move would have devastating consequences for vulnerable populations worldwide. USAID’s initiatives range from providing prosthetic limbs to Ukrainian soldiers to clearing landmines and combating the Ebola outbreak in Africa.
An HIV patient in Nigeria shared her concerns with the BBC, stating that she relies on USAID-funded antiretroviral drugs. “I am really scared about what the future holds,” she said. “I got my last set of HIV drugs in November and am supposed to go back in April… but I don’t know what will happen by then.”
Democratic lawmakers in Washington have condemned the administration’s actions, labelling them “illegal” and “unconstitutional.” New Jersey Senator Andy Kim, who previously worked at USAID, emphasised the agency’s importance in maintaining U.S. global influence and security.
“USAID is a foreign policy tool with bipartisan origins that is critical in this dangerous global environment,” Kim wrote on social media. “Gutting it means gutting our ability to compete and keep America safe.”
As the situation unfolds, USAID employees and global aid recipients alike remain in limbo, uncertain of the future of one of the world’s most influential humanitarian agencies.
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