The United Nations High Commissioner for Refugees (UNHCR) has been forced to lay off nearly 5,000 employees this year, as the agency grapples with a devastating funding shortfall triggered by sweeping aid cuts from major donor nations.
UNHCR chief Filippo Grandi revealed the figure on Monday, describing it as a “catastrophic” blow to humanitarian operations worldwide.
“Almost 5,000 UNHCR colleagues have already lost their jobs this year,” Grandi said. “This is more than a quarter of our entire workforce — and that number is expected to grow.”
The layoffs come at a time when global displacement has reached record highs, with millions fleeing conflict, persecution, and climate disasters.
Yet, humanitarian funding has been drying up rapidly since U.S. President Donald Trump returned to office in January and implemented deep cuts to foreign aid budgets.
According to UNHCR, both permanent staff and consultants have been affected.
The U.S., once the agency’s largest donor contributing over 40% of its funding, has drastically reduced its support — a move that, combined with austerity from other donor countries, has left the agency in what Grandi described as a “dire situation.”
UNHCR’s approved budget for 2025 stands at $10.6 billion, but Grandi noted that the agency typically receives only half of what it needs. Projections suggest it will end the year with just $3.9 billion — a 25% drop compared to 2024.
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“The numbers are bleak,” he admitted. “Critical programmes and lifesaving activities have to be stopped. Gender-based violence prevention, psychosocial support for torture survivors — gone. Schools have closed, food assistance has been slashed, and resettlement has ground to a halt.”
Humanitarian experts warn that the cuts could have devastating ripple effects for millions of refugees and displaced persons worldwide, many of whom depend on UNHCR for shelter, education, and basic survival.
“This is what happens when you slash funding by over $1 billion in a matter of weeks,” Grandi lamented.
The UN agency’s funding crisis underscores growing global fatigue toward humanitarian causes, even as displacement crises intensify from Sudan to Gaza and beyond.