UN Humanitarian Agency to Lay Off 500 Workers Amid Major Funding Crisis

The United Nations’ top emergency response agency is facing a painful shake-up. The Office for the Coordination of Humanitarian Affairs (OCHA) announced on Friday it will lay off roughly 500 staff members—about 20% of its global workforce—as it battles a deepening financial crisis and mounting demands across the world.

The move comes after months of cost-cutting measures, including a hiring freeze and travel restrictions, which managed to save $3.7 million. But those efforts weren’t enough to close the nearly $60 million budget shortfall projected for 2025.

“The humanitarian community was already underfunded, overstretched, and literally, under attack,” wrote OCHA chief Tom Fletcher in a letter to staff. “Now, we face a wave of brutal cuts.”

OCHA will withdraw or reduce operations in at least nine countries:

• Cameroon
• Colombia
• Eritrea
• Iraq
• Libya
• Nigeria
• Pakistan
• Turkey
• Zimbabwe

Instead, the agency says it will concentrate its resources in key areas where it can provide “dynamic and full responses” to humanitarian crises.

Despite the difficult cuts, Fletcher emphasized this is not about shrinking ambition, but about changing the approach.

OCHA is pivoting toward a more focused, streamlined model that centers on three core priorities:

• Rapid crisis response
• Humanitarian system reform
• Strong leadership in emergencies

This restructuring is part of the UN’s broader “Humanitarian Reset”—a reform strategy agreed to in February—and aligns with Secretary-General António Guterres’ “UN80” initiative aimed at modernizing the organization ahead of its 80th anniversary.

“We believe passionately in what we do,” Fletcher wrote, “but we cannot continue to do it all.”

Not everyone is convinced the cuts are just growing pains. Aid organizations working in affected countries are sounding the alarm.

An official from the Al Amal Association, a rights group based in Baghdad, told CNN the move could undermine humanitarian operations in Iraq, especially those focused on women’s rights and community support.

“Without OCHA’s backing, our work could stall — and some of our staff may lose their jobs too,” the official warned.

The agency operates in over 60 countries and will now become more concentrated, with fewer locations but (ideally) stronger impact. Communications director Najwa Mekki confirmed the cuts are part of a difficult but necessary strategy to remain functional and effective.

While Fletcher acknowledged the emotional toll of these decisions, he insisted the agency must focus on coordination, not duplication — supporting other humanitarian efforts instead of trying to do it all alone.

Source: CNN – UN humanitarian agency will lay off hundreds of staff due to funding crisis