According to diplomats and documents seen by Reuters, the U.N. refugee agency has reduced its official headcount by about 3,500 and cut its budget by 16% as it adjusts to new financial constraints at a time when global displacement is expected to reach an all-time high next year.
On paper, the total cuts would amount to almost halving the workforce and a third of the budget since 2025, exposing the cumulative effect of cuts brought about by the Trump administration’s and others’ reductions in foreign aid budgets.
According to the budget documents, UNHCR had 16 126 budgeted positions in 2025 compared to 12 051 this year and 8 540 in 2027 (not including contractors and temporary positions). Three diplomats present at a U.N. meeting in Geneva on Thursday said UNHCR officials presented the most recent cuts to member states.
A spokesman for the U.N. refugee agency, however, stated that such significant cuts would not actually be made because many positions were never filled in prior budgets, which represented needs and funding objectives rather than realised donations.
Income forecasts for the upcoming year were similar to those for 2026, the spokesperson said, adding that the organization was forced to make significant workforce reductions in 2025 due to a severe funding shortfall.
However, he stated that it would be changing “unjustified” policies that had previously permitted up to 1,000 employees to continue working for long stretches of time in between assignments.
“We are pursuing a comprehensive reform agenda to make UNHCR more agile, cost-effective, and accountable, even though the budget constraints are real,” he stated.
Due to donor cuts, the organization has already been forced to reduce aid to refugees, eliminate thousands of jobs, close an office in Southern Africa, and relocate its headquarters from Geneva to a less expensive building in order to save money.
The organization, which was established in the wake of World War II to aid refugees escaping conflict, persecution, and violence, is primarily dependent on voluntary funding, much of which is pre-designated by donors for politically favoured projects, which many now perceive as a structural flaw.
Although High Commissioner Barham Salih has since expressed hope that the partnership will continue, the scale-back follows the Trump administration’s consideration of a possible split with the agency. Additionally, Trump officials have called on other countries to join the effort to reduce asylum protections.
In the budget documents, the UNHCR stated that assisting refugees in times of need, guaranteeing their safety, taking action on voluntary returns, and encouraging self-sufficiency would be its top priorities.
