By Olivia Le Poidevin
GENEVA (Reuters) -The International Labour Organization is assessing the impact of a $107 million funding cut proposed by the Trump administration to the Geneva-based U.N. agency, according to an internal message reviewed by Reuters.
Staff at the ILO, which promotes international labour rights, told Reuters there are fears of further job cuts as the U.S., which contributes 22% of the ILO’s regular budget, seeks to row back on funding.
President Donald Trump has moved to unilaterally cancel $4.9 billion in foreign aid authorised by Congress for a number of international programmes, including a $107 million cut to the ILO, a White House statement said on Friday.
In the internal note sent to staff, ILO Director-General Gilbert F. Houngbo said he lacks “full clarity” on the cut’s implications. The ILO told Reuters that it is in contact with the U.S. administration to seek more detail.
Houngbo told staff that the U.S., the agency’s largest donor, had yet to pay its 2024 and 2025 dues.
“Specifically, we are seeking to understand if this reduction applies to the ILO’s assessed contributions for 2025, the entire 2024/25 biennium, or future contributions,” the memo added. This was later reflected in a statement by the ILO to Reuters.
The ILO’s $930 million total two-year budget for 2026-2027 was approved in June.
An ILO staff member told Reuters that the “considerable cut” could put staff jobs at risk. The staff member said colleagues were also upset by the White House statement which said the organisation “works to unionise foreign workers and punish U.S. corporate interests abroad”, and said it misrepresented the agency’s values.
The White House was not immediately available for comment.
The Trump administration intends to implement the cuts through a “pocket rescission,” a tactic to bypass Congress.
Reuters reported on Friday that Nels Nordquist, a top economic aide to Trump, is slated to leave the White House to become deputy director-general at the ILO, replacing a former Biden administration official.
In May the ILO confirmed it had cut about 225 jobs at its headquarters and in the field.
(Reporting by Olivia Le PoidevinEditing by Peter Graff and Ros Russell)
