USAID Places All Employees on Administrative Leave Amid Corruption Allegations

Global Food Crisis

The United States Agency for International Development (USAID) has announced that all direct-hire employees worldwide will be on administrative leave starting Friday, February 7, 2025. 

This sweeping decision excludes specially designated programs, core leadership, and key personnel responsible for mission-critical operations.

This development follows mounting pressure from U.S. President Donald Trump, who has openly criticized the agency over corruption allegations. The announcement has sparked widespread concern about the future of USAID’s global humanitarian and development initiatives.

Key Details of the Administrative Leave

According to a notice on USAID’s official website, leadership will inform essential staff of their status by Thursday, February 6, at 3:00 p.m. (EST). Employees not identified as essential will be placed on leave, disrupting operations in over 100 countries where USAID plays a critical role.

In collaboration with the U.S. Department of State, USAID is developing a repatriation strategy for staff stationed outside the U.S. The agency has confirmed plans to terminate Personal Services Contracts (PSC) and Institutional Support Contracts (ISC) and arrange and fund the return of affected employees to the U.S. within 30 days.

However, exceptions will be evaluated individually, considering factors such as:

  • Pregnancy and medical conditions
  • Dependents’ school schedules
  • Mobility or safety concerns
  • Personal or family hardships

USAID stated, “We anticipate providing further guidance on how to request exceptions in the near future.”

Global Implications of USAID’s Workforce Reduction

The decision to place staff on administrative leave is expected to severely impact USAID’s development and humanitarian projects globally. As a key player in addressing food insecurity, economic development, and global health emergencies, USAID’s absence could create significant gaps in aid delivery.

In Nigeria, for example, USAID recently committed $2.3 million to procure malaria medications—a critical intervention now facing potential disruption. Similar concerns are emerging in other countries where USAID supports health initiatives, disaster relief, and economic growth programs.

Background: Trump and Musk’s Influence on USAID’s Fate

The announcement comes amid heightened scrutiny of USAID, fueled by sharp criticism from President Trump and tech billionaire Elon Musk. Trump has repeatedly accused the agency of mismanagement, hinting at plans to shut it down entirely.

During an interview on X Spaces, Musk revealed, “I went over the USAID stuff with [the president] in detail, and he agreed that we should shut it down.” Musk claimed multiple discussions with Trump, suggesting a coordinated push against the agency, which manages billions in U.S. foreign aid annually.

When questioned about USAID’s future, Trump told reporters, “It’s been run by a bunch of radical lunatics, and we’re getting them out. Then we’ll make a decision on its future.”

What Lies Ahead for USAID?

As USAID faces an uncertain future, questions loom about the long-term effects on global development and humanitarian efforts. The agency has long been a pillar of U.S. foreign policy, promoting stability, health, and economic growth worldwide.

While USAID has yet to respond to these developments, the international community is watching closely, concerned about the potential fallout from one of the agency’s most significant shake-ups.

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