The decision follows a series of measures that have significantly curtailed USAID operations worldwide.

In a statement, USAID confirmed that all direct hire personnel, except for those assigned to mission-critical functions, core leadership roles, or specially designated programmes, would be placed on administrative leave globally starting at 11:59 p.m. EST on Sunday, February 23, 2025.

“Individuals that are impacted will receive specific notifications on February 23, 2025, with further instructions and information about their benefits and rights,” the agency stated.

Employees deemed essential will be informed by 5 p.m. EST the same day.

For overseas personnel, USAID has outlined plans for a voluntary Agency-funded return travel programme, ensuring access to diplomatic and other resources until their departure.

Details on retrieving personal items from former USAID workspaces and returning government-issued devices are expected to be released in the coming week.

Trump administration’s push to cut USAID

The move aligns with President Donald Trump’s efforts to scale back foreign aid, which he has repeatedly criticised as wasteful.

Since regaining office, Trump has explored ways to bring USAID under the direct control of the State Department, fueling concerns that the agency could face complete dissolution.

Democratic lawmakers have voiced strong opposition to the administration’s actions. Senators Jeanne Shaheen and Brian Schatz, along with Representatives Gregory Meeks and Lois Frankel, issued a joint statement highlighting that USAID’s independence is protected by law.

Senator Chris Murphy reinforced this view, stating that “a president cannot eliminate an appropriated federal agency by executive order.”

The restructuring of USAID has faced legal challenges. Earlier this month, U.S. District Judge Carl Nichols ruled in favour of a labour union-backed request to delay the administrative leave plan.

However, on February 21, he reversed the decision, allowing the Trump administration to proceed with its plans, including a 30-day countdown for overseas USAID employees to return home.

Further complicating the situation, billionaire Elon Musk has publicly attacked USAID, following an alleged confrontation between the agency’s security personnel and Trump’s newly established Department of Government Efficiency (DOGE), which Musk leads.

Musk has labelled USAID a “criminal organisation” and called for its shutdown. His post on X stating, “Time for it to die,” has intensified fears that the administration is committed to dismantling the agency altogether.

Reports indicate that the Trump administration aims to slash USAID’s global workforce from over 10,000 to fewer than 300—a staggering 97% reduction.

President Trump has claimed that "tremendous fraud" and "unprecedented levels of corruption" exist within USAID’s funding operations, reinforcing his demand for the agency’s closure.

With legal obstacles now cleared and a firm directive in place, the fate of thousands of USAID employees remains uncertain, as the agency undergoes one of the most significant shake-ups in its history.

Reports indicate that the Trump administration aims to slash USAID’s global workforce from over 10,000 to fewer than 300—a staggering 97% reduction.