United Nations braces for 19% job cuts after shrinking 2026 budget

Dubai: The United Nations begins 2026 with a regular budget of $3.45 billion as the Organisation confronts strained finances and prepares to shrink its workforce by 19 per cent. The General Assembly approved the spending plan after weeks of negotiations, signing off on an amount that slightly exceeds the $3.238 billion proposed by Secretary-General António Guterres.

The budget applies only to core UN operations. Peacekeeping missions and specialised agencies such as UNESCO and the World Health Organization follow separate funding processes. Even so, the allocation is roughly $270 million — about 7.25 per cent — lower than the $3.72 billion budget for 2025.

Core priorities unchanged

The 193-member Assembly authorised funding for work across peace and security, sustainable development, and human rights. The discussions took place alongside UN80, a major reform initiative that aims to reshape administrative processes ahead of the Organisation’s anniversary year.

UN Controller Chandramouli Ramanathan told delegates the Secretariat had to prepare the draft budget in less than six weeks, producing extensive documentation under tight deadlines and fielding thousands of queries from oversight bodies and Member States. He said the ability to reach consensus again demonstrated the durability of the Organisation’s budget process.

Warning over difficult year

Ramanathan noted that the vote sets the stage for a challenging implementation period rather than closing the chapter on budget negotiations. He highlighted a high level of expected advance payments from Member States for 2026 and urged governments to continue paying assessed contributions on time to ease cash-flow pressure.

The Organisation moves into the new year under financial strain, with a smaller budget and workforce reductions planned, while maintaining its core programme of work.