ICRC Announces 17% Budget Cut and 2,900 Job Reductions Amid Funding Challenges

The International Committee of the Red Cross (ICRC) revealed on Friday that it will reduce its 2026 budget by 17%, bringing it down to 1.8 billion Swiss francs (approximately $2.23 billion), and eliminate 2,900 positions. This announcement comes amid an unprecedented decline in humanitarian aid financing as donor nations intensify their defense spending amid ongoing global conflicts and escalating displacement.

The cuts represent roughly 15% of the ICRC’s workforce of 18,500 employees worldwide and follow a series of austerity measures implemented in 2023. Approximately one-third of the reductions will be achieved through voluntary departures and by not refilling vacant roles.

President Mirjana Spoljaric highlighted the difficult choices the organization faces, stating, "The ICRC remains committed to working on the front lines of conflict, where few others can operate. But the financial reality is forcing us to make difficult decisions to ensure we can continue to deliver critical humanitarian assistance to those who need it most."

The Geneva-based organization operates in over 90 countries, delivering a broad range of humanitarian services from basic aid distribution to prisoner visits. Acting as a neutral entity, the ICRC plays a crucial role in conflict zones, recently facilitating the transfer of hostages from Gaza and Palestinian detainees in accordance with the ceasefire agreed on October 10.

The funding challenges coincide with a significant shift in U.S. foreign aid policies under the administration of President Donald Trump, which prioritizes "America First" strategies and reevaluates international assistance commitments. This adjustment by the world’s largest aid donor further compounds the funding difficulties faced by humanitarian agencies globally.

The ICRC’s announcement underscores the growing strain on humanitarian organizations worldwide as they navigate reduced budgets amid increasing demand for relief amid persistent and emerging crises.