Exclusive: Ukrainian USAID employees receive official layoff notices as US kills 83% of programs

Virtually all contracts have been terminated, with workers looking for other jobs
USAID help to Ukraine
Aid received as part of the Agri-Ukraine agricultural resilience project. Photo: Vlad Sodel/USAID
Exclusive: Ukrainian USAID employees receive official layoff notices as US kills 83% of programs

The suspension of USAID programs worldwide is over.

US Secretary of State Marco Rubio announced that the Department of State has completed the review of the dismantled agency and has taken the decision to slash 83% of the USAID programs.

“After a 6-week review, we are officially canceling 83% of the programs at USAID. The 5200 contracts that are now cancelled spent tens of billions of dollars in ways that did not serve, (and in some cases even harmed), the core national interests of the United States,” wrote Rubio on X.

He added that a total of 5,200 contracts have been labeled as superfluous by the new administration, which seeks to fully revamp the government and kill all funding and projects that allegedly don’t serve (and even harm) America’s interests.

“In consultation with Congress, we intend for the remaining 18% of programs we are keeping (approximately 1000) to now be administered more effectively under the State Department. Thank you to DOGE and our hardworking staff who worked very long hours to achieve this overdue and historic reform,” he wrote.

The reaction to Rubio’s tweet garnered 70 thousand likes at press time, showing that governmental spending continues to be one of the focal talking points for the Republicans and its MAGA wing, who praised the decision but also expressed frustration, saying that all projects must be abandoned.

“83% isn’t enough. Abolish USAID! Why should my government force me to give my money to a foreign country where virtually every country on Earth have multi-billion dollar economies and could fund their own dang necessities?” wrote Anthony Galli, who describes himself as “Make the Future Great Again: Neo-Homestead Act, Free-Market Money, Education Savings Accounts, Downsize DC, and Strong Borders” and runs a Substack.

Meanwhile, those opposing the decision have labeled Rubio a “coward” and suggested that China will step in to fill the vacuum, emphasizing the role of soft power in international politics.

“You are disgusting. 6 weeks. Millions will suffer because you’re a coward. China will step in because you want Trump to give you power. What a small pathetic man,” host of On Democracy with FPWellman Fred Wellman wrote on X.

Immediate impact on Ukrainians

While the list of the remaining programs has yet to be disclosed, Euromaidan Press reached out to one of the interviewees from our previous article, “USAID halt hit Ukraine hardest: Ukrainians speak out.”

Back in January, the person working for Chemonics, a private company that redistributes USAID funds in Ukraine and worldwide, who spoke on condition of anonymity, stated that “the personnel did not feel,” adding that “no, massive layoffs are planned, either, with her saying they expect salaries “for January, February, April, etc.”

The situation changed last week, with the employee admitting that the American government terminated virtually all contracts administered by Chemonics, which encompasses dozens of various domains, including cultural initiatives. At the same time, the staff received layoff notices Friday.

“The official termination of our contracts has begun. We’re looking for new jobs. Since we’re employed officially, there should be a 60 days notice, according to Ukrainian law. So technically we are eligible to receive payments until May,” the person said. “There’s a possibility that one project will be exempt from the decision, though we are not sure which one. We will discuss this at our staff meeting.”

When asked which programs remained in Ukraine, the answer was very few and mainly of a humanitarian nature, though this may be subject to change.

Kyiv has been the top USAID recipient since 2022.

In 2023, Ukraine was the top country to receive both economic and military aid worth just under $18 billion. According to official data, almost all that money, $16.6 billion, was disbursed.

Many Ukrainian civil society projects receive funding from the US. According to Detector Media chief Nataliia Lygachova, more than 50% of Ukrainian media receiving foreign grants depend on US funding.

Earlier in February, the State Department terminated an initiative that has invested hundreds of millions of dollars to help restore Ukraine’s energy grid from attacks by the Russian military, according to two USAID officials working on the agency’s Ukraine mission.

Public reconciliation

Rubio’s announcement attracted the attention of Elon Musk, a self-assigned reformer of Washington D.C.’s governmental structure.

“Tough, but necessary. Good working with you. The important parts of USAID should always have been with Dept of State,” he wrote.

The public exchange of cordialities between Rubio who thanked DOGE and Musk follows a report by the NYT that the two had a clash behind closed doors, with Musk accusing Rubio of not firing enough people from the State Department and Rubio allegedly firing back with sarcastic remarks.

POTUS Donald Trump reportedly backed Rubio during the heated exchange, with Musk’s role diminished as a result.

Since Trump’s inauguration on 20 January, Musk has been actively interfering with the governmental agencies, demanding that they report to him as to their workload.

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