A federal judge has temporarily halted former President Donald Trump’s plan to place 2,200 employees of the U.S. Agency for International Development (USAID) on paid leave, just hours before it was set to take effect.
Judge Carl Nichols issued a "very limited" temporary restraining order in response to a lawsuit filed by employee unions challenging the administration’s attempt to sideline thousands of workers from the agency, which oversees U.S. foreign aid programs. The order was made late Friday, with a more detailed ruling expected soon.
Trump’s plan would have left only 611 employees actively working at USAID, while around 500 staff members had already been placed on leave. The move is part of his broader effort to slash federal spending, arguing that USAID is not a valuable use of taxpayer money. His administration has also taken steps to physically remove and cover USAID signs at its Washington, D.C., headquarters.
The decision was challenged in court by the American Foreign Service Association and the American Federation of Government Employees, two unions representing USAID staff. The lawsuit argued that the president's actions violate the U.S. Constitution and federal law, as only Congress has the authority to dismantle a government agency.
Lauren Bateman, an attorney at Public Citizen, which filed the lawsuit, said the ruling ensures that at least the 2,000 direct-hire employees under union protection remain unaffected for now. However, the fate of other staff members remains unclear.
Trump, who has accused USAID of corruption and mismanagement, defended his decision on his Truth Social platform, stating that the agency is driving the radical left crazy and must be shut down.
Since returning to office in January, Trump has moved swiftly to overhaul government agencies. He created a special advisory body, the Department of Government Efficiency (DOGE), led by tech billionaire Elon Musk, to review federal spending. On his first day back in office, Trump signed an executive order halting all foreign assistance until funds could be vetted under his "America First" policy, leading to an immediate freeze on USAID operations.
The cuts have sparked global concern, with former USAID administrator Samantha Power calling the move one of the worst and most costly foreign policy blunders in U.S. history.
Humanitarian experts warn that eliminating USAID funding could have devastating consequences. Winnie Byanyima, executive director of UNAIDS, told the BBC that the cuts could lead to 6.3 million additional AIDS-related deaths worldwide over the next five years.
With USAID’s annual $40 billion budget accounting for just 0.6% of the total U.S. government spending, critics argue that slashing foreign aid will have limited domestic benefits but severe global consequences.
The legal battle over USAID’s future is expected to continue as unions and lawmakers push back against Trump’s efforts to reshape federal agencies.