USAID Unions Sue Trump Administration, Citing 'Unconstitutional Actions'

Labor organizations representing employees at the U.S. Agency for International Development (USAID) have filed a lawsuit against the Trump administration, aiming to halt what they describe as the illegal dismantling of the agency.

The lawsuit, filed in a Washington, D.C., federal court Thursday, was brought forward by the American Federation of Government Employees (AFGE) and the American Foreign Service Association (AFSA).

The unions argue that the administration's actions were unconstitutional and that they have triggered a "global humanitarian crisis," Reuters reported.

"Not a single one of defendants' actions to dismantle USAID were taken pursuant to congressional authorization," the lawsuit stated. "And pursuant to federal statute, Congress is the only entity that may lawfully dismantle the agency."

The lawsuit highlighted the significant cuts to USAID's workforce of over 10,000 employees, with fewer than 300 expected to remain, as the rest face indefinite leave or termination.

The suit also challenged the administration's decision to freeze nearly all foreign assistance, which has halted essential humanitarian projects worldwide. The move has led to thousands of contractors being furloughed or laid off, further stalling critical international relief efforts.

"The dismantling of USAID including its Foreign Service members has thrown dedicated public servants—and their families—into chaos and uncertainty," AFSA President Tom Yazdgerdi stated Thursday. "The consequences of this disruption go far beyond individual careers—it weakens U.S. leadership and undermines global stability worldwide."

The lawsuit names President Donald Trump, along with Secretary of State Marco Rubio, Treasury Secretary Scott Bessent, and their departments as defendants.

The action was initiated on Jan. 20, when President Trump issued an order halting all U.S. foreign aid on his first day in office. Shortly after, the State Department froze USAID projects worldwide, and the agency's computer systems went offline. Staff members were suddenly laid off or placed on leave.

One of the most significant impacts of this freeze has been on global hunger relief. The lawsuit notes that around 500,000 metric tons of food, valued at $340 million, are stuck in limbo, unable to be distributed to those in need due to the freeze on foreign aid.

Earlier this week, Trump claimed that he did not need congressional approval to eliminate USAID. However, legal experts pointed out that the president does not possess the authority to unilaterally dissolve independent federal agencies such as USAID, CNN reported.

"Not when it comes to fraud. If there's fraud, these people are lunatics," Trump told CNN about his capacity to make changes to USAID. "We just want to do the right thing. It's something that should have been done a long time ago."

Legal challenges

The lawsuit asserts that the dissolution of USAID, an independent agency established by Congress in 1998, is beyond the president's authority and violates his constitutional duty to faithfully execute the laws of the United States.

The plaintiffs are requesting a temporary and permanent court order to restore USAID's funding, reopen its offices, and prevent any further actions aimed at dismantling the agency.

The timing of the legal action is critical. By Friday at 11:59 p.m. ET, USAID plans to place all of its direct hire personnel on leave, excluding a few designated staff for mission-critical functions. Legal experts remain uncertain whether the court will intervene in time to prevent these layoffs.

Elon Musk's role

The significant reductions at USAID have been largely orchestrated by entrepreneur Elon Musk, who is leading the effort to shrink the federal bureaucracy, including overseeing the restructuring of the agency.

Musk had earlier posted on X that he and his team "spent the weekend feeding USAID into the wood chipper."