The International Labour Organization (ILO) has appointed a United States official, Sheng Li, as its new Deputy Director-General following months of delays in the selection process.
Li currently serves as Principal Deputy Assistant Secretary for Policy at the U.S. Department of Labor.
He previously worked at the department during former President Donald Trump’s first term and later joined the New Civil Liberties Alliance.
His appointment comes after the withdrawal of former nominee Nels Nordquist, reportedly due to prolonged delays in the process, according to diplomatic sources.
The United States traditionally occupies the deputy leadership role at the ILO, reflecting its status as the organization’s largest financial contributor, responsible for approximately 22 percent of its budget.
However, the appointment comes at a time of financial strain for the Geneva-based agency. As of April 17, the United States owed the ILO 257 million Swiss francs (approximately $328 million) in unpaid contributions, according to the organization’s official data.
The funding shortfall has had significant implications for the ILO’s operations. Reports indicate that the agency is planning to cut nearly 295 jobs due to financial constraints linked to the U.S. arrears.
Meanwhile, a draft budget from the U.S. the Department of State shows a proposed allocation of $50 million to the ILO in 2026 far below the outstanding amount owed. The State Department has not provided clarification on when or how it plans to settle the arrears.
The development underscores ongoing concerns about the financial stability of international organizations reliant on member state contributions.
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