Raynold Oilouch
KOROR (Island Times/Pacnews) — Twenty-eight employees at the Ministry of Health and Human Services faced possible layoffs due to cuts in U.S. federal funding under the administration of President Donald Trump. However, Palau’s leadership has committed to keeping all affected workers employed.
MHHS receives approximately $12 million annually through various U.S federal grant programs. The impacted employees were funded through several of the grant programs that were eliminated.
“We will make sure no one loses their jobs,” said Vice President and Minister of Health and Human Services Raynold Oilouch.
Oilouch said alternative funding sources will be identified to retain the staff, even though the affected individuals are classified as exempt, or contracted, employees.
“They are included in the supplemental budget request to [the Palau] Congress,” Oilouch added.
He noted that the loss of federal grants will not significantly disrupt MHHS operations. Most of the programs that were cut focused on public awareness and education efforts, he said.
In a related development, Oilouch confirmed that representatives from the U.S. Government Accountability Office are in Palau conducting interviews with various ministries. The GAO, a non-partisan agency that advises the U.S. Congress on federal spending and personnel, periodically assesses how Compact funds are implemented and reports on Palau’s financial performance.
