Harry and Meghan say staff cuts at Archewell are ‘inevitable’

Prince Harry And Meghan Markle are speaking out after recent staff reductions. A spokesperson for the royal couple said they would rename their charity Archewell.

This change has led to staff layoffs as the organization moves to a fiscal sponsorship model. The move marks the organization’s fifth anniversary and aims to expand its global impact as a family-run nonprofit.

Recent financial documents show higher spending than fundraising, which representatives say reflects intentional use of reserves by Prince Harry and Meghan’s charity.

Harry and Meghan Markle are making changes to their charitable activities by transforming the Archewell Foundation into a newly renamed entity called Archewell Philanthropies, a move that has resulted in a smaller staff structure.

The announcement comes after reports of several employee layoffs.

A spokesperson for the Duke and Duchess of Sussex confirmed People Magazine, “The move towards a budgetary sponsorship operating model means that some staff redundancies are inevitable,” particularly for junior administrative positions.

The spokesperson stressed that the decision was part of a broader operational change, not a shutdown, and praised the departing staff, calling them “incredibly talented and caring people who are dedicated to helping others.”

Announced on December 19, the name change coincides with Archewell’s fifth anniversary and marks a new phase for the organization.

According to the Sussexes, the updated structure allows them to “expand their global philanthropic efforts as a family, with significant reach and maximum impact, grounded in the same values, partnerships and commitment to showing up and doing good.”

Under the new model, Archewell Philanthropies will continue to operate as a nonprofit, but will operate under the established 501(c)(3), which will handle administrative tasks such as compliance, finances and grantmaking.

Harry and Meghan will remain focused on establishing the mission, priorities and charitable partnerships, giving the organization greater flexibility and room for growth.

The rebrand also reflects the couple’s long-term vision of philanthropy as a family business. Statements on the organization’s website highlight the involvement of their children, Prince Archie and Princess Lilibet, in forming a legacy centered on service.

This vision has already been on display, including when children joined their parents to help prepare meals with Our Big Kitchen Los Angeles before Thanksgiving and appeared in Archewell’s recent end-of-year video.

The transition comes amid scrutiny of the charity’s latest financial documents, which show Archewell raised around £1.96 million. [$2.6 million] over the past year while spending around £3.8 million [$5.1 million]resulting in a reported deficit of around £1.9 million [$2.5 million].

A representative for Harry and Meghan objected to any characterization of this as a loss, explaining that the difference reflects a deliberate decision to draw on “existing reserves to fund the impact, rather than hoarding funds.”

According to the Daily Expressnoted a spokesperson, “this is an intentionally made and misaligned decision, demonstrating Archewell’s commitment to putting money to work globally and maximizing the social return of past fundraising efforts.”

They added: “The Foundation did not lose money – it used previously raised funds for their intended purposes. The Archewell Foundation’s approach is to raise funds for specific projects and deploy them as those projects reach key implementation milestones.

The Archewell Foundation has supported a range of humanitarian initiatives in recent years, including major contributions to help children affected by conflict.

The charity donated a total of $500,000 to help injured children in Gaza and Ukraine.

These funds were spent on medical evacuations coordinated by the World Health Organization and on research focused on developing prosthetics for young victims of war-related injuries.

As reported The IndependentThe breakdown of donations shows that $200,000 was allocated to the WHO to facilitate medical evacuations from Gaza to Jordan, while $150,000 was given to Save the Children to support humanitarian relief operations in Gaza.