Foundations Tighten Budgets After Scandal

The Gates Foundation has opened an external review of past engagement with Jeffrey Epstein and announced plans to eliminate about 20% of staff and cap operating expenses, citing the need to rebuild trust. Large philanthropies facing reputational crises may respond by shrinking their operating footprints and imposing stricter vetting on partners. — If replicated across major donors, this pattern could change how philanthropy funds research and social programs, shifting power, transparency, and the capacity of the nonprofit sector.