Harry and Meghan are said to have told their team in person last month that they would be losing their jobs after announcing their decision to step down as senior royals.
It is understood that one or two of those working for the pair would be given new roles elsewhere in the royal household but that most are now negotiating redundancy packages.
The reported decision comes after the duke and duchess’s Frogmore Cottage staff were set to be “redeployed” as the couple prepared to start a new life in Canada.
Buckingham Palace said it would not comment but a source told the Mail that there would be “some redundancies”. However, they added that the details were yet to be finalised.
It is believed that the redundancies will be concluded by the time Harry and Meghan’s move to step down as senior royals is formally concluded, after their final official duties.
The Sussexes are now living in Canada with their baby son Archie Mountbatten-Windsor as they prepare to drop their HRH styles and quit the monarchy in favour of financial freedom.
They had initially hoped for a dual role, supporting the Queen, the Commonwealth and Harry's military associations, but the idea was deemed unworkable.
Buckingham Palace has said the Sussexes' new life away from royal duties will begin in the spring of this year.
The couple reportedly increased security at their rented mansion in North Saanich, Vancouver Island, earlier this month.
It followed a survey finding more than three quarters of Canadians feel their country should not foot the couple's security bill.
Last week, during the Sussexes' first event since announcing they will leave the royal family, Harry revealed he has been in therapy for the past few years coping with the loss of his mother.
He told a JP Morgan-sponsored alternative investment summit in Florida he did not want his wife and son to experience what he went through when younger.
It is not known if the duke was paid for the appearance but it was speculated he could have received a fee worth hundreds of thousands of pounds.
Royal watchers will be waiting to see whether Harry and Meghan, who are president and vice-president of the Queen's Commonwealth Trust, will put in an appearance at the annual Commonwealth Day service with the royal family at Westminster Abbey in London on March 9.
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