Colleges in the United states announced more than 850 job cuts last month, reflecting the mounting financial pressures across the sector. Institutions large and small, private and public, are confronting a perfect storm of declining enrolments, rising operating costs, and disruptions to federal research funding. Even universities with multi-billion-dollar endowments, such as Harvard and the University of Southern California (USC), have not been immune to the upheaval.Here’s a look at 10 universities where staff cuts and program reductions have made headlines this month.
University of Southern California
USC, grappling with a budget shortfall exceeding $230 million, announced 259 layoffs in October alone, bringing total job losses since July to over 900, including positions within its health system, according to The Orange County Register. Interim President Beong-Soo Kim said that while no further layoffs are planned, the university must continue to carefully manage its finances. USC has “significantly reduced operating expenses” and remains on track to eliminate its long-term deficit by the end of the fiscal year.
Michigan State University
Public university Michigan State University eliminated 99 positions in October and lost another 83 jobs earlier in the year due to federal funding cuts, President Kevin Guskiewicz reported, in an University announcement. The Trump administration had terminated support for 74 projects and imposed stop-work orders or conditional terminations on dozens more. Guskiewicz said the reductions aim to meet a first-year savings target of 6%, amounting to $50 million annually.
Carnegie Mellon University
At Carnegie Mellon University in Pennsylvania, 75 staff members were laid off at the Software Engineering Institute, representing around 10% of the workforce, following a reduction in federal research funds, according to the Pittsburgh Post-Gazette. Vice President for Research Theresa Mayer characterised the cuts as a last resort driven by the institute’s reliance on federal funding and changing research priorities. An additional 18 employees had been laid off earlier in August.
University of Northern Colorado
Officials at the University of Northern Colorado announced layoffs affecting roughly 50 employees as part of efforts to counter declining state funding and enrolment, KUSA reported. Campus leaders aim to balance immediate cost reductions with long-term financial stability, considering both personnel and non-personnel expenditures.
University of Louisiana Lafayette
Facing a $25 million deficit, the University of Louisiana Lafayette plans to cut 70 positions through retirements, resignations, reassignments, and position eliminations, Interim President Jaimie Hebert wrote. The university has already identified $20.5 million in cost savings, with further reductions planned to address recurring debt and ensure long-term fiscal health, Louisiana Illuminator reports.
Eastern Illinois University
Eastern Illinois University, responding to federal funding losses and a decline in international student numbers, will cut 44 jobs and close 19 positions, local TV station WCIA reports. Officials described the reductions as essential to securing the university’s future.
Xavier University of Louisiana
Xavier University, the nation’s only historically Black Catholic university, laid off 46 full-time employees, representing roughly six per cent of its workforce. Officials described the cuts as part of broader restructuring to maintain financial health and sustain support for students, as reported by nola.com.
Harvard University
Despite a booming endowment that grew from $52 billion to nearly $57 billion, Harvard University laid off approximately 40 employees at the John A. Paulson School of Engineering and Applied Sciences last month. Officials cited reductions in federal research funding and a projected rise in taxes on the endowment as key drivers of the layoffs, The Boston Globe reports.
Clarke University
Clarke University in Dubuque, Iowa, announced the elimination of 13 academic programmes and up to 37 jobs, largely due to declining enrolment and a significant budget deficit, KCRG reports. The cuts affect undergraduate subjects such as English, philosophy, and religious studies, with 23 faculty positions and 12–14 staff positions expected to be removed through attrition or consolidation.
University of Idaho
State budget reductions have prompted Idaho’s public universities to trim positions, including 28 jobs at the University of Idaho. According to Idaho Education News, the cuts form part of $3.1 million in personnel savings, with multiple other state institutions also facing reductions, ranging from $250,000 at the College of Eastern Idaho to $4 million at Boise State University.
The wider picture
These developments underscore a troubling trend: financial pressures in US higher education are not limited to small colleges or underfunded institutions. Even elite universities with substantial endowments are vulnerable to federal funding disruptions and structural deficits. From programme closures to staff reductions, colleges are being forced to reconsider long-standing financial and operational models.As the sector navigates this tumultuous period, the focus is increasingly on sustainability and strategic realignment. For students, faculty, and administrators alike, the message is clear: the higher education landscape is shifting, and institutions must adapt swiftly to ensure both fiscal stability and educational continuity.
