Looming Layoffs

With the endowment down sharply and employee compensation accounting for nearly half of University expenses recently, the administration plans to trim staff jobs.

Return to main article:

Harvard has begun downsizing its workforce. On May 11, Marilyn Hausammann, vice president for human resources, announced that 534 of 1,628 staff members eligible for an early-retirement incentive—33 percent—had accepted the offer. (The Faculty of Arts and Sciences alone offered early retirement to 521 staff members, of whom 30 percent accepted—a small fraction of its nearly 3,700-person staff.)

The retirements will lessen, but not eliminate, layoffs, given pressure to cut spending. As of October 2008, Harvard employed about 12,950 full-time-equivalent non-faculty staff members—coincidentally, nearly 500 more than were employed a year earlier, and almost as many as are retiring early. For the year ended June 30, 2008, compensation accounted for 48 percent of University expenses ($1.7 billion). Hausammann noted, “Although Harvard’s schools and departments are now analyzing the impact of the pending retirements on their budgets…for many schools further reductions in force will likely be necessary to meet budget targets….” FAS dean Michael D. Smith’s letter on the same date reiterated an earlier warning. Although the efficiencies outlined on the FAS website were “staffing neutral,” he wrote, “the financial challenge before us makes it increasingly likely that staff reductions will eventually be necessary.”

The Student Labor Action Movement (SLAM), which led the living-wage campaign for lower-paid University employees at the beginning of the decade, re-emerged around the slogan, “Greed is the new Crimson” (a play on Harvard’s environmental theme), and organized rallies against layoffs (see www.hcs.harvard.edu/slam). SLAM leaflets distributed before the May 19 faculty meeting suggested alternatives (graduated pay reductions of 5 percent to 15 percent and reduced pension contributions for employees earning more than $100,000 per year, reduced paid vacation time) and detailed cuts adopted by senior administrators at Brown, Stanford, and other universities.

Layoffs were widely expected to be announced beginning in  late June, after the Commencement crowds dispersed. For updates, consult www.harvardmagazine.com.

You might also like

A new proposed structure, layoffs, and a five-day-a-week in-person work mandate will take effect by fall.

At informational town hall meetings, faculty and staff press administrators for details.

The Emmy-winning journalist was a mainstay of political coverage at NBC for two decades.

Most popular

There’s a growing movement to curb light pollution. It starts on your front porch.

As weight loss medications become more common, Daniel Lieberman discusses the importance of preserving muscle.

Harvard Weathers a Year of Turmoil

The federal government has launched unprecedented actions against the University. Here’s a guide.

Explore More From Current Issue

Vibrant urban scene at dusk featuring a mural on a building and illuminated structures.

The Goel Center in Allston will open for performances in the fall of 2026.

Two figures stand before a large, colorful pixelated face against a yellow background.

Harvard scientists identify hundreds of genes under selective pressure.

A vibrant group of dancers in colorful outfits poses on a stage with shiny decorations.

The Harvard Arts Medalist wants his smash-hit Cats revival to reach “as many young queer people” as possible.