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Wednesday, March 26, 2025

UC system announces hiring freeze amid projected $271 million cut in state funding

The news came as universities across the country brace for changes in federal policy in education spending

By VINCE BASADA — campus@theaggie.org

The University of California (UC) announced a systemwide hiring freeze March 19, citing higher education policy changes from the Trump administration and cuts to the UC’s budget allocation from the state.

The news was announced by UC President Michael V. Drake, who said the freeze will be part of the system’s wider efforts to manage costs and conserve funds. The UC is facing $271 million in proposed cuts from the state of California for the 2025-26 academic year.

“[Our] efforts have allowed us to stave off some of the immediate and projected financial impacts — but not all,” Drake said in a statement. “As we face funding reductions at both the state and federal levels, the Chancellors and I are preparing for significant financial challenges ahead.”

Drake, who is set to step down at the end of this academic year, has also directed all UC campuses to initiate other cost-saving measures, which he acknowledges will vary from location to location. They include delaying maintenance and restricting business travel.

The austerity measures will affect all nine undergraduate campuses, UC San Francisco (a graduate medical school), and several other affiliated locations.

In a message to UC Davis employees and staffers, UCD Chancellor Gary May said that he had directed Human Resources to design a new “centralized hiring process” for staff positions; a centralized hiring review is already in place at UCD Health. May also noted that he anticipates fewer faculty hires than in recent years.

“We know this news is unsettling, and many of you may have questions about how this will impact your teams and departments,” May said in the statement. “Please know that UC Davis is committed to navigating these challenges together as a community, guided by compassion and transparency.”

In a February communication from UCD administration to staffers, university leaders said that UCD is facing a $37 million reduction in state funding. Additionally, the report noted that unless significant action is taken, UCD’s budget deficit will more than double, up from $40.3 million at the close of fiscal year 2024-25 to approximately $90 million by the end of 2025-26.

The announcement comes as colleges and universities across the country are bracing for cuts in higher education spending and aid from the federal government amid calls from President Donald Trump to abolish the Department of Education.

AFSCME Local 3299, the UC’s largest labor union representing some 35,000 employees, called the announcement representative of, “more of the same institutional failure.”

“UC has effectively had a hiring freeze in place for the past four years, and its Chief Financial Officer acknowledged as much when he told the Board of Regents in 2023 that staff vacancies had tripled since the pandemic,” AFSCME Local 3299 President Michael Avant said.

The university has clarified that employment offers made by the UC on or before March 19, 2025 will be honored.

 

Written by: Vince Basada — campus@theaggie.org

This is a developing story. Check back for more updates.

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