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University of California announces systemwide hiring freeze as funding cuts loom

California lawmakers approve 2024-25 state budget
California lawmakers approve 2024-25 state budget 00:28

The University of California announced that it would implement a hiring freeze and other cost-saving measures throughout the 10-campus system, amid potential cuts to funding.

University president Dr. Michael Drake said Wednesday the system is facing uncertainty regarding federal funding in the wake of executive orders and proposed policy changes by the Trump administration. In addition, the upcoming California state budget is calling for what he described as a "substantial" cut to the UC budget.

In January, Gov. Gavin Newsom released a budget proposal that would reduce funding to the UC by $271 million, according to Drake.

"As one of the most innovative, research-focused public institutions in the nation, these proposed changes would have a particularly profound impact on the University of California," Drake said in a letter to the university community. "As we face funding reductions at both the state and federal levels, the Chancellors and I are preparing for significant financial challenges ahead."

To conserve funds, Drake said a hiring freeze will be implemented throughout the system. Drake has also directed all university locations and the Office of the President to prepare financial strategies and workforce management plans that would address potential shortfalls.

The university will also implement other cost-saving measures, including delaying maintenance and reducing business travel. Drake said the plans would vary by location.

"I recognize this is a time of great uncertainty for many in our UC community and in higher education across the country. Throughout our history as an institution and as a nation, we have weathered struggles and found new ways to show up for the people we serve," Drake said.

The American Federation of State, County and Municipal Employees (AFSCME) Local 3299, which represents nearly 40,000 UC frontline service workers and patient care technical workers released a statement Wednesday criticizing the move.

"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. Today's announcement by the UC Board of Regents simply represents more of the same institutional failure," union president Michael Avant said.

Avant argued that the university has billions of dollars in unrestricted reserves, has spent billions on acquiring new facilities and has increased its ranks of high-paid executives.

"That's why more than a third of the over-worked, under-staffed and undercompensated employees we represent have recently left their jobs.  And that pattern won't change until UC actually invests its considerable resources in the things that it needs to flourish," Avant went on to say.

The union said patient care technical workers have been without a contract since last July and service workers have been without a contract since October.

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