Layoffs are ‘inevitable’ at Temple as school looks to cut $60 million, president says
Temple President John Fry said "some reduction in force is inevitable" as the university looks to make budget cuts to offset a projected $85 million deficit in the proposed 2026-27 budget.
Temple University has asked its schools, colleges, and administrative units to cut a total of $60 million to help offset a projected deficit for 2026-27.
President John Fry shared the plan in a message to the campus community Friday and said a reduction in employees is “inevitable.”
The message did not reveal how many layoffs the university is considering as it attempts to close the $85 million projected gap. The board of trustees’ executive committee is scheduled to meet next week to consider the proposed budget. The university’s current budget is $1.3 billion, excluding the health system.
“Unfortunately, some reduction in force is inevitable, given that nearly 70% of Temple’s operating budget is spent on compensation and benefits,” Fry said in the message. “It is my promise that any employee’s separation from the university will be handled equitably and compassionately.”
He noted that a faculty retirement incentive program this year drew 77 takers — 3% of full-time faculty — and will lessen the need for layoffs. Those faculty are scheduled to leave by the end of this month and their departures ultimately will save $15 million annually. The elimination of vacant faculty and staff positions also has helped, he said.
Fry did not detail the cuts that are planned but said that colleges, schools, and administrative units each received a budget reduction target.
Units were asked to make a 5% cut last year, but this year there is a range of percentages among schools, colleges, and administrative units, a university spokesperson said. The spokesperson declined to say how many layoffs will occur.
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Some potential cuts that have stirred discussion include a reduction in adjunct professors and a pause in doctoral student admissions by some programs.
Jeffrey Doshna, president of the Temple Association of University Professionals, said Fry’s message seemed to address some of the issues the union has been raising, but said more information is needed, including how many people will lose their jobs and from what areas.
“Hopefully, they will continue to respond to what we are calling for,” he said, including greater transparency, participation in decision-making, and no job cuts.
Temple has been trying to cope with lost revenue from a precipitous slide in enrollment and uncertainty around federal funding. Fry has been warning since early April that the university “must act decisively and with a sense of urgency” to address the projected deficit. An internal Temple report obtained by The Inquirer in April said layoffs were coming.
Last July, Temple laid off 50 employees, less than 1% of its workforce.
Fry reported to the board of trustees last week that this year’s fall enrollment looks promising, with deposits by first-year undergraduate and transfer students up over last year at the same time.
He said in his campus message that making the $60 million in cuts is “an important first step toward returning the university to a balanced budget over the next three years.”
Fry acknowledged that the budget reductions “can create uncertainty and anxiety.” But he said the administration has attempted to be transparent and has held meetings with faculty senate, deans, and schools, colleges, and administrative units.
“Navigating through this stark financial reality is not easy,” Fry said. “I recognize the difficulty of this present moment. We will emerge from this process stronger and on a more sustainable path moving forward.”
