Duke University will offer buyouts to cut costs
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People walk through the campus of Duke University. Photo: Lance King/Getty Images
Duke University said Wednesday that it will enact a hiring freeze, eliminate vacant positions and offer some employees buyouts as part of an effort to reduce costs.
Why it matters: The move comes as federal funding for research and universities remains uncertain under the Trump administration.
- Duke has been one of the largest recipients of National Institutes of Health funding in the country.
Driving the news: The new measures from Duke, which were first reported by The Duke Chronicle, were revealed on a webinar to faculty and could include layoffs later this year, The Assembly reported.
- In March, Duke President Vincent E. Price tasked the school's and hospital's leaders with creating a new strategic plan featuring potential cost reductions in response to funding uncertainties.
State of play: Duke, one of the largest employers in the Triangle, said it hopes the "voluntary separation incentive program" offered to certain employees will reduce the size of a potential layoff this summer.
- The number of employees that could be eligible for the buyouts was unclear. Duke declined to comment further to Axios on its plans.
- The Assembly reported that university officials said "hundreds" of employees would be offered the buyouts.
The big picture: This year, the Trump administration said it would cap the indirect cost rate on all new and current NIH grants at 15% of the total cost — a move that could cost Duke hundreds of millions of dollars.
- That change is being litigated, including a lawsuit from North Carolina Attorney General Jeff Jackson.
- But the size of future grants from the government could still be reduced.
What they're saying: "This is an incredibly hard moment," Daniel Ennis, Duke's executive vice president, said in a statement.
- "But each decision is being made with input and discussion about how to best address these challenges while ensuring we continue the standard of excellence that has defined this institution for the last 100 years and will define what we accomplish for the next 100 years," he added.
Editor's Note: This story has been corrected to reflect that The Duke Chronicle was the first to report on the school's cost-cutting measures, (not The Assembly).