University of California Orders Hiring Freeze Amid Federal, State Funding Cuts

With over 280,000 students and 227,000 faculty and work staff, the university is one of the largest higher education systems in the country.

A student walks toward Royce Hall on the campus of University of California at Los Angeles (UCLA) on March 11, 2020. Robyn Beck/AFP via Getty Images

The University of California has ordered a systemwide hiring freeze and made cuts to help mitigate the impact of reductions in state and federal funding, the school’s president, Michael V. Drake, said on March 19.

“Over the last few months, the new administration in Washington, D.C., has announced a number of executive orders and proposed policy changes, including ones that threaten funding for lifesaving research, patient care, and education support,” Drake said in a statement posted to the school’s website. “These actions affect colleges and universities across the country.”

In addition, the 2025-26 California state budget calls for a substantial cut to the university’s budget, he said.

The University of California operates one of the largest higher education systems in the country, with 10 campuses, six academic health centers, and three national laboratories. More than 280,000 students are enrolled, while 227,000 faculty and staff work at the university.

Drake said he has directed every University of California location to prepare financial strategies and workforce management plans to help address potential shortfalls.

He said he has also directed all university locations to implement cost-saving measures, such as delaying maintenance and reducing business travel, to help conserve funds.

The cuts at both the federal and state level would have a “particularly profound impact” on the university, Drake said, adding that he and other school leaders are “advocating strongly for and collaborating with” state and federal elected officials to ensure the university’s mission and priorities.

He said the university’s legal team has “prepared for this moment” and has been “working diligently to protect the University and our mission through the courts.”

The Epoch Times reached out to the White House for comment but did not receive a response by publication time.

The school is the latest to announce a hiring freeze amid financial uncertainty. Similar hiring freezes have been announced at other schools including Harvard and Stanford.

Johns Hopkins University said on March 13 that it would lay off 2,000 workers worldwide after the Trump administration terminated $800 million in federal funding for the institution.

On March 18, Moody’s Ratings downgraded its 2025 outlook for the U.S. higher education sector from stable to negative, stating that “recent and potential federal policy changes create a more difficult operating environment for colleges and universities.”

“Macroeconomic uncertainty, driven by shifting policies and market volatility, adds to the risks for institutions already dealing with elevated expense growth and enrollment challenges,” Moody’s said.

It noted that top-rated institutions with strong demand and significant financial resources are better equipped to handle such challenges.

Reuters contributed to this report.