(Image Credit: IMAGN)
Washington D.C. – Universities across the United States are tightening their budgets and freezing hiring, citing growing financial uncertainty as the Trump administration moves to cut federal contracts and research grants. The financial squeeze comes as the administration takes aim at institutions over diversity initiatives, student protests, and policies on transgender athletes.
Over the past two weeks, more than a dozen universities—including Harvard, MIT, Notre Dame, the University of Pennsylvania, the University of Pittsburgh, and the University of Washington—have announced hiring freezes. The measures come in response to deep cuts in federal funding, including reductions to National Institutes of Health (NIH) grants and threats to pull money from schools that defy the administration’s agenda.
In February, the administration announced significant cuts to NIH research grants, with some universities facing a potential loss of over $100 million in funding. While these cuts have been temporarily delayed by a court challenge, universities have already begun shelving projects in anticipation of financial strain.
Beyond research funding, the administration has also taken a more direct approach in targeting universities. On March 7, the Department of Education pulled $400 million from Columbia University, citing its alleged failure to prevent antisemitism on campus. Days later, the department warned 60 other colleges that they, too, could lose federal money if they do not take sufficient action to protect Jewish students.
Higher education leaders have criticized the administration’s actions, warning that such funding threats could severely disrupt academic institutions. Ted Mitchell, president of the American Council of Education, called the move against Columbia “an overreach that will eviscerate academic and research activities.”
“But we also are deeply concerned that unless the administration reverses course, it will move on to wrongly target research at other institutions, wreaking further chaos, confusion, and negative consequences,” Mitchell said.
Many universities have framed their hiring freezes as a precautionary measure while they assess the long-term impact of federal policy changes.
“By using this time to proactively save our resources and thoughtfully plan, we will be better prepared to manage any future funding cuts to protect our mission for the public good,” wrote University of Washington Provost Tricia Serio in a blog post.
Harvard University leaders echoed this sentiment, saying the hiring freeze is necessary to “preserve our financial flexibility until we better understand how changes in federal policy will take shape and can assess the scale of their impact.”
Several universities are also considering additional cost-cutting measures. Emory University President Gregory Fenves described the situation as a “significant disruption” to finances and said the school is evaluating other ways to reduce expenses.
The hiring freezes come after a period of steady job growth in higher education. Last year, private colleges and universities added 35,000 jobs nationwide, making them a key contributor to post-pandemic employment recovery. With schools now halting faculty and staff hiring, advocates warn this could slow job growth in the coming months.
Compounding concerns is the administration’s broader pattern of withholding funds. After a recent dispute between Trump and Maine’s governor over transgender athletes, the U.S. Department of Agriculture temporarily suspended research funding for the University of Maine, though it was later restored.
As financial uncertainty grows, universities remain on edge, bracing for potential further funding cuts and political battles that could reshape the higher education landscape.
