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yesterday

Stanford to Lay Off 363 Employees Over Trump-Era Research Cuts and Endowment Tax Hike

University leaders insist undergraduate financial aid alongside PhD funding will remain untouched despite the workforce reductions

The Hoover Tower rises above Stanford University in this aerial photo in Stanford, California, U.S. on January 13, 2017. Picture taken January 13, 2017. REUTERS/Noah Berger/File Photo
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Stanford University will permanently lay off hundreds of employees this fall as part of sweeping budget reductions driven by shifting federal policies and financial pressures, according to state filings and statements from university officials.

Overview

  • 363 employees will be laid off effective Sept. 30 as part of a $140 million general fund cut for the 2025-26 academic year.
  • Leaders attribute the planned reductions to Trump administration cuts in NSF and NIH research grants.
  • The excise tax on Stanford’s endowment rose from 1.4 percent to 21 percent under the “Big Beautiful Bill,” adding roughly $750 million in annual costs.
  • Laid-off staff will receive severance based on years of service, three months of continued health insurance and outplacement assistance.
  • Similar budget pressures have pushed peers such as Northwestern, Columbia and UCLA to impose job cuts or negotiate federal funding settlements.