University of Texas lays off 122 workers, may cut more

AUSTIN, Texas (AP) — The University of Texas has laid off 122 employees this year and could cut another 80 as part of a plan to trim $14.6 million, university officials said Monday. Of the workers laid off so far, 72 worked in administration, mostly in information technology services, and 50 came from staff positions in academics, according to a statement released by the university. “Because little or no budget growth is seen in our long-term forecast, we must reduce our expenditures and strategically reallocate our resources,” said William Powers Jr., president of the university. “Making these budget decisions now enables vice presidents, deans and unit heads to plan more effectively for the next fiscal year, which begins September 1.” The announcement comes about four months after Gov. Rick Perry and legislative leaders told state agencies and universities to plan to trim 5 percent from the state-funded portion of their budgets. The projected reduction amounts to five percent of the universities budget. University spokesman Don Hale says administration could see about another 80 job cuts by Aug. 31, 2011. Officials gave no projection for more academic job cuts.University officials said less than 1 percent of the cuts will come from academic colleges and schools. “Our primary goal has been to protect the core missions of the university — teaching and research,” Powers said. “This implementation plan is an important first step. However, because we do not foresee a marked increase in funding in the future, we will continue to closely examine our expenditures and seek strategic opportunities to reallocate funds to enable the university to continue to make progress.” The plan also calls for vice presidents and deans to reallocate funds to support a 2 percent merit-based salary increase for staff and faculty in the next fiscal year. Kevin Hegarty, vice president and chief financial officer, said officials hope the reduction in work force could be mostly through retirements and attrition. Academic and administrative units can phase in budget reductions between Aug. 31, 2010 and Aug. 31, 2011, or implement them immediately. Administrative cuts also will be reducing operational costs such as travel, equipment, supplies and services, and printing and mailing.Copyright 2010 The Associated Press.