Stanford to lay off more than 350 employees amid ‘challenging fiscal environment’

(KRON) — Stanford University — one of the most prestigious universities in the U.S. — is laying off 363 employees by Sept. 30, according to a WARN Act notice recently filed with the California Employment Development Department.

The layoffs are part of $140 million in cuts to the school’s general fund for the upcoming year, which Stanford announced at the end of June. A budget and staffing update sent out by the university on July 31 blames federal policy changes for the sudden layoffs.

“This is the product of a challenging fiscal environment shaped in large part by federal policy changes affecting higher education,” Stanford’s budget update reads. “Over the last few days, many schools and units at Stanford have made staff reductions.”

Stanford said that it is providing “support resources” and “layoff benefits” to eligible employees. 

“Nonetheless, these are difficult actions that affect valued colleagues and friends who have made important contributions to Stanford,” the university said.

The San Francisco Chronicle reports that President Donald Trump’s “Big Beautiful Bill,” which was signed into law on the Fourth of July, increased Stanford’s endowment tax from 1.4% to 21% — costing the university an estimated $750 million per year.