An article from Dive Brief Johnson & Wales University to lay off 91 faculty and staff

“We simply cannot afford to be the size that we once were,” the private nonprofit’s chancellor said in a letter to stakeholders.

Published May 8, 2025 Ben Unglesbee Senior Reporter

• post
• share
• post
• print
• email
• license

Johnson & Wales University, a private nonprofit with campuses in North Carolina and Rhode Island, is cutting 5% of its workforce. The image by Kenneth C. Zirkel is licensed under CC BY-SA 4.0 Dive Brief:

• Johnson & Wales University plans to lay off 91 faculty and staff members — about 5% of its workforce — as it tries to rapidly evolve its operating model, officials said. The cuts will affect its two campuses in Providence, Rhode Island, and Charlotte, North Carolina.
• The private nonprofit faces an operating deficit of $34 million after more than a decade of enrollment declines. “We simply cannot afford to be the size that we once were, and we believe this reduction will allow us to close a financial deficit and to move forward with a balanced budget,” Chancellor Mim Runey said Monday in a community message.
• With its cash reserves almost depleted, the university is also delaying salary increases until later this year when officials can “evaluate what is possible,” Runey said.

waitToLoadAds.push(function() { googletag.cmd.push(function() { if (window.dfp_visibility == 'mobile' ) { googletag.display('dfp-hybrid1-mobile'); googletag.pubads().addEventListener('slotRenderEnded', function (event) { var adUnitPath = '/21662595662/highereddive/highereddivehybrid1'; var onProformative = false; if (onProformative && event.slot.getAdUnitPath() === adUnitPath && !event.isEmpty ) { var adUnitPathWithVisibility = adUnitPath + '-mobile'; var selector = '.pf-comments__ad-wrapper [data-container-ad-unit-id="' + adUnitPathWithVisibility + '"]'; if (!$(selector).closest('.pf-comments__ad-wrapper').hasClass('borders')) { $(selector).closest('.pf-comments__ad-wrapper').addClass('borders') } } }); } }); }); waitToLoadAds.push(function() { googletag.cmd.push(function() { if (window.dfp_visibility == 'desktop' ) { googletag.display('dfp-hybrid2-desktop'); googletag.pubads().addEventListener('slotRenderEnded', function (event) { var adUnitPath = '/21662595662/highereddive/highereddivehybrid2'; var onProformative = false; if (onProformative && event.slot.getAdUnitPath() === adUnitPath && !event.isEmpty ) { var adUnitPathWithVisibility = adUnitPath + '-desktop'; var selector = '.pf-comments__ad-wrapper [data-container-ad-unit-id="' + adUnitPathWithVisibility + '"]'; if (!$(selector).closest('.pf-comments__ad-wrapper').hasClass('borders')) { $(selector).closest('.pf-comments__ad-wrapper').addClass('borders') } } }); } }); }); Dive Insight:

To explain why Johnson & Wales is reducing its workforce, Runey pointed to a 54% decline in overall enrollment since fiscal 2012, with headcounts falling from a high of 17,294 to over 8,000 in recent years. 

The chancellor attributed the shrinking student body to demographic declines, fewer international students and shifting public attitudes about higher education.

Staffing and budgets, meanwhile, have fallen at a slower pace than enrollment, Runey said, framing the layoffs as rightsizing the university’s operations. 

“While there is some indication that we are on the right track with enrollment, we do not believe we will return to levels of enrollment that supported a much larger organization and operating budget,” she said.

The university has already downsized in the recent past. In 2021, Johnson & Wales shuttered its campuses in Florida and Colorado — both of which opened to expand the university during times of growth in the higher education market. 

Along with reducing expenses, the sale of those former campus buildings added to university’s endowment and reserves. Those reserves, however, have been drained to plug recent budget gaps.

The university has also pared down the number of senior leaders by about half since 2012, Runey noted. Additionally, it has consolidated academic programs, closed others with low enrollment, reduced jobs through attrition and streamlined aspects of its operations.

At the same time, Johnson & Wales has invested in a wide array of new programs to try to attract students. Over the past decade, some of those new offerings have “yielded great results while others less so, and some were reduced or discontinued,” Runey said. 

She also pointed to more recently launched health and wellness programs. Those come with start-up costs such as specialized facilities, faculty and marketing efforts. 

“These new program investments, while showing great early outcomes, have not yet had time to yield returns that would significantly improve the operational budget,” Runey said.

That stands in contrast to more rapid enrollment growth other rounds of new programming brought the university in the past, when market conditions were better. 

“Today we plan with the conservatism that the times demand,” the chancellor said.

• 
• 
• 
• 
• 
• purchase licensing rights

Filed Under: Faculty and Staff, Finance Higher Ed Dive news delivered to your inbox

Get the free daily newsletter read by industry experts

Email:

• Select user consent: By signing up to receive our newsletter, you agree to our Terms of Use and Privacy Policy. You can unsubscribe at anytime.

Sign up A valid email address is required. Please select at least one newsletter. Editors' picks

• Alex Kent via Getty Images Columbia University vows to remove any future encampments

  The Ivy League institution also threatened student protesters with arrest amid reports that demonstrators were planning more encampments. 

  By Natalie Schwartz and Laura Spitalniak • April 24, 2025
• Spencer Platt via Getty Images What are colleges’ legal options when threatened with federal funding cuts?

  Higher education experts said colleges could work together or lean on their associations if they take up a legal fight against the Trump administration. 

  By Lilah Burke • April 14, 2025