Campus: Cal Poly San Luis Obispo -- April 7, 2004

Cal Poly Announces Job Cuts Due to State Budget Impacts

Cal Poly Vice President for Administration and Finance Larry Kelley and Interim Provost Robert Detweiler today announced the staffing impact of the latest proposed state budget cuts.

California legislators and Governor Arnold Schwarzenegger are still working out the details of the 2004-2005 state budget. However, under the current budget proposal now under consideration in Sacramento, Cal Poly's budget shortfall for the next fiscal year is $9.3 million - or about 6.3 percent. This latest cut is in addition to the 9 percent, $15 million budget cut in 2003-04.

To deal with the anticipated $9.3 million state budget cut, Cal Poly plans to cut roughly 6 percent in the university's instructional and fundraising units, and at least 7 percent in the university's operating divisions, Kelley explained.

Staffing cuts were inevitable in the face of continuing state budget cuts, Kelley said, because approximately 80 percent of the university's annual operating budget is for faculty and staff salaries and benefits.

The staff cuts will be made through a combination of layoffs and position eliminations as well as non-renewal of contracts for temporary and part-time faculty, Kelley said.

In terms of numbers, "Although there are no reductions planned for tenured or tenure-track faculty, we anticipate that a number of non-tenure track faculty will not be reappointed. In total, there will be about 109 fewer faculty and staff on campus next year due to the state budget cuts," Kelley said.

Some 14 custodial employees were reassigned to other vacant, non-state funded positions on campus last week, Kelley said. Three managers were given notice this week that their positions would be eliminated due to budget cuts, as were another five staff members. Funding for 40 staff positions currently being held vacant also has been eliminated. The equivalent of roughly 47 full-time faculty positions - filled by about 140 part-time, temporary contract instructors, some of whom taught only one class - also will be cut.

In all, the university is eliminating the equivalent of 62 full-time staffing positions and the equivalent of 47 full-time faculty positions, as well as the equivalent of 850 full-time students this fall due to state budget impacts. The staffing reduction includes positions left vacant during the past year in anticipation of state budget impacts.

In accordance with its union agreements, Cal Poly is now able to ask staff for voluntary worktime reductions or retirement. "During the next 90 days we will be working with staff as they consider opportunities to participate in voluntary worktime reduction programs, subject to the provisions of our collective bargaining agreements," Kelley said.

The vice president said the university will continue to closely monitor the state budget situation in Sacramento and preserve as many instructional and service jobs as possible. "President Baker has asked that budget plans focus on quality academic programs and services on campus, preserving full-time, continuing positions to the extent possible," Kelley said.

Cal Poly's job losses are part of a $239.6 million cut in state funding to the California State University System included in the governor's proposed 2004-05 state budget. Also in the governor's budget are CSU fee increases for undergraduate, graduate, and out-of-state students which are currently under consideration.

"We are concerned about each person affected by the cuts," Kelley said, "but we recognize that the number of job losses could have been greater had voters not approved Proposition 57 in March."

The University has had a hiring freeze in effect for non-critical positions since California's economy began to affect the state budget in December 2001. That hiring freeze remains in effect.

For continuing news about the state budget and its impact on Cal Poly, visit

Contact: Robert C. Detweiler (805) 756-2186

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