Public Relations  >  News Center  >  News Releases  >  May 2020  >  May 20, 2020  >  Creighton University furloughs 190 employees due to impact of coronavirus on revenues
Creighton University furloughs 190 employees due to impact of coronavirus on revenues

Creighton University archCreighton University, like almost every college, university, business and organization in the country, is experiencing the economic impact of the COVID-19 pandemic on its operations. The University announced today 190 employees have been furloughed. The majority of those affected are positions that cannot be performed remotely.

“Like other institutions of higher education, Creighton has experienced a dramatic operational shift to virtual formats and remote working arrangements, mostly to great effect, thanks to innovative and committed faculty and staff,” said Creighton President the Rev. Daniel S. Hendrickson, SJ, PhD. “However, we also recognize that this shift is resulting in a significant lack of work for some employees, and others may not be able to work from home at all because of their roles.”

The far-reaching effects of the protracted pandemic have permeated all sectors of society, including higher education, putting a strain on college and university budgets nationwide, and Creighton is no exception. The immediate financial impact of the pandemic to Creighton is approximately $10 million for the fiscal year that ends June 30.

Furloughed employees will retain their seniority with Creighton. Creighton also will continue to pay its regular contribution and the furloughed employees’ portion of medical insurance premiums.

The University also announced today the creation of the Creighton United in Relief and Assistance (CURA) Employee Fund. This fund will benefit Creighton employees who are unable to work because of the pandemic and the closure of campus. It will be administered by Human Resources in collaboration with University Mission and Ministry.

In addition, the University’s executive team has taken a voluntary pay cut, and all members of the President’s Council have pledged their support to the CURA Employee Fund. More information about applying and donating to the fund can be found here.

In order to mitigate the impacts of declining revenue, expense reductions of nearly $35 million are required and depending on the final enrollment and residential housing scenarios, more expense reductions may be needed. In addition, the University will not offer merit pay increases this year. The University will also cut discretionary spending and suspend all employer contributions to the University’s employee retirement plan effective July 1.


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