Stanford Lays Off 363 Staff, Citing Trump-Era Federal Funding Cuts Over Campus Protests

Stanford University has laid off more than 360 employees, attributing the cuts to budget constraints stemming from federal funding policies under President Donald Trump’s administration.

According to Reuters, in an emailed statement Tuesday, a university spokesperson said “budget reductions” were underway across many schools and units, resulting in 363 layoffs last week. The California institution previously announced in June a $140 million reduction in its general funds budget for the upcoming year, citing “a challenging fiscal environment shaped in large part by federal policy changes affecting higher education.”

The Trump administration has threatened to withhold or freeze federal funding to universities over a range of issues, including pro-Palestinian protests against Israel’s war in Gaza, climate initiatives, transgender policies, and diversity, equity and inclusion programs.

Last week, the administration froze more than $330 million in funding for the University of California, Los Angeles, alleging the school failed to prevent a hostile environment for Jewish and Israeli students amid ongoing campus demonstrations. UCLA leaders are preparing to negotiate with federal officials over the freeze, the Los Angeles Times reported Tuesday.

The administration’s actions follow recent settlements with other universities. Columbia University agreed to pay more than $220 million, while Brown University will pay $50 million, with both accepting certain government demands. Negotiations with Harvard University remain ongoing.

Rights advocates have voiced alarm over the federal measures, warning they could undermine academic freedom and free speech. Critics argue the administration is conflating criticism of Israel’s military campaign in Gaza and its occupation of Palestinian territories with antisemitism, and that advocacy for Palestinian rights is being mischaracterized as support for extremism.

Protests erupted on campuses nationwide following the start of Israel’s latest offensive in Gaza, which was launched in response to Hamas’ Oct. 7 attacks. Demonstrators — including Jewish student groups — have called for an end to the war and U.S. military support for Israel, while the Trump administration has accused universities of allowing antisemitism to fester.

Stanford did not specify which departments or roles were most affected by the layoffs. The university said it would continue to review budgets in the months ahead.