By Justin Tran and Pauline Gutierrez, Feb 18, 2025
Cal Poly Pomona introduced a Voluntary Separation Incentive Program, also known as an early exit program, to address an $18.3 million cut to CPP’s base operating budget due to an 8% state funding cut to the CSU system in Newsom’s proposed budget.
In January, Governor Gavin Newsom proposed a state budget that includes a 7.95 percent ongoing reduction in funding to the California State University for fiscal year 2025-26. The CSU estimates that this will reduce Cal Poly Pomona’s base operating budget by $18.3 million* for the year.
The program offers staff and faculty the option to leave voluntarily with a severance pay to reduce personnel costs without resorting to layoffs.
Nicole A. Hawkes, the vice president and chief of staff for People, Culture and Institutional Affairs, said the program’s success depends on employee participation.
“The goal is to give employees the choice to leave voluntarily,” Hawkes said. “It’s a proactive strategy to avoid more painful decisions like layoffs.”
The program is a continuation of a similar program from 2020, which was implemented to reduce personnel expenses during financial difficulties. The university’s budget is funded primarily through what is provided by the state budget (54%) and student tuition (46%), where what in 2020 and 2025 enrollment numbers and state funding requirements are not meeting their percentages as intended, making a deficit due to an over enrollment with subpar funding from the state.
“The CSU system has asked us to overenroll to support the system [where extra tuition will make up for the reduction of state funds], creating a small gap [or deficit],” Hawkes said. “Additionally, the governor’s proposed 8% cut in funding to the CSU system means Cal Poly Pomona faces a permanent loss of $18.3 million.”
Given that personnel costs make up a significant portion of the budget, the university is offering the VSIP to employees who meet specific eligibility requirements. Faculty must be tenured or hold a full-time temporary position with a three-year contract, while staff members must hold permanent positions. Employees from auxiliary organizations or organizations outside of CPP that provide a service such as food on campus are ineligible.
Hawkes said, “The program, which was primarily used by staff in 2020, is expected to engage a broader range of employees this year, including faculty. The goal is to achieve enough voluntary separations to help reduce the budget shortfall without resorting to layoffs.”
A challenge posed by the 2020 program was filling vacancies left by departing staff. For example, some administrative roles are now shared across departments, and deans are working with the provost to manage staffing needs while also balancing departmental workloads.
“Every role at the university is important,” Hawkes said. “But when positions are vacated, we have to think differently about the roles and how we can distribute responsibilities.”
However, the loss of staff and faculty, especially in academic departments, could affect course offerings and services provided to students.
Despite the impact, Hawkes stressed CPP’s priority remains student success.
“Our highest priority is to ensure students can continue their education and complete their degrees,” she said.
Thomas Keith, a professor in the Philosophy Department, was much more critical of the early exit program, stating the loss of experienced staff and faculty will place a higher burden on remaining employees and impact the educational experience of students.
“The problem with my classrooms is that almost every desk is taken,” Keith said. “They’re going to need bigger classrooms if they even want to do this. … . “ None of the classrooms in Building 5, where Keith teaches, accommodate that many students.
Although the program provides professors who are near retirement age a means to retire, Kieth expressed concern about the impact the program would have on professors who were not ready to retire.
For those people who are ready to retire anyway, here’s a nice little severance package you can go and start your retirement.,” Keith said. “For those who aren’t ready, that’s a shame.”
According to Keith the solution is for Sacramento to use some of the money it has in reserves so that organizations such as CPP can overcome these deficits without resorting to this program.
Bonnie M. Thorne, a professor in the Psychology Department and President of the California Faculty Association at CPP, reflected on the 2020 program and its effects.
“Staff are looking for additional cash to help with job transitions, which is an incentive for them,” Thorne said. “But the loss of experienced staff, especially in key support roles, increases pressure on faculty to manage administrative duties.”
Thorne said without adequate support staff, departments struggle to function smoothly, as faculty members are required to take on additional administrative tasks, leading to burnout.
“Faculty want to feel like they’re supported in doing their jobs,” she said.
Thorne also expressed concerns about the long-term sustainability of the VSIP.
“If the university is serious about using the VSIP to save money, it should have a plan in place to replace key positions, particularly tenured faculty and critical support staff,” she said.
Thorne suggested the university consider a more consultative approach with faculty and staff to address the complexities of staffing needs and workload distribution.
The success of the VSIP, which opens for applications March 3, remains uncertain. The 2020 program saved the university around $7 million to $8 million, but Thorne believes the costly savings came at the expense of institutional knowledge and staff expertise.
Feature image courtesy of Connor Lālea Hampton
