Ivy Tech Lays Off 202 Amid State Budget Cuts

Ivy Tech Community College is laying off 202 employees, including faculty and staff across 45 locations, due to a $54 million budget shortfall from a 5% state funding cut and a potential additional 5% reduction by the State Budget Agency. The shortfall is exacerbated by a state-mandated tuition freeze, preventing the college from raising additional revenue. Most layoffs began on May 30, impacting about 2.8% of the entire workforce and 5.3% of full-time staff, with the largest number at the Systems Office in Indianapolis and notable cuts at Evansville, South Bend/Elkhart, and Lake County campuses. Affected employees will receive separation packages, with details managed on an individual basis. President Sue Ellspermann described the layoffs as a difficult but necessary response to external fiscal pressures, not employee performance. Ivy Tech will continue operations at its 19 campuses and remains committed to serving students.