financial-stewardship-–-harvard-gazette

Financial Stewardship – Harvard Gazette

Dear Colleagues,

Universities throughout the nation face substantial financial uncertainties driven by rapidly shifting federal policies. We write to update you on the steps Harvard is taking to support our vital mission of research, teaching, and learning.

Beginning with the experience of the Great Recession and honed by the impacts of the COVID-19 epidemic, the University has developed contingency planning tools as part of our financial stewardship. In recent months, we have worked closely with Schools and administrative units to prepare for changes in the revenues that support our mission. As part of Fiscal Year 2026 budget planning, which is under way, we have asked Schools and units to identify strategic adjustments in their spending to build the long-term capacity needed to advance academic priorities at a time of uncertain revenues. We are grateful to the faculty and staff at Schools and units across our campus who are working hard to make progress on this important undertaking.

We need to prepare for a wide range of financial circumstances, and strategic adjustments will take time to identify and implement. Consequently, it is imperative to limit significant new long-term commitments that would increase our financial exposure and make further adjustments more disruptive. Effective immediately, Harvard will implement a temporary pause on staff and faculty hiring across the University. In the coming days, we will work closely with the leadership of Harvard’s Schools and administrative units to help determine how to implement this guidance in extraordinary cases, such as positions essential to fulfilling the terms of gift- or grant-funded projects. We are also asking the leadership of Schools and administrative units to scrutinize discretionary and non-salary spending, reassess the scope and timing of capital renewal projects, and conduct a rigorous review of any new multi-year commitments.

Please keep in mind three important points: First, the hiring pause is temporary. It is meant to preserve our financial flexibility until we better understand how changes in federal policy will take shape and can assess the scale of their impact. We plan to leave the pause in effect for the current semester but will revisit that decision as circumstances warrant. Second, this temporary pause does not supplant broader efforts already under way across our campus to identify structural savings and capacity. Third, while we continue to plan for multiple scenarios in both the short and long term, rest assured that Harvard is working hard to advocate for higher education in our nation’s capital and beyond. Expanding access to higher education for all, preserving academic freedom, and supporting our community’s research, teaching, and learning will always be our highest priorities.

We are enormously grateful for your dedication and commitment as we work collectively to advance our mission. Though current uncertainties touch every corner of the University and of higher education, we are confident that we will be able to address the present challenges together as we continue to pursue academic excellence in service to the nation and the world.

Sincerely,

Alan M. Garber
President

John F. Manning
Provost

Meredith Weenick
Executive Vice President

Ritu Kalra
Vice President for Finance and Chief Financial Officer

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