Stanford University will cut its budget by close to $100 million next fiscal year, $30 million more than originally anticipated, and will impose a university-wide salary freeze for the 2010 fiscal year, which begins Sept. 1, Provost John Etchemendy told the Faculty Senate Thursday.
Etchemendy said the worsening global economic crisis and national recession prompted the decisions. The university's endowment, which had been more than $17 billion, has fallen 25 to 30 percent in recent months.
"As you know, the economic situation has deteriorated since November and continues to look quite bleak," Etchemendy told the faculty. "As with any salary freeze, it's not 100 percent."
He said the university will give raises to professors who are promoted during the year, including assistant professors who are granted tenure.
Stanford departments had been told to prepare budgets with proposed cuts ranging from 5 to 10 percent. The university has already cancelled or delayed $1.3 billion in construction projects, and top administrators, including Etchemendy and President John Hennessy, have already taken voluntary pay cuts of 5 to 10 percent.
The Graduate School of Business laid off 49 staff, or 12 percent of its employees, in January and the Stanford Athletic Department announced last week that it was eliminating 21 positions, or 13 percent of its staff.