PSU for the Future

Portland State University is focused on a resilient future. 

PSU is implementing a strategic, two-year plan to reduce spending, optimize its workforce and balance its academic portfolio. Part of that plan includes a reduction in faculty and elimination of some academic departments, in order to align the university’s academic offerings and partially address a structural budget deficit.

As of June 2026, PSU is on track to balance its budget and strengthen the university for the future.

Your Degree is Secure

Changes are being designed with future PSU students in mind. Every current PSU student will be able to get their degree in their chosen field.

Why is this happening?

Costs are up. Enrollment is down. The university must address a $35 million budget deficit so it can continue to offer an accessible, affordable education for future generations.

The university’s approach is not only to balance the budget, but to make strategic decisions that lead to financial sustainability — so we can invest in the academic programs and resources that students want and need in the future.

We are working hard to minimize any impacts to students.

The Big Picture

Aligning the size of PSU’s academic departments with student demand is one part of a much larger, multi-year plan called Bridge to the Future. Additional financial sustainability measures include significant internal realignment in the areas of academic support, administrative, and non-academic units. First-year savings total $13.2 million, which came largely from the elimination of 61.8 full time equivalent positions (the university prioritized voluntary transitions such as retirements and attrition before layoffs) and other cost-saving measures.

Faculty Reductions

Following a 3-month process, and in alignment with the Collective Bargaining Agreement (CBA) with the faculty union (PSU-AAUP), the university finalized a plan to achieve additional savings in the next fiscal year through a reduction in faculty positions in certain departments.

In all, the university was able to reduce the number of involuntary academic personnel reductions from 52 to 36 full-time positions plus three positions that will be reduced to part-time. Additional details of impacts to each unit and changes made from the Provisional Plan can be found in the Final Plan.

This plan includes the elimination of University Studies and Conflict Resolution, as well as faculty reductions in the following departments: Portland Center; Educator Licensure; Leadership, Learning, and Counseling; History; Philosophy; and World Languages and Literatures.

General Education Reform

Even before the decision to eliminate University Studies, the PSU faculty senate had voted to overhaul the university’s general education requirements. Since 1994, general education requirements have been administered by the University Studies department, but a task force of faculty and staff determined that the university’s model was outdated and created barriers to graduation, especially for transfer students. The new general education curriculum was approved by the PSU Faculty Senate in June of 2026.

During the 2026-27 academic year, a committee of PSU faculty and staff will finalize the new general education requirements and develop an implementation plan that would begin in Fall 2028.

Your Credits Count

All credits students have already earned, as well as credits completed during the 2026-27 academic year, will continue to count toward their degrees.

Students enrolled at PSU during the 2026-27 academic year should continue to take existing general education required courses, as the transition will take several years.

The university will ensure that all students are able to transition to the new general education curriculum without having to repeat courses or extend their timeline to graduation. Students will learn more about the changes to general education requirements as transition plans are finalized. Advisors will be able to guide students through the transition and keep them on track to receive their degrees.

Timeline

The university is following the retrenchment process of Article 22, as part of the Collective Bargaining Agreement (CBA) with the faculty union (PSU-AAUP). The timeline is as follows:

  • March 2026: Initiation of Article 22 process
  • March-April 2026: Comment period
  • May 2026: Provisional Plan
  • May-June 2026: Comment period
  • June 2026: Final Decisions
  • Fall 2027: Department eliminations and faculty reductions begin. Completion plans begin for students currently enrolled in affected programs.
  • Fall 2028: PSU transitions to a new general education curriculum.

Frequently Asked Questions (FAQ)

What happens to my General Education credits if PSU eliminates University Studies?
Every class you have taken to date will count toward graduation. You will continue to have access to the required general education courses you need to graduate on your current timeline. PSU’s Faculty Senate approved a new general education curriculum, which will be finalized over the upcoming year and implemented starting in Fall 2028. Advisors will be able to guide students through the transition and to graduation.

Why were these departments chosen for reductions?
With the exception of University Studies, the selection of impacted academic departments was based on a comprehensive review of university and workplace data. Over the last decade, student enrollment patterns have shifted significantly. In the affected departments, staffing levels have remained constant or grown while the number of students choosing those majors has declined. To ensure PSU remains sustainable, we must align our departmental resources with current student demand. This allows us to maintain the high quality of our academic mission across the entire university.

Will this impact the 2026-2027 schedule?
No. Any reduction in faculty or elimination of departments do not impact the 2026-2027 academic year. The schedule already exists for Fall 2026. Register now. Stay on your path.

Will my classes disappear or delay my graduation?
No. PSU will ensure that you get all of the courses you need to complete your degree on schedule. If adjustments are needed, your advisor or program director will work directly with you.

If my department is being reduced, will my degree requirements change?
It is possible. To ensure you can still graduate on time with a restructured department, you could see substitutions for certain course requirements or the merging of similar curriculum. While your specific pathway to graduation could look different than it does today, PSU guarantees that you will be able to earn your degree in your chosen field.

If my department is being eliminated, can I still graduate?
Yes. When a program is being eliminated, the university stops admitting new students to that program, and a degree completion, or “teach out” plan is created for every student currently enrolled. You will not be forced to change your major.

What is a completion plan?
If your degree program is eliminated or significantly restructured, the department will create a completion, or “teach out” plan for you. This is a formal roadmap that ensures you can still complete your degree — obtaining the skills you need for your career and the credits you need for graduation — without undue hardship. Your advisor or program director will support you through this plan. You will not be left to figure this out on your own.

Who can I talk to if I’m worried about these changes?
An undergraduate advisor or your graduate program director can help you understand what’s happening. You can also reach out to student services for emotional support.

Why is this happening now?
Like many universities, PSU is facing financial challenges due to changes in enrollment and rising costs. By making careful choices now, we can strengthen our departments and make sure PSU remains a strong, sustainable university for years to come.

How do faculty reductions help balance the budget?
Aligning the size of our academic departments with student enrollment helps the university focus its resources on the courses, services and support students want and need most. These alignments are one part of a much larger plan for the university that will ultimately strengthen the overall student experience and ensure PSU remains stable for current and future students.

In what other ways is the university addressing its budget shortfall?
Portland State University faces an estimated $35 million budget shortfall over two years (fiscal years 2026-2028) due to declining enrollment, rising costs, and flat support from the state. To address this shortfall and build a foundation for long-term financial sustainability, Portland State University established the Bridge to the Future 2.0 plan. In addition to changes to academic departments, the university is actively pursuing operational efficiencies. As of June 2026, PSU is on track to balance its budget and strengthen the university for the future.

What is PIVOT?
The Plan for Institutional Vitality and Organizational Transformation (PIVOT) is a multi-year initiative with the Office of Academic Affairs and Research & Graduate Studies to ensure PSU’s academic offerings, administrative structures and services align with its priorities in the context of our financial realities and PSU’s long-term financial sustainability goals.

PIVOT is organized into two tracks:

  • Track 1 focuses on aligning PSU’s academic offerings with student demand, labor market needs, and institutional mission, while advancing student success, equity, and financial sustainability.
  • Track 2 focuses on aligning resources allocated to academic support units, centers and institutes, and administrative structures within colleges, schools and central administrative areas. The goal is to reduce or eliminate redundancies, streamline operations, and enhance effectiveness.

If You Have Additional Questions
Your undergraduate academic advisor or graduate program director can help you understand what’s happening and reaffirm your pathway to a degree.