Oakland City University (OCU) has announced layoffs for some employees and the suspension of its undergraduate programs, effective May 31. The university cited financial challenges as the reason for these changes.
What happened
Oakland City University is suspending all undergraduate academic programs for the 2026–2027 academic year and implementing layoffs for an unspecified number of employees, effective May 31. The university plans to continue offering graduate-level programs and aims to resume undergraduate operations in the 2027–28 academic year. Students affected by the program suspension will receive guidance on next steps, including transfer opportunities, with an agreement already in place with the University of Southern Indiana.
How many employees affected
The exact number of employees affected by the layoffs has not been specified. However, a WARN notice was filed for Oakland City University earlier in the month, which is typically done when an employer with more than 100 employees anticipates the possibility of mass layoffs. OCU reportedly has 112 full-time faculty and staff, as well as 37 adjunct instructors.
Why layoffs happened
The university attributed the layoffs and program suspensions to "current financial realities facing our institution." OCU hopes to sell a "carbon capture patent" to help address its financial challenges and enable the reopening of undergraduate programs.
Company background
Oakland City University is an educational institution that offers both undergraduate and graduate-level programs. It is located in Oakland City, Indiana.
Industry impact
The announcement has drawn reactions from the higher education community, with the University of Evansville's president, Christopher Pietruszkiewicz, expressing that it is a "very difficult day for Southwest Indiana and for higher education." The situation highlights the financial pressures faced by some institutions.
What's next
OCU plans to continue offering graduate programs and aims to resume undergraduate operations in the 2027–28 academic year, contingent on the sale of its carbon capture patent. The university is providing guidance and options for current undergraduate students, including "teach-out opportunities" for those close to graduation, and assistance with transferring to other institutions, facilitated by an agreement with the University of Southern Indiana.