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View Full Version : Harvard cuts 275 jobs, cites drop in endowment (BIG COLLEGE cartel Update)



megimoo
06-24-2009, 06:31 PM
Harvard cuts 275 jobs, cites drop in endowment (BIG COLLEGE cartel Update)

"If they want money they Should Grind those Cheap Liberal Swine of Alumnae who Graduated From Flim Flam U for more money!"

"Shumer,Frank,Kennedy,Al Franken,Eliot Spitzer,OBAMA .

Harvard University announced 275 job cuts on Tuesday, the latest cost-cutting measure at the world's richest university after the financial crisis triggered big losses in its multibillion-dollar endowment.

The Ivy League school took the action to meet budget constraints caused by an estimated 30 percent fall in its endowment for its 2009 fiscal year, ending June 30.

The cuts mostly affect administrative, clerical and technical jobs and will take place this week and next, Marilyn Hausammann, vice president for human resources, said in an e-mail to staff and faculty.

Another 40 staff were offered reduced work hours.

While the layoffs affect a fraction of Harvard's 16,000 staff and faculty, they illustrate the recession's toll on America's oldest institute of higher learning and other universities which depend on endowments and donations.

Harvard's endowment, which stood at $37 billion on June, 30 last year, tumbled to $29 billion by December and is projected to end this month at about $25 billion, hit by volatility in financial markets and a drop in donations. The endowment funded about a third of Harvard's operating budget in 2008.

Harvard has also taken other steps to cut costs, including keeping salaries flat for more than 9,000 faculty and staff in the 2009-10 academic year.

More than 500 staff opted for voluntary early retirement under a program offered earlier this year, said Harvard President Drew Faust. A 30-day external hiring freeze has been implemented for staff jobs.

"All of the steps that we have taken to reduce spending over the past six months have been taken with the aim of sustaining the academic and organizational capabilities Harvard will need for the future, while minimizing the impact on our workforce," Hausammann said.


http://www.reuters.com/article/domesticNews/idUSTRE55M66320090623

Hawkgirl
06-24-2009, 06:36 PM
this makes me all warm and fuzzy inside.

Hopefully the liberal teachers who are for redistribution of wealth have realized, it will HIT THEM TOO.

megimoo
06-24-2009, 06:45 PM
HARVARD GAZETTE ARCHIVES

Harvard endowment posts solid positive return
Harvard University's endowment earned a 16.7 percent return during the year ending June 30, 2006, bringing the endowment's overall value to $29.2 billion. --------------------------------------------------------------------------------

The continued strong returns reinforce the endowment's critical support for Harvard's academic programs and mission. In the 2006 fiscal year, endowment dollars provided almost a third of Harvard's operating budget, or over $930 million.

Distributions from the endowment pay for specific activities donors have endowed over time, including financial aid, faculty salaries, and facilities maintenance. For example, endowment income supports Harvard's student financial aid programs, which permit the University to admit qualified students regardless of their ability to pay. From fiscal 2001 to fiscal 2006, for example, scholarships and awards to students from University funds increased by over 70 percent, to $269 million from $156 million. Endowment dollars distributed for overall Harvard programs rose more than 50 percent during the same period, from $615 million to $933 million. snip
http://www.news.harvard.edu/gazette/2006/09.21/99-endowment.html

megimoo
06-24-2009, 06:52 PM
HARVARD GAZETTE ARCHIVES

Harvard endowment posts solid positive return
Harvard University's endowment earned a 16.7 percent return during the year ending June 30, 2006, bringing the endowment's overall value to $29.2 billion. --------------------------------------------------------------------------------

The continued strong returns reinforce the endowment's critical support for Harvard's academic programs and mission. In the 2006 fiscal year, endowment dollars provided almost a third of Harvard's operating budget, or over $930 million.

Distributions from the endowment pay for specific activities donors have endowed over time, including financial aid, faculty salaries, and facilities maintenance. For example, endowment income supports Harvard's student financial aid programs, which permit the University to admit qualified students regardless of their ability to pay. From fiscal 2001 to fiscal 2006, for example, scholarships and awards to students from University funds increased by over 70 percent, to $269 million from $156 million. Endowment dollars distributed for overall Harvard programs rose more than 50 percent during the same period, from $615 million to $933 million. snip
http://www.news.harvard.edu/gazette/2006/09.21/99-endowment.html
snip
Calculating the losses in year-end 2008, I estimate that Harvardís total private equity portfolio declined 40 percent to around $3 billion. I assign such a figure because I mark-it-to-market ó and right now, these illiquid assets are hard to sell and even harder to price. In the long run, these investments may pan out, but for the short term, these private equity assets are at best mispriced.

Applying these calculations through the total endowment as of this date should give about $25.5 billion split with 23 percent to 24 percent in illiquid assets, or about $6 billion. For these purposes I have assumed that all of Harvardís hedge fund holdings ($8.3 billion as of June 30, 2008) are liquid. This is unlikely because of the many hedge funds that have imposed lock-downs on capital withdrawal. And my aggregate number here is in line with the 30 percent decline Harvard has stated it thinks should occur.

linda22003
06-24-2009, 07:01 PM
What are you so bitter about, Megi? That alumni of this school ended up with a much better life than yours?