The Economic Downturn and Its Impact on IT: Suggestions for EDUCAUSE Response

EDUCAUSE has released The Economic Downturn and Its Impact on IT: Suggestions for EDUCAUSE Response.

Here's an excerpt:

  • Two-thirds of respondents indicate that their institution has experienced budget cuts of an average of 7% overall. These cuts are expected to rise to 9%.
  • The average cut for IT units is the same as for the total institution (7%), with about half currently facing budget reductions.
  • Public institutions are more affected than private colleges and universities. Also, large public institutions are more likely to have cuts, and the cuts are larger compared to smaller, public institutions. Variances by FTE for private institutions were not significant.
  • CIOs report cuts more frequently than do faculty. Among faculty who report cuts, however, a larger proportion report deeper cuts, compared to the CIO respondents.
  • Most CIOs (88%) have at least some discretion in how to allocate cuts, but 61% have had mandatory restrictions. Among those without complete discretion, the most common budget reduction strategy is a hiring freeze, either through leaving positions unfilled (75%) or not hiring new positions (69%). Nearly half (43%) have travel freezes.