The basics:
- Rider University launches the March to Sustainability Plan
- Board approves cost-cutting and restructuring to restore finances
- Faculty, staff face pay cuts, benefit suspensions & layoffs
- Plan aims to stabilize finances and preserve Rider’s mission
Rider University is launching a broad restructuring effort to address mounting financial challenges and chart a sustainable path forward, President John Loyack announced this week.
During its Oct. 30 meeting, the board of trustees unanimously approved the March to Sustainability Plan. The sweeping cost-cutting and restructuring program aims to restore financial health and preserve the university’s mission. The move follows a decision by the Middle States Commission on Higher Education to place Rider on probation because of its fiscal condition.
Loyack succeeded Gregory Dell’Omo as president in July 2025. He laid out the restructuring and its goals in a Nov. 10 note to the Rider community.
“I must stress that the administration continues to be intentional about doing everything possible to minimize the impacts of a potential restructuring on our students,” said Loyack. “We intend to ensure that every student can take the classes they need to complete their intended major and earn their degree as they have planned.”
He acknowledged the financial challenges and said that a new foundation must be established for a strong and enduring Rider.
Last resort
“As I have shared previously, the steps to this reimagined future must begin by directly addressing the financial risks that have grown increasingly serious in recent years and have intensified in severity in recent months,” said Loyack. “We are considering these steps with deep regret, knowing that the people who define this community have already made numerous sacrifices as the University has sought to change its financial trajectory over the last several years.
“We also are considering these steps only after thoroughly analyzing the facts and the possible options before us.”
Loyack pointed to new and unforeseen developments in recent months that affected expenses and cash flow. The updates have resulted in a significant cash shortfall.
“With no liquidity and the recent loss of an open line of credit, the University’s only option to overcome cash deficits is to make urgent and severe choices,” said Loyack. “The board has authorized the administration to initiate the restructuring necessary to address this current cash shortfall.
“It also provides the administration with the time required to implement future growth initiatives that will enable the University to build liquidity and borrowing capacity, and ultimately invest essential resources in programs and facilities that strengthen Rider’s future.”
Through this March to Sustainability Plan, the board has authorized the administration to take the following actions:
Employee compensation
- Reduce base pay by 14% beginning Dec. 1, 2025, or take equivalent savings measures
- Salaries will then be frozen at that new level
Retirement benefits
- Suspend the university’s retirement contribution indefinitely, effective Dec. 1, 2025
Faculty workload changes, increasing
- Full-time tenure and tenure-track faculty to a 4-4 teaching load
- Full-time lecturers to a 5-5 teaching load
- Department chairpersons to a 3-3 teaching load
Faculty reductions
- Eliminate 35 to 40 full-time faculty positions effective Dec. 31, 2025
- Will base decisions on performance, leadership contributions and program needs
Benefits and development
- End faculty tuition-remission benefits beginning with the 2026–27 academic year
- Reduce paid faculty development opportunities and related benefits starting 2026–27
- Eliminate priority adjunct benefits effective Jan. 1, 2026
Administrative streamlining
Accreditation response
- Address the concerns of the Middle States Commission on Higher Education
- Keep the Office of the New Jersey Secretary of Higher Education informed of developments
Next steps and community engagement
- A university-wide campus forum will take place Nov. 13 for students, faculty and staff to discuss the plan
- Rider will distribute the complete March to Sustainability Plan to the campus community in advance of the forum
- Members of the Rider community will receive an anonymous survey next week, open through Nov. 25, to share feedback
- Ongoing talks continue with American Association of University Professors (AAUP) and American Federation of State, County and Municipal Employees (AFSCME) leadership
- Human Resources will provide additional resources to assist affected employees
- University will post FAQs and updates at rider.edu/march-to-sustainability
“I would like to acknowledge the faculty and administrators whose positions may be eliminated as part of this challenging process,” Loyack continued. “We would only make these especially painful changes if no other actions would sufficiently meet our budgetary realities and ensure Rider has a future.
The significant and challenging steps outlined here would put Rider on a firmer financial footing, allowing us to immediately begin reimagining Rider …
— John Loyack, university president
“The significant and challenging steps outlined here would put Rider on a firmer financial footing, allowing us to immediately begin reimagining Rider by expanding the academic and athletic program mix, developing new experiential learning opportunities, improving facilities and enhancing the experience of every Rider student.
“These investments would enhance Rider’s competitive standing, strengthening recruitment and retention and, most importantly, increasing Rider’s value to students. Having analyzed Rider’s situation from every angle, we are confident that a promising future is possible, only if these steps are taken.”
Meeting the moment
Loyack said that he is aware that this moment brings pain, frustration, fear and uncertainty.
“We profoundly wish the financial situation were otherwise. We also know that the time has come to make the difficult choices required to secure the very future of the University and the students we serve,” said Loyack. “Across generations, this University community has done its very best to live up to its many vital responsibilities, and we must now do everything possible to preserve Rider for our students, faculty, staff, alumni and the communities we serve.”
He closed out his message about this critical moment in the school’s history.
“As we enter this challenging time, I am confident that Rider will meet this moment thanks to the resilience and determination that have come to define this community and that will ensure Rider continues to fulfill its educational mission, with our students as our greatest priority.”
