Article 22
2025-26 Academic Year

Update: Final Plan 

On July 21, 2026, after meeting with all potentially affected departments, considering all submitted comments and negotiating with PSU-AAUP,  President Ann Cudd released the Final Plan in PSU’s 2025-26 Retrenchment Process. The plan reflects modifications based on input from the campus community. 

Read the Final Plan 

Update: Joint Statement from PSU and PSU-AAUP

On July 7, 2026, Portland State and the PSU-AAUP academic union issued the following joint statement: 

Portland State University and the PSU Chapter of the American Association of University Professors (Association) have signed a Memorandum of Understanding to outline a process for ongoing retrenchment discussions in advance of the University issuing its Final Plan of retrenchment for the process it began on March 9, 2026. 

The Association and the University have agreed to engage in joint negotiations through July 15, 2026, to explore whether they may reach agreement regarding alternative ways of meeting the budget reductions identified in the Provisional Plan using ideas brought forth through the Article 22 process to reduce the number of involuntary layoffs. Any finalized alternative agreements and related retirement transitions must be fully executed by July 15, 2026, to be incorporated into the Final Plan. To allow the University and the Association a full opportunity to explore these alternatives, the University has agreed to delay issuing its Final Plan of retrenchment until the week of July 20.

As part of this MOU, in response to feedback received during the comment period on the Provisional Plan, the University is announcing that the final date of employment for all instructional faculty who received notice of layoff on May 14, 2026, will be extended to June 15, 2027. Further, the final date of employment for all academic professionals who received notice of layoff will be extended to be December 15, 2026. The University may amend that notice date to meet unit needs.

Update: Provisional Plan

On May 14, 2026, President Ann Cudd formally declared that a condition requiring the reduction or elimination of departments does exist in accordance with Article 22 of PSU’s collective bargaining agreement with the PSU-AAUP academic union. This means that we will move forward in the process. The next step is for the campus community and the affected departments to review and respond to the Provisional Plan.

Read the Provisional Plan

Context

PSU’s structural deficit and the Board of Trustees’ direction that we reduce and eliminate its spending of reserves to fund our operation have required us to take a critical look at our financial condition. As a result, President Ann Cudd has decided that PSU should undertake the reduction and elimination of a number of department across the university to adequately address the University’s structural deficit. As a result, President Cudd invoked Article 22 on March 9, 2026.

President Cudd came to this decision following our review of academic portfolio and non-academic units as part of the two-year Bridge to the Future 2.0 process. The decision was also informed by the results of the Plan for Institutional Vitality and Organizational Transformation (PIVOT) and other relevant data.

View the List of Potentially Affected Departments 

What is Article 22? 

Article 22 is a component of the collective bargaining agreement between the university and our faculty union, PSU-AAUP. Article 22 may be invoked when the university is required to reduce or eliminate departments to avoid significant disruption to essential university services due to financial distress or when the university is in financial exigency (an imminent, severe financial crisis). President Cudd is invoking Article 22 because she has determined the university must reduce and eliminate departments. She has not declared that the university is in financial exigency.  Article 22 includes specific steps for the university to follow, resulting in the timeline below. 

Timeline 

Precise dates will be added as they become available.

March 9: President submitted notice invoking Article 22 to the campus community and to PSU-AAUP with an offer to meet to discuss.  

March 10: President met with PSU-AAUP leadership to present and discuss a full description and analysis of the financial condition of the university.  

March 16: President presents at special Faculty Senate meeting. 

First Comment Period (March 17-April 15): Following the Faculty Senate presentation and meeting with PSU-AAUP (if accepted) the President will set a deadline for submitting comments and recommendations. The deadline will be at least 30 calendar days, unless the President finds and states that circumstances require a response in a shorter response period.

Comment Review (April 15 - May 13): President and leadership team thoughtfully review comments and recommendations. Additional meeting with PSU-AAUP upon request. 

Declaration of Department Reduction or Elimination (May 14): President may formally declare the existence of a condition requiring the reduction or elimination of a department.

Provisional Plan (May 14): If the declaration is made, the President will announce a Provisional Plan for department reductions or elimination.

Second Comment Period (May 14 - June 13): Following the announcement of the Provisional Plan, the President will set a deadline for submitting comments from the Faculty Senate, the PSU-AAUP, and the faculty of any department proposed for reduction or elimination. The deadline will be at least 30 calendar days, unless the President finds and states that circumstances require a response in a shorter response period.

Meetings with Affected Departments (June): The President or designee meets with departments affected by layoffs for further discussion of the departmental recommendations.

Comment Review (June): President and leadership team thoughtfully review comments and recommendations as they prepare the Final Plan. 

Final Plan (July 21, 2026): After considering all input, the President announces a final plan and notifies all affected departments of the amounts and nature of reductions.