City Colleges Announces Plan To Cut 120 Jobs, Due To Budget Impasse

CHICAGO (CBS) -- City Colleges of Chicago announced Wednesday that it would lay off 120 employees as the school system attempts to make up for a state funding shortfall exacerbated by Illinois' lingering budget stalemate.

In a statement, Chancellor Juan Salgado outlined City College's spending plan for the upcoming fiscal year, including measures that would serve as a response to an "unprecedented" $70 million state funding shortfall.

In addition to the layoffs, which would primarily affect employees at the City Colleges central office, Salgado also announced plans to cut pay for senior leadership by 10 percent and sell City Colleges' downtown headquarters at 226 W. Jackson Blvd.

As part of the plan, the central administration offices would be moved to Kennedy-King College in Englewood and Dawson Technical Institute in Bronzeville, Salgado wrote.

"We are committing to a plan for the coming year that makes investments in our current students and communities, grows our enrollment and builds a stable financial position for our institution — with or without Springfield's help," Salgado wrote. "We are doing our part to continue our track record of student success and see to it that classes start on time at City Colleges this fall."

To further cut costs, City Colleges would also eliminate 100 percent pension contributions and full medical reimbursements for officers of the school system. The spending plan also calls for reductions in travel expenses, contracts, materials and supplies, as well as more efficiently scheduled classes to better meet demand.

"This plan is forward looking and student and community centered" Salgado wrote. "It's designed to position City Colleges for future growth."

City Colleges will introduce its draft budget for the upcoming fiscal year in July before seeking final approval at its August 2018 board meeting.

(Source: Sun-Times Media Wire © Chicago Sun-Times 2016. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)