Creighton furloughs 190 employees, plans further cutbacks

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OMAHA, Neb. (WOWT) -- Creighton University has furloughed 190 employees, most being "positions that cannot be performed remotely," according to a Wednesday news release.

"Creighton University, like almost every college, university, business and organization in the country, is experiencing the economic impact of the COVID-19 pandemic on its operations," the release states.

Furloughed employees will continue to receive medical insurance contributions from the university and retain their seniority, according to the release.

Creighton also will not be awarding merit pay increases and will discontinue employer contributions to employee retirement plans effective July 1, the release states. In addition, executive team members have taken a voluntary pay cut.

The university has created an employee relief fund to benefit those employees who are unable to work because of the campus closure due to the pandemic, according to the release. [DETAILS]

Expecting to be impacted by the pandemic to the tune of $10 million Creighton is looking to reduce expenses by $35 million, according to the release, and may require further cutbacks depending on final enrollment and residential housing numbers.

“Like other institutions of higher education, Creighton has experienced a dramatic operational shift to virtual formats and remote working arrangements, mostly to great effect, thanks to innovative and committed faculty and staff,” said Creighton President the Rev. Daniel S. Hendrickson, SJ, PhD. “However, we also recognize that this shift is resulting in a significant lack of work for some employees, and others may not be able to work from home at all because of their roles.”