Life University in Marietta is rolling out sharp staff and benefit cuts this week in a bid to close a multimillion-dollar budget gap. In a campus-wide message, President Brian McAulay called the decisions "difficult but necessary" as the private university contends with falling enrollment and revenue. The announcement has left faculty and staff scrambling for details about severance, benefits and what the changes will mean for students on campus.
What the university announced
According to The Atlanta Journal-Constitution, McAulay wrote in a June 16 message that Life would part ways with more than 30 employees, including about 14 of its roughly 200 faculty members, and halt the university's 401(k) employer match. He said the moves are designed to save roughly $4.4 million and to address a projected $5 million budget shortfall. The university stressed that employees "are at the heart of our institution" and described the choices as painful but necessary.
Accreditation and enrollment pressures
University officials and outside analysts trace much of Life's current financial stress to a probationary period for its flagship chiropractic program that pushed down enrollment and revenue. The Council on Chiropractic Education reported that it removed the probation sanction at its January 2026 meeting after finding the program met the required licensing-exam threshold. That timeline left the school exposed financially while it worked to improve exam pass rates and rebuild student confidence.
Credit rating pressure
The financial squeeze has also shown up in the bond markets. Earlier this year, Moody's downgraded Life University's bond rating and assigned a negative outlook, raising fresh concerns about liquidity and borrowing costs, as detailed by The Atlanta Journal-Constitution. The rating action followed reviews that cited enrollment declines and operating shortfalls as key pressure points. The downgrade has made long-range budgeting and refinancing a more complicated and riskier prospect for the Marietta campus.
Campus size and what the cuts mean
Life University reports roughly 2,715 students on campus and says it operates the largest single-campus Doctor of Chiropractic program, according to the university's Stats & Facts. Federal IPEDS data show the school had about 439 full-time employees in fall 2024, a workforce that has now been reduced by the recent separations. Administrators say the cuts are targeted to protect core academic programs and clinical services while the university works to stabilize enrollment and finances.
University leaders say they will continue to pursue recruitment efforts and curriculum improvements while closely tracking the numbers, but they did not immediately release full details about severance timelines or benefit changes. Campus groups and alumni are already pressing for clarity on student services and clinical operations as trustees and administrators craft a recovery plan. The coming months, when fall enrollment settles and audited financial statements are released, are expected to show whether the current measures are enough to steady the school.
