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Chicago school district claims $700 million shortfall is not the reason it laid off 1,500 staffers — have officials ‘misled the public’?

With a new school year just around the corner, thousands of workers in Chicago Public Schools (CPS) recently received some troubling news. The district announced nearly 1,500 workers would be laid off, including 432 teachers, as well as 300 paraprofessionals or school-related personnel; 700 assistants for special education classrooms and 33 people working in security.

CPS downplayed the layoffs, despite the shocking numbers, with a statement obtained by Fox 32 Chicago reading, in part, "As part of our annual workforce planning and budgeting process, CPS evaluates staffing and resource allocations to ensure we are meeting the evolving needs of students and schools."

However, it would appear not everyone is convinced of this.

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"I feel like there’s a disconnect between the students, the parents, the staff, and the teachers, as well as the community," Lena Mitchell, a local parent of two, told Fox 32.

Unfortunately, the reality is that budget issues — rather than just the natural realignment of the workforce — may be the cause. And this is a trend happening nationwide.

Teacher layoffs in Chicago cause turmoil

The teacher layoffs are causing some controversy in Chicago because, as mentioned, there is some disagreement over why the cuts are happening.

The district claims that the cuts are normal and that the layoffs that occurred are close to the same number that occurred last year, when 1,410 workers were laid off — 80% of whom ended up finding new jobs within the district before the next school year.

CPS also claims that the cuts have nothing to do with the fact that it is facing around a $700 million budget deficit that could grow to $1.3 billion over the next five years without new revenue or reduced expenses.

However, the teacher’s union made clear they think the cuts are driven by a funding issue.

The Chicago Teachers Union said in a statement, "Pedro Martinez [the former CEO of CPS] misled the public about the funds available for students and educators this coming year. Now we’re seeing proposed cuts to special education, to bilingual education, layoffs, and more. CPS needs to partner with CTU to win more revenue from the state."

The union also compared the cuts to moves made by the Department of Government Efficiency (DOGE) on the federal level, and warned about "the need to prevent backsliding likely to occur because of Governor [JB] Pritzker not passing a budget that meets the state’s funding obligations or not addressing the Trump cuts to education."

Community meetings were held earlier in July to give the public a chance to weigh in. However, the reality is a budget shortfall is going to have to be dealt with, somehow.

"We’re going to have to make some really hard decisions," CPS interim CEO and current Superintendent Macquline King told reporters.

"There will have to be a menu of solutions that we’ll have to employ to balance the budget, however, whatever that menu of solutions will be, will have to be one that protects the cuts from the classroom."

Unfortunately, Chicago’s teachers and school staff are not the only ones coping with an uncertain future. Changes are happening on the federal level, and with President Donald Trump withholding $6.8 billion in education funding, many professionals in the field of education have already been fired nationwide. And more layoffs could follow.

With the Trump administration aiming to reduce the number of workers at the Department of Education by nearly 50%, grant programs focused on recruiting, training and retaining qualified teachers are also being cut.

With the Learning Policy Institute reporting a shortage of more than 110,000 teachers in 2023 to 2024 that could grow to a shortage of 200,000 as early as 2026, the federal cuts could be devastating. They could leave schools unprepared to provide students the education they need, particularly in hard-hit areas, like rural locations, and fields like special education that require advanced training.

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How can educators prepare for layoffs?

Some teachers may be aware of coming layoffs, or at least suspect them as a result of budget issues in their district. For others, both in education and in any other field, layoffs can come as a complete surprise.

The reality is, almost anyone could lose their job at any time, so whether you know a layoff is coming or not, you should take steps to be financially prepared in case one happens.

Keep fixed costs to a reasonable percentage of income. Avoid spending more than around 50% of what you make. That way, you can live on less for a while if you have to.

Maintain a fully funded emergency fund. You should have a minimum of three to six months of living expenses, preferably in a high-yield savings account, to cover your costs as you look for another job.

Keep your debt to a minimum. This also helps you save more money, since you aren’t paying interest, and it ensures you don’t have big payments to make after a layoff

Maintain a strong professional network. Try to keep in regular contact with peers, join professional groups in your area and maintain a presence on networking sites. That way, you’ll have lots of people to reach out to if you’re laid off and need help finding a job.

Advance your skills. If you are always improving at what you do, you may be less likely to be laid off — and more likely to be able to quickly find a job if the worst happens. Consider doing things like taking courses, gaining new certifications or working with a mentor to become better at what you do.

Following these tips can help you be better prepared if or when a layoff happens. If you know when it is coming, you can also:

  • Start looking into health insurance options for when you are unemployed. Healthcare.gov is a great resource to find plans, which you may get subsidized.

  • Research unemployment benefits and other benefits that may be available to you. Benefits.gov is a good option to find these resources.

  • Explore whether you may be eligible for severance. If you have a union contract, you may have guaranteed pay coming. Otherwise, you could talk with an employment lawyer for help in negotiating an agreement.

  • Cut your spending further, eliminating all but the essentials.

It’s also a good time to start networking more aggressively, on sites like LinkedIn, and regularly checking recruiting sites.

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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.