Universities Across The U.S. Struggle to Stay Afloat

Photo Credit: Portland State University

Portland State University may close three departments illustrating how exactly universities across the United States are struggling to function.

Overview

The university has had a 23 percent decline in enrollment since 2019. The recent decline has been related to factors regarding the standard of living in Portland, the pandemic, and demographic changes. Portland State expresses that although their student body is decreasing, their operating costs are skyrocketing. Additionally, the state of Oregon is facing its own crisis. Raising tuition costs is not the answer as it could drive the already decreasing student body.

Why is the university struggling?

Portland State University enrolled over 19,000 students in the 2025 fall semester. Out of that amount, forty-eight percent of students are first-generation students and eighty-three percent of them are Oregon residents. The university has relied on community college transfers in recent years to increase their enrollment. In the post-pandemic world, students are more likely to enter the workforce or only complete an associates degree. Overall, community colleges in Oregon have seen small headcounts in 2024 with over 94,000 students. However, this number is still 14 and a half percent lower than pre-pandemic levels.

Why have schools been closing?

In the past three years, institutions such as Limestone University, Siena Heights University, and Cabrini University have all closed their doors. Many small, private schools have struggled to maintain their enrollments and recover from dips. The decreasing birth rate due to the 2008 recession will have a major impact on the future of many institutions. Additionally, there is an increasing point of view on the value of a higher education. Many high school graduates are looking to go to public universities or enter the workforce immediately.

What are the chances for Portland State University?

As a public university, the chances of full closure are quite low. A majority of the universities that are closing their doors have been private and for profit. Although some non-profit schools have closed recently, they have mostly been private. With the state or Oregon supporting Portland State University, the odds of its closure are low; but, changes will need to be made. Certain programs that have a low return on investment may have to be shut down as there is an increasing stigma on the value of a liberal arts degree. Many high schoolers are being discouraged from studying the humanities as college is now being seen as a pathway to get a job rather than an education. Portland State University has already discussed closing three major departments including their University Studies, Conflict Resolution, and their Portland Center. These three departments focus on general education standards, student engagement, international students, and studying abroad. Along with that, departments related to history, social sciences, and world language may face restructuring.

Sources:
https://www.pdx.edu/president/2026-institutional-reductions
https://www.highereddive.com/news/portland-state-university-could-close-departments/814354/
https://www.oregon.gov/highered/strategy-research/Documents/Featured-Data/Fall-4th-week-2025-web.pdf