The New School’s leadership offered separation packages or early retirement to roughly 40% of full‑time faculty as part of a plan to close a reported $48 million budget shortfall, prompting faculty outrage and accusations of eroded shared governance. Faculty described the move as sudden and coercive; President Joel Towers framed the offers as a painful but necessary step to restore fiscal stability after multi‑year enrollment declines. The rapid buyout approach underscores how tuition erosion, short credit lines and tight liquidity are driving some institutions to dramatic, faculty‑impacting measures. Trustees and accreditation bodies will likely scrutinize governance processes and programmatic consequences as the university implements its plan.