The reality of federal cuts: RTI files WARN notice of ‘mass layoff’
RTI International, a nonprofit research institute located in North Carolina but known for its work worldwide, filed this week its WARN notice with the state of a “mass layoff” at its location in Durham.
“We understand the weight of these decisions and the real impact they have on our staff members,” says RTI President and CEO Tim Gabel.
“Our work in education advances high-quality learning for people of all ages around the globe,” says RTI’s website.
RTI’s education and workforce development practice area impacts learners from infants to retirees. “From idea to impact,” the research advances “high quality education and learning for life, for work, and for a changing world.”
In North Carolina, RTI is known for the Early College Network and Early College Summit held annually in June and for its thought leadership, for instance this series on competency-based education published by EdNC. RTI’s Center for Education Services supports “schools, districts, state education agencies, and education organizations across the nation to tackle their most pressing educational challenges.”
WARN stands for Worker Adjustment and Retraining Notification Act, and it is required by federal law.
“RTI has received an unprecedented number of federally-funded project cancellations and work stoppages,” says the notice. “Thus far, RTI has received over 80 project cancellations, and numerous other projects have been issued Stop Work Orders. The impact of these unprecedented events is estimated to reduce RTI’s operating revenue by more than 30%. These circumstances were not reasonably foreseeable and the loss of funding was outside of RTI’s control. Such rapid and sweeping changes in federal funding for so many programs was not expected and occurred with little to no advance notice. Because of this sudden loss of funding on which RTI relies and the unavailability of alternative funding, RTI is forced to eliminate positions with fewer than 60 days’ notice.”
In a press release, RTI said the workforce realignment was in response to “unexpected changes in federal funding and broader market shifts.”
Reductions, said the company, will impact a total of 340 U.S.-based staff members, including 177 in North Carolina. Additional changes are expected in the coming weeks.
In February 2025, RTI announced temporary staff layoffs for 226 U.S. staff, including 61 in North Carolina, due to the ongoing pause on U.S. foreign assistance, according to a press release.
“Taking this step was not easy,” says Gabel, “but it’s necessary to position RTI for long-term success and strengthen our ability to serve federal, state and local government and commercial clients.”
The WARN notice says in total 525 employees at the Durham location will be impacted, and to date it is the state’s largest layoff the year.