Northwestern Preserves Autonomy in $75M Pact with Trump Admin Over Antisemitism Claims

Northwestern University is nearing a $75 million settlement with the Trump administration to resolve a months-long standoff over allegations of antisemitism on campus and restore nearly $800 million in frozen federal research funds, according to multiple sources. The deal, if finalized, would be the second-largest such agreement between a university and the administration, following Columbia University's $200 million payment in July. The terms include commitments to combat antisemitism, review international student policies, and reaffirm merit-based admissions and hiring practices, while the university denies wrongdoing and maintains control over its academic and administrative decisions as reported.

The Trump administration's pressure campaign against elite universities has intensified since 2024, with investigations into campus antisemitism and discrimination. Northwestern, one of the first schools targeted, faced a $790 million funding freeze in April 2025, forcing budget cuts, layoffs, and a hiring freeze. The crisis culminated in the abrupt resignation of President Michael Schill in September, who testified before Congress amid Republican criticism of the university's response to pro-Palestinian protests. Interim President Henry Bienen, who previously led the institution from 2009 to 2017, emphasized that the settlement does not constitute an admission of guilt. "Northwestern runs Northwestern. Period," he stated, highlighting the university's refusal to cede control over admissions, hiring, or curriculum.

The settlement mirrors agreements with other institutions, including Cornell University ($30 million) and Brown University ($50 million in workforce programs), but diverges in specifics. Unlike some deals, it does not include an independent monitor, though it mandates the closure of federal civil rights investigations and the resumption of grant funding within 30 days. Critics, including faculty members and civil rights groups, argue the administration's tactics amount to "ransom" and an erosion of academic freedom. A group of Northwestern faculty previously warned that acceding to the administration's demands would make the university "complicit in an assault on higher education".

The agreement also requires Northwestern to "socialize international students" to campus norms, a provision that has sparked debate over the implications for diversity and inclusion programs. The university has already taken steps to roll back diversity, equity, and inclusion initiatives, aligning with Trump's broader push to dismantle such programs. Meanwhile, the administration's Secretary of Education, Linda McMahon, hailed the deal as a "roadmap" for other institutions, emphasizing its focus on "merit-based hiring and admissions" and protections for Jewish students.

Northwestern's financial recovery remains a priority. The university had been self-funding its research operations, spending tens of millions monthly to mitigate the funding freeze's impact. With federal support restored, administrators aim to refocus on academic missions and innovation, though the long-term effects of the settlement on institutional autonomy and research capacity remain uncertain according to Bloomberg reports.