Illinois' seven-month budget crisis has forced Chicago State University to send layoff notices to all of its 900 employees.
There are 300 faculty members at the school.
The university declared a financial emergency this month to make it easier to fire tenured faculty, eliminate academic programs and take other extreme measures.
About one-third of Chicago State University's budget comes from the state, and the school doesn't have enough cash reserves to support itself.
In another cost-cutting move this week, Chicago State announced it had canceled next month's spring break and would hold classes to help ensure students could finish the semester before a possible school shutdown.
The spring semester will now end April 28 rather than May 13.