
Teachers in the Hamilton Southeastern (HSE) Schools district are receiving Reduction in Force (RIF) notices as the district adjusts staffing levels in response to declining enrollment and financial pressures tied to Indiana’s school funding formula.
In a message sent to parents, Superintendent Dr. Matt Kegley confirmed that 18 teaching positions have been identified for contract cancellation through the RIF process. Those positions are concentrated at the K–6 level, where the district has seen a sustained drop in student enrollment, beginning with kindergarten.
Kegley said the district has been reviewing staffing and operational costs for much of the second semester, working to identify savings. Additional details on those reductions are expected to be presented at the May 13 school board meeting.
While 18 teachers are directly impacted by RIF notices, the broader staffing adjustments are more extensive. According to the superintendent, nearly 60 positions districtwide—about 4% of HSE’s teaching staff—are being adjusted when factoring in operational efficiencies and non-classroom roles.
“This aligns with the district’s enrollment decrease over the last three years, with further declines anticipated for the 2026–27 school year,” Kegley said in his message.
In a recent podcast interview with LarryInFishers, Kegley declined to specify the number of RIF notices at the time, but expressed optimism that many affected teachers could ultimately remain employed through retirements and resignations, a common occurrence in a district the size of HSE. The superintendent reiterated that possibility in his message to families, noting that teachers receiving RIF notices could be called back before the next school year if vacancies arise.
The process used to determine which teachers are subject to a RIF is largely governed by state law, not local policy.
Under Indiana Code 20-28-7.5-1(d), school districts must base layoff decisions primarily on teacher performance, rather than seniority.
That means the traditional “last hired, first fired” approach no longer applies in most cases.
State law requires:
- Performance to be the primary factor, using teacher evaluation ratings
- Seniority to play a secondary role, used only when teachers are rated equally
- Additional factors—such as experience, advanced degrees, instructional roles, and student needs—to be considered when teachers fall within the same performance category
- Formal evaluation systems to be in place and publicly posted
- Written RIF notices to be issued between May 1 and July 1, stating the reasons for the action
Teachers are evaluated annually and placed into one of four categories:
- Highly Effective
- Effective
- Improvement Necessary
- Ineffective
Those ratings determine the order in which positions are reduced, with lower-rated categories considered first.
There is a limited exception involving teachers who earned tenure prior to changes in state law more than a decade ago. In those cases, court rulings have found that stronger seniority protections may still apply.
Kegley acknowledged the impact of the reductions on staff and the broader community.
“I understand this news may raise questions and concerns for our families and staff,” he said. “These decisions directly affect important members of our school community and are not made lightly.”
He added that the district must align staffing levels with enrollment while maintaining financial stability and continuing to provide a high-quality education.
Bottom line: For most current Indiana teachers, RIF decisions are driven first by performance evaluations, not years of service. Seniority is considered only in limited circumstances.