Former Harvard president warns donors have too much influence on universities

Major funders have too much influence over the direction of universities, and the universities themselves encourage this in the hope of securing more money, said Claudine Gay, former president of Harvard University. “We let this happen. We encouraged this. And now we need to find the courage to change it,” Gay said during her speech on Wednesday at the opening of the academic year at the Netherlands Institute for Advanced Study (NIAS). The research institute is part of the Royal Netherlands Academy of Arts and Sciences (KNAW).

Gay quit her position at Harvard early this year, six months after she had been given the position. She was accused of not doing enough to prevent pro-Palestinian and anti-Israeli demonstrations on the Harvard campus.

According to Gay, the funders do not see themselves as stakeholders, but as shareholders. For example, they can set an ultimatum and threaten to retract their support unless the direction of the university changes.

“This is an important feature of donors’ responses to recent controversies on campuses, from handling demonstrations related to the war in Gaza to efforts to make universities more diverse and inclusive,” Gay said.

Universities sometimes shape decisions in advance to align with donors’ opinions. Gay said, “Administrators anticipate resistance and act accordingly, a form of self-censorship.” They also protect donors. “An extreme example of this is the ties between Harvard and MIT and Jeffrey Epstein. Institutions that normally encourage research and debate avoid doing so with major benefactors.”

To change this, “the boundaries between giving and governance must be strengthened,” Gay argued. She wants universities to disclose any agreements made with a donor in exchange for a donation. They also need to learn to say no when someone offers money.