Clark receives historic $20M gift from Panera Bread founder to fund reorganization

Clark University has received the largest single gift in the Worcester school’s 138-year history, which the Worcester school will use to fund its restructuring plan announced in June that includes reducing its faculty size by up to 30%. Ron Shaich, a Clark 1976 alumnus and founder and former CEO of Panera Bread, has gifted the university $20 million in endowed and expendable funds, according to a Tuesday press release from Clark. “Clark, like all of higher education, is at a critical inflection point. The decisions we make and the actions we take today are determinative,” Shaich said in the release. “I applaud the way in which President [David] Fithian and the entire university are confronting this moment proactively, boldly, and with plan and purpose. And I am very proud to be part of moving Clark forward.” The historic gift will support Clark’s strategic plan and restructuring efforts, initiatives the university announced in June in response to both the changing landscape of higher education and a significantly reduced freshman class. Specifically, the university said the donation will help bolster new enrollment and financial aid initiatives and raise awareness of Clark’s School of Climate, Environment, and Society. “Mr. Shaich’s support for Clark will allow us to make important investments even as we continue the hard but necessary work of reducing expenses and rightsizing the institution,” Fithian said in the release. “His gift does not replace the need for financial discipline — it enhances our ability to align that discipline with bold action.” The new school, which is home to departments including sustainability and social justice; biology; and economics, is one three schools the university has consolidated its degree tracks into in an effort to focus on a smaller number of academic areas. The other yet-to-be-named schools include one centered around visual and performing arts, computer science, and media, and the other housing Clark’s departments of psychology; education; and biology. The school's plans to reduce its staff by about 5% over the next year and reduce its faculty by about 25% to 30% over the next two years, including part-time faculty who have not been renewed. The personnel decisions will affect non-tenure track faculty, pre-tenure faculty, and adjunct faculty. Shaich, who serves as a Clark trustee, is a long-standing benefactor of the Worcester university. In 2016, Shaich donated $5 million to the school’s $125-million capital campaign, helping to establish the Shaich Family Alumni and Student Engagement Center, which includes Clark’s student engagement and administrative offices. In addition to Panera, Shaich is the co-founder of the similar fast-casual dining chain Au Bon Pain. As founder, CEO and managing partner of Florida-based Act III Holdings, Shaich is an investor in prominent Massachusetts eateries and entertainment attractions, including the entertainment venue Level99 in Natick, Boston-based Tatte Bakery & Café and Life Alive Café, and Cava, which operates a location in Framingham. In 2020, Shaich was named one of Boston Magazine’s 100 Most Influential People in Boston. “With this gift, Mr. Shaich is affirming the promise of our strategic plan to propel Clark into a new chapter of sustained relevance, excellence, and impact,” Fithian said in the release. “The leading role he is taking to support us philanthropically is a testament to his belief in the distinctive and distinguished nature of a Clark education. Put simply, I couldn’t be more inspired or grateful for this singular act of support for the institution he and so many others care so deeply about.” Mica Kanner-Mascolo is a staff writer at Worcester Business Journal, who primarily covers the healthcare and diversity, equity, and inclusion industries.