In theory it makes perfect sense to cut the degree programs and keep (perhaps smaller or at least lower overhead) departments as pure service depts.
The problem is that, in practice, tiny majors use of very few resources for non-service courses. As a result, the savings from cutting the major are much lower than expected and realizing those savings requires gutting the departments service capacity as well.
Plus you lose all your half decent faculty — and especially the ones who aren’t already senile and/or retired in place.
Usually, if you really do need the service courses, it is better to keep the major but adjust compensation and resource allocation for under-subscribed upper division courses. See math departments as a case study.
The problem is that, in practice, tiny majors use of very few resources for non-service courses. As a result, the savings from cutting the major are much lower than expected and realizing those savings requires gutting the departments service capacity as well.
Plus you lose all your half decent faculty — and especially the ones who aren’t already senile and/or retired in place.
Usually, if you really do need the service courses, it is better to keep the major but adjust compensation and resource allocation for under-subscribed upper division courses. See math departments as a case study.