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Showing posts sorted by date for query establishment. Sort by relevance Show all posts

Saturday, February 1, 2025

Higher Education Inquirer: Increasingly Relevant

The Higher Education continues to grow. We believe our growth stems largely from our increasing relevance and in our truth telling, which other higher education news outlets are unwilling to do in these times.

Our devotion to transparency, accountability, and value for our readers guides us. 

We invite a diverse group of guest authors who are willing to share their truths. The list includes academics from various disciplines, advocates, activists, journalists, consultants, and whistleblowers. We back up all of this work with data and critical analysis, irrespective of politics and social conventions. We are willing to challenge the higher education establishment, including trustees, donors, and university presidents.

Our articles covering student loan debt, academic labor, nonviolent methods of protest, and freedom of speech are unparalleled. And we are not shy about including other issues that matter to our readers, including stories and videos about mental health, student safety, technology (such as artificial intelligence), academic cheating, and the nature of work.  And matters of of war, peace, democracy, and climate change

Our focus, though mainly on US higher education, also has an international appeal

Some of our work takes years to produce, through careful documentation of primary and secondary sources, database analysis, and Freedom of Information Act (FOIA) requests. We share all of this information for everyone to see, at no cost.  

Of course, we could not operate without all your voices. We welcome all your voices. Something few other sources are willing to do.    




Thursday, January 30, 2025

TOMORROW: "Are Working Class Voters Done with Democrats?" (CUNY School of Labor and Urban Stidies)

 

Fri. January 31 - in-person only @CUNYSLU


Are Working Class Voters Done with Democrats?


Class Dealignment & the Two Party System

 


Friday, January 31


1:30pm - 3:00pm


Free and open to all.  Lunch will be served. 


 

*In-person* only:


CUNY School of Labor and Urban Studies

25 West 43rd Street, 18th floor, NYC 10036 (map)


  

REGISTER

slucuny.swoogo.com/31January2025

 


Why did so many working-class voters support Republicans over Democrats in the 2024 elections?  Was the problem simply 'messaging', or have Democrats entrenched themselves as the party of corporate elites and Wall Street? What can Democrats do to win back this crucial demographic and how do we define (or re-define) the working-class?  Will Democrats make a strong commitment to economic populism to reverse this class dealignment?


To delve into these questions join us for a conversation with Jared Abbott, director of the Center for Working Class Politics, and New Labor Forum Editor-at-Large Micah Uetricht.  This program is a live recording for SLU’s podcast Reinventing Solidarity.


Wed. February 5 - virtual via Zoom


What’s at Stake for Labor:


Project 2025 and the Department of Government Efficiency 

 

 

Wednesday, February 5


7:00pm - 8:30pm

 

Virtual event via Zoom webinar. 

 


Register:  

slucuny.swoogo.com/5February2025

 



Featured Speakers: 

James Goodwin - Policy Director, Center for Progressive Reform

Diana Reddy - Assistant Professor, UC Berkeley Law

Arjun Singh - Senior Podcast Producer, The Lever

Moderated by Samir Sonti - Assistant Professor, CUNY School of Labor and Urban Studies.

 


What are the real costs to bear on workers–especially civil service and public sector workers – with Project 2025 and the establishment of Trump’s Department of Government Efficiency? What strategies can labor employ to counter this attack on working people and unions? How can looking back at previous far right policy projects help prepare us in our fight to protect workers? Join us to hear from law & policy experts and journalists as they discuss these urgent questions.

Tuesday, November 5, 2024

Questioning the Higher Education Establishment

"So that's how it is," sighed Yakov. "Behind the world lies another world." Bernard Malamud

The Higher Education Inquirer has published a number of articles about how US higher education works and the institutions, organizations, and individuals it serves. 

We have written about US higher education in a number of ways, discussing the history, economics, and underlying ideologies (e.g. neoliberalism, white supremacy) and theories making it what it is--an industry that reinforces a larger (and environmentally unsustainable) economic system and an industry that produces too many unneeded credentials--and soul crushing student loan debt. 

We have listed the myths that US higher education perpetuates and the methods it uses to disseminate them. We have examined a number of higher education institutions and their categories (including university hospitals, state universities, private colleges, community colleges, and online robocolleges). We have investigated several businesses associated with higher education, some nefarious, many profit driven, and a few (like TuitionFit and College Viability App) driven by integrity and values. And we have followed the struggle of labor and consumers. HEI has even created an outline for a People's History of US Higher Education.

But we haven't examined higher education as part of the establishment. Like the establishment that students of the 1960s talked about as something not to trust. The trustees, endowment managers, foundation presidents, accreditors, bankers, bond raters, CEOs and CFOs who make the decisions that affect how higher ed operates and who at the same time work to make consumers, workers, and activists invisible. 


To say we cannot trust US higher education administrators and business leaders may sound passe, or something that only extremists of the Left or Right might say, but it isn't, and more folks are seeing that

Examining US higher education needs to be assessed more deeply (like Craig Steven Wilder, Davarian Baldwin, and Gary Roth have done) and more comprehensively (like Marc Bousquet), and it needs to be explained to the People. It's something few have endeavored, because it isn't profitable, not even for tenure in some cases. 

Without our own sustainable business model, the Higher Education Inquirer will continue writing (and prompt others to write) stories significant to workers and consumers, the folks who deserve to be enlightened and who deserve to tell their stories. 

And as long as we can, the Higher Education Inquirer will ask the Establishment for answers that only they know, something few others are willing to do

Wednesday, October 2, 2024

What would a second Trump administration mean for higher education? Summing up Project 2025 (Bryan Alexander)

[Editor's Note: This article first appeared at BryanAlexander.org.]

What happens to higher education if Trump wins November’s election?

We’ve been exploring this question over the past year, including months of reading, analysis, reflection, and conversation about Project 2025 might mean for higher education. Today I’d like to sum up what we found.

The book, Mandate for Leadership, addresses academia directly on multiple levels. I’ll break them down here. The implications for the broader society within which colleges and universities exist – that’s a subject for another post.

I’ve organized the various ideas and threads into several headers: the Department of Education, higher education economics, international education and research, research supported and opposed, military connections, sex education, and anti-intellectualism.

Higher education and the Department of Education Many accounts of Project 2025’s educational impact draw attention to its attack on the Department of Education, which makes sense, since this is where the document focuses its academic attention. to begin with, Mandate for Leadership wants to break up the DoE and distribute its functions to other federal units. For example, the work the Office for Postsecondary Education (OPE) does would move to the Department of Labor, while “programs deemed important to our national security interests [shift] to the Department of State.” (327).

It would revise the student loan system to a degree. “Federal loans would be assigned directly to the Treasury Department, which would manage collections and defaults.” (327-330) Income-based repayment schemes would continue, but with restrictions. (337-8) Project 2025 would end the Biden team’s Public Service Loan Forgiveness program, along with “time-based and occupation-based student loan forgiveness” plans. (361) More ambitiously, the new government could just privatize loans. (353)

The chapter’s author also calls for “rejecting gender ideology and critical race theory” in the department or through its successor units. (322) This might also proceed via changes to one law, as a new secretary would “[w]ork with Congress to amend Title IX to include due process requirements; define “sex” under Title IX to mean only biological sex recognized at birth; and strengthen protections for faith-based educational institutions, programs, and activities.” (333) This culture war move could have another legal feature, given the call to amend FERPA in order to make it easier for college students to sue the government for privacy violations, in response to school support of transgender and nonbinary students. (344-346)

The obverse of these moves is having the new DoE or its replacements “promulgat[ing] a new regulation to require the Secretary of Education to allocate at least 40 percent of funding to international business programs that teach about free markets and economics.” Additionally, the government would “require institutions, faculty, and fellowship recipients to certify that they intend to further the stated statutory goals of serving American interests,” although it’s unclear what that would mean in practice. (356)

This section’s author, Lindsay Burke, also wants the next administration to change its relationship with post-secondary accreditors. She supports Florida’s new policy of requiring public universities to cycle through accrediting agencies. (332) Burke also wants to encourage new accreditors to start up. (355) Her chapter further calls for a new administration to prevent accreditation agencies from advocating for diversity, equity, and inclusion (DEI) work on campuses. (352)

The economics of higher education The Department of Education chapter would see a revamped Department of Education or its successors “[r]equir[ing]… ‘skin in the game’ from colleges to help hold them accountable for loan repayment.” (341) I can’t see how this would work in detail. Her new federal administration would also reduce funding to academic research by cutting reimbursement for indirect costs. (355)

That section also wants to reduce the labor market’s demand for post-secondary degrees. Under the header “Minimize bachelor’s degree requirements” we find: “The President should issue an executive order stating that a college degree shall not be required for any federal job unless the requirements of the job specifically demand it.” (357). Later on in the book, the Department of Labor section section also calls on Congress to end college degree requirements for federal positions. (597) That chapter wants to boost apprenticeships, mostly likely in competition with college and university study. (594-5)

International research and education. Cutting down immigration is a major Project 2025 theme, and the book does connect this to academia. It calls out international students like so:
ICE should end its current cozy deference to educational institutions and remove security risks from the program. This requires working with the Department of State to eliminate or significantly reduce the number of visas issued to foreign students from enemy nations. (141)

First, this would impact many would-be students’ careers. Second, implementing such a policy would likely depress international student interest.

Project 2025 consistently focuses on China as America’s enemy, and this means it wants United States higher education to decouple from that adversary or else face consequences. For example, the introduction warns that “[u]niversities taking money from the CCP should lose their accreditation, charters, and eligibility for federal funds.” Later in the text is some language about the government and universities supporting American but not Chinese research and development. (100) Another section sees “research institutions and academia” playing a role in Cold War 2.0:
Corporate America, technology companies, research institutions, and academia must be willing, educated partners in this generational fight to protect our national security interests, economic interests, national sovereignty, and intellectual property as well as the broader rules-based order—all while avoiding the tendency to cave to the left-wing activists and investors who ignore the China threat and increasingly dominate the corporate world. (emphases added; 218)

Later on, the Department of Justice discussion offers this recommendation:

key goals for the China Initiative that included development of an enforcement strategy concerning researchers in labs and universities who were being coopted into stealing critical U.S. technologies, identification of opportunities to address supply-chain threats more effectively, and education of colleges and universities about potential threats from Chinese influence efforts on campus. (556)

This seems to describe increased DoJ scrutiny over colleges and universities. I’m not sure what “education… about potential threats” means, although I suspect it might include pressure on academics.

The Department of Commerce section wants to “[t]ighten… the definition of ‘fundamental research’ to address exploitation of the open U.S. university system by authoritarian governments through funding, students and researchers, and recruitment” (673) More succinctly, that chapter calls for strategic decoupling from China (670, 674). We can imagine a new federal administration – along with, perhaps, state governments, businesses, nonprofits, and foundations – asking academia to play its role in that great separation. One of the trade policy chapters broods about how “more than 300,000 Communist Chinese nationals attend U.S. universities” and it’s hard not to see this as a call for reducing that number. (785)

That chapter’s author, Peter Navarro, condemns one leading American university for allegedly enabling Chinese power:

Huawei, well-known within the American intelligence community as an instrument of Chinese military espionage, has partnered with the University of California–Berkeley on research that focuses on artificial intelligence and related areas such as deep learning, reinforcement learning, machine learning, natural language processing, and computer vision, all of which have important future military applications.28 In this way, UC–Berkeley, whether unwittingly or wittingly, helps to boost Communist China’s capabilities and quest for military dominance. (785-6)

I can’t help but read this as a call for federal scrutiny of academic international partnerships, with sanctions in the wings.

Project 2025 looks at other regions of the globe and wants higher education to help. For example, the State Department chapter calls on American campuses to assist its African policy: “The U.S. should support capable African military and security operations through the State Department and other federal agencies responsible for granting foreign military education, training, and security assistance.” (187)

Other federal units come in for transformation which impacts colleges and universities. One chapter calls for “reinstituti[ng] the National Security Higher Education Advisory Board.” (Wikipedia; 218) The USAID chapter would cut some post-secondary support, based on the argument that “[w]e must admit that USAID’s investments in the education sector, for example, serve no other purpose than to subsidize corrupt, incompetent, and hostile regimes.” (275)

Support for and opposition to research Project 2025 consistently calls for research and development, at least in certain fields. The Department of Energy chapter enthusiastically promotes science. That chapter also tends to pair research with security, so we might infer increased security requirements for academic energy work. Alternative energy and decarbonization research would likely not receive federal support from McNamee’s departments, as he might see them as a “threat to the grid.” (373)

The document also calls for transparency many times, which might benefit academics as it could (should it occur) give greater access to more documentation. One passage actually uses the language of open source code: “True transparency will be a defining characteristic of a conservative EPA. This will be reflected in all agency work, including the establishment of opensource [sic] science, to build not only transparency and awareness among the public, but also trust.” (417)

On the flip side, Project 2025 opposes climate research throughout. For a sample of the intensity of this belief,

Mischaracterizing the state of our environment generally and the actual harms reasonably attributable to climate change specifically is a favored tool that the Left uses to scare the American public into accepting their ineffective, liberty-crushing regulations, diminished private property rights, and exorbitant costs. (419)

That passage exists in the Environmental Protection Agency chapter, and fits into its author’s desire to cut back the EPA in general, but particularly to end its support for academic research. There are specific examples, such as “[r]epeal[ing] Inflation Reduction Act programs providing grants for environmental science activities” (440). This is also where we see a sign of Project 2025’s desire to get more political appointees into federal positions. There would be “a Science Adviser reporting directly to the Administrator in addition to a substantial investment (no fewer than six senior political appointees) charged with overseeing and reforming EPA research and science activities.” (436) That would have further negative effects on academic work.

Later on, the Department of Transportation chapter calls for shutting down the National Oceanographic and Atmospheric Administration (NOAA). Why? NOAA is “one of the main drivers of the climate change alarm industry and, as such, is harmful to future U.S. prosperity.” (675) Faculty, staff, and students who rely on NOAA would lose out.

Military and civilian higher education There are many connections here, reflecting a view that all of academia can contribute in an instrumental way to American military and foreign policy goals, while also being reformed by a new administration. For example, the text calls for reforming post-secondary military education, asking a new government to “[a]udit the course offerings at military academies to remove Marxist indoctrination, eliminate tenure for academic professionals, and apply the same rules to instructors that are applied to other DOD contracting personnel.” (104)

There’s also an idea for creating a new military academy, a Space Force Academy:
to attract top aero–astro students, engineers, and scientists and develop astronauts. The academy could be attached initially to a large existing research university like the California Institute of Technology or MIT, share faculty and funding, and eventually be built separately to be on par with the other service academies. (119)

Related to this, a later discussion calls for the creation of a new academic institution dedicated to financial warfare:

Treasury should examine creating a school of financial warfare jointly with DOD. If the U.S. is to rely on financial weapons, tools, and strategies to prosecute international defensive and offensive objectives, it must create a specially trained group of experts dedicated to the study, training, testing, and preparedness of these deterrents. (704)

Earlier in the book there’s some discussion of reforming the Pentagon’s purchasing systems calls for spreading some Defense Acquisition University (DAU) functions to “include accreditation of non-DOD institutions” – i.e., potentially some civilian institutions. (98)

Project 2025 would reverse certain Biden- and Obama-era human rights provisions for military academies’ faculty, staff, and students. It calls for “individuals… with gender dysphoria [to] be expelled from military service…” (103)

Sex education, research, support for student life All of this appears under threat. Here’s the relevant passage from the introduction, a shocking response to pornography: “Educators and public librarians who purvey [pornography] should be classed as registered sex offenders. And telecommunications and technology firms that facilitate its spread should be shuttered.” (5) This seems aimed at K-12 schools, where so much culture war battling has occurred, but we shouldn’t assume higher education would escape. Remember that it’s a common strategy for critics to label sex education and research materials as porn.

Anti-intellectualism Project 2025 respects knowledge and skills insofar as they assist with making a new administration succeed, but is at the same time very skeptical of their role in broader society, when formally recognized. It wants universities to develop new technologies, but not to advance DEI. For a clear sense of what I’m talking about, here’s the introduction’s take on credentials:

Intellectual sophistication, advanced degrees, financial success, and all other markers of elite status have no bearing on a person’s knowledge of the one thing most necessary for governance: what it means to live well. That knowledge is available to each of us, no matter how humble our backgrounds or how unpretentious our attainments. It is open to us to read in the book of human nature, to which we are all offered the key just by merit of our shared humanity. (10)

One could respond that most of the book’s authors possess intellectual sophistication and/or advanced degrees and/or financial success, but that’s part of the conservative populist paradigm.

Summing up, Project 2025 presents multiple challenges, threats, and dangers to American higher education. Proposed policies strike at academic teaching, research, finances, autonomy, and some of the most vulnerable in our community. It outlines routes for expanded governmental surveillance of and action upon colleges and universities, not to mention other parts of the academic ecosystem, such as accreditors and public research entities.

Keep in mind that Project 2025 isn’t necessarily a total guide to a potential Trump administration. The candidate has denounced it and led the publication of another platform. I’d like to explore that document next. We should also track Trump’s various pronouncements, such as his consistent desire to deport millions of people. For that alone we should expect a major impact on higher education.

Yet Project 2025 draws deeply on Republican politicians and office holders, not to mention conservative thinking. It seems fair to expect a new administration to try realizing at least a chunk of it, if not more.

What do you think of this sketch of a potential Trump administration?

Thursday, September 26, 2024

Elite Universities on Lockdown. Protestors Regroup.

[Updated 9-29-24]

Elite universities have changed their policies to significantly reduce free speech and free assembly. In response, college students and their faculty allies are having to regroup and rethink how they protest the US-Israel war against Palestine as it expands in the Middle East. On the establishment side, will universities further crack down on students and faculty, wherever peaceful protests might occur?  

Campus "Crime and Punishment"

Elite universities like UCLA have dramatically reduced the areas that students can speak and assemble freely, restricting protesters to free speech zones, a common tactic used by the US government during the War on Terror. Universities have also upped surveillance measures and punished students involved in protests, with limited due process. 

The visible resistance may now be limited on campuses where students have been detained, assaulted, arrested, expelled, and banned from campus. Foreign students wary of facing deportation may also be keeping quiet, publicly.     

In California, Governor Gavin Newsom has signed a bill to update public university codes of conduct "and train students on how to protest with civility, a response to pro-Palestinian demonstrations that erupted across the state last spring." The bill was opposed by pro-Palestinian Groups and the ACLU.


Protests Off Campus

There have been a number of protests against the US-backed war that has expanded from Gaza, to the Occupied West Bank, Lebanon, Yemen, Syria, and Iran. Demonstrations have been held in New York, Chicago, Los Angeles, Washington, DC and other college towns, including Iowa City, home of the University of Iowa.  Those protests will be closely observed and documented by law enforcement. 

With the help of the American Legislative Exchange Council (ALEC) and the fossil fuel lobby, states have already crafted anti-protest legislation to reduce public free speech and free assembly.  According to the UK Guardian, 45 states have considered new anti-protest legislation since 2017.  

Protests on Campus

Over the last week, there were small protests at Penn State University and the University of Arizona.  The Penn State demonstration, which had about 60 attendees, was supported by Penn State Students for Justice in Palestine (SJP), the Student Committee for Defense and Solidarity (SCDS), the Muslim Students’ Association (MSA), the United Socialists at Penn State (USPSU) and the People's Defense Front - Northern Appalachia. The impromptu Arizona protest was set up by the Party for Socialism and Liberation. At Cornell University, about 100 students protested a career fair that included defense contractors Boeing and L3 Harris. It's not surprising that these demonstrations would be small, given recent crackdowns across the country. 

Collaboration Between Elite Schools and Law Enforcement

Will elite schools work with law enforcement at the local, state, federal, and international level to further restrict free speech and freedom of assembly?  And university administrators try to quell dissent, will students be more harshly disciplined for planning and engaging in peaceful protests, of any type, on and off campus? 

Related links:

Democratic Protests on Campus: Modeling the Better World We Seek (Annelise Orleck)

Methods of Student Nonviolent Resistance

Wikipedia Community Documents Pro-Palestinian Protests on University and College Campuses

One Fascism or Two?: The Reemergence of "Fascism(s)" in US Higher Education

A People's History of Higher Education in the US

Monday, September 23, 2024

Wealth and Want Part 1: Multi-Billion Dollar Endowments

US higher education reflects and reinforces a world of increasing inequality, injustice, and inhumanity. This system (or some would call it an industry) should function as a conduit between good K-12 education, good jobs, and the wellness of all its citizens, whether they attend or not. But increasingly, it does not. 

The first installments of the Wealth and Want series examine the concentration of wealth in the US higher education system.  And this article focuses on loosely regulated university endowments. While many American schools struggle to provide basic amenities and academic resources, elite universities boast endowments that rival the GDPs of small nations. And they pay little in taxes

The Endowment Elite and Ill-Gotten Gains

At the pinnacle of higher education wealth are Harvard ($49B), The University of Texas System ($44B), Yale ($40B), Stanford ($36B), and Princeton ($34B). These institutions have amassed endowments that provide a steady stream of income for investments, scholarships, and research initiatives. How their money is invested is rarely known.  

Endowment managers at elite schools typically make more than a million dollars a year. The most elite schools pay their managers $5M-$10M a year, with compensation largely based on returns. But those managers still get hefty salaries even when they lose money.

There are more than 120 schools with endowments greater than a billion dollars. But the 20 richest university endowments together hold more wealth than the other 5000 or so other higher education institutions combined. 

Elite endowments are often the result of centuries of fundraising, donations, and strategic (sometimes shady) investments. For many of the most prestigious schools, it began with land theft and generations of forced labor

For other wealthy schools, it was the result of philanthropic robber barons like Johns Hopkins (who also held captives), Andrew Carnegie, Leland Stanford, John D. Rockefeller, Cornelius Vanderbilt, and James Buchanan Duke who made their wealth through mass exploitation of people and the planet. 

For wealthy flagship state universities, it also came from land theft. In the case of the University of Texas, its wealth largely came from, and to some degree still comes from the exploitation of fossil fuels that jeopardize the planet.


Historical Context and Structural Inequality

  • Land Theft and the Founding of Institutions: The establishment of many American universities, including Ivy League institutions and those founded under the Morrill Act, was often intertwined with land theft from Native American tribes. This practice, often referred to as "land dispossession" or "Indian removal," was a key component of Manifest Destiny and the expansion of European settlement across the continent.
  • Ivy League Universities: Institutions like Harvard, Yale, and Columbia were granted land by colonial governments, which often acquired these lands through treaties that were coerced or violated. They also used enslaved labor to build and maintain their wealth.  
  • Funding Models: The funding models for public higher education often favor larger, research-intensive universities. This can lead to underfunding for smaller, less prestigious institutions, particularly those serving marginalized communities.
  • Endowment Inequality and Profits Over People and Planet: Endowments are a powerful tool for wealth accumulation and institutional advantage. The concentration of endowments in a few elite universities can exacerbate existing inequalities and create a self-perpetuating cycle of privilege.  These endowments have also engaged in shady investments that perpetuated worker oppression, genocide, and environmental destruction. 

Related links:
Tax Wealthy Private Universities Now (Paul Prescod, Jacobin)

Thursday, August 8, 2024

Good ideas are stolen. Great ideas are buried. We uncover both. And we publish them.

Over the course of our tenure at the Higher Education Inquirer, we have discovered that the US political economy (including the higher education system that serves it) is in a state of dysfunction-that the situation is worsening--and that there is some resistance (and hope). 

This critical analysis is not merely a belief, but something that can be objectively measured, whether its child poverty, student loan debt, loss of good jobs and union busting, mental illness and suicide, social inequality, life expectancy, or global climate chaos. 

It can also be measured in protests, strikes, and progressive social change.  

It doesn't have to be this way, but lots of American time and energy is spent with greed and fear in mind, instead of improving quality of life and sustaining the planet. That's why the Higher Education Inquirer exists: not just to expose rampant corruption, but to provide viable, detailed, life-sustaining alternatives. 

We aim not just to educate, but to agitate and help organize. We are not ashamed to say that our list of guest authors and contributors reflects human diversity, equity, inclusion--and justice for students, workers, and activists--people who are often marginalized and silenced by the higher education establishment and the higher ed business.   

Unlike other sources, we believe in the power of the People.

If you have good ideas and great ideas for higher education, send them to us. If you have stories of challenges and resistance, send them. We'll publish them when others won't. If you fear retribution or ridicule, we'll publish those stories anonymously. And the good ideas (and great ideas) will get out.  

Related links:

Ahead of the Learned Herd: Why the Higher Education Inquirer Grows During the Endless College Meltdown

Higher Education, Technology, and A Growing Social Anxiety

A People's History of Higher Education in the US?

Saturday, August 19, 2023

Department of Education Fails (Again) to Modify Enrollment Projections (Dahn Shaulis and Glen McGhee)

For more than a decade, the US Department of Education (ED) has forecasted higher education enrollment numbers, projecting 10 years in advance. In 2013, the National Center for Education Statistics projected total enrollment to reach nearly 24 million students (23,834,000) a decade later.  But by 2021, the real numbers would already be five million fewer (18,659,851). 

 https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh0XDO-CWvziwZ0MOgEWNGsPk75fpqAEhcDU9fJ7AJOLSiRR5KOzmdAgL1DzwWX7LaJvOloeTgKzMrEn8oxit6d978xdU4rh-JdZMRvTyVC6jvzHl5uMWkocCHvdyd_3qBsZxbWI-nOEZWs0iSVqWsY9OaorqB-WWUlKrEWho-qgopGXdcMG_cN6z1sE8g/s895/2013%20NCES.PNG

We can only guess what happened to enrollment numbers between 2021 and today, but it's doubtful they have increased.  The National Student Clearinghouse has reported lower numbers between 2021 and 2022, but they use different methods and do not engage in forecasting. 

In 2013, few could have predicted such a significant enrollment decline. The lag in getting up-to-date numbers from ED made it even more difficult to envision. We relied on more up-to-date numbers, though less complete, from the National Student Clearinghouse to understand what was happening. 

In 2014, with limited data, futurist Bryan Alexander asked Inside Higher Education readers Has Higher Education Peaked?  In fact, undergraduate higher education had peaked and began its steady decline in 2011.  Little was said from the higher education establishment for years. The slow but consistent downward trend, though, became more obvious with each year as the numbers came in.  

By 2017, Nathan Grawe predicted a 2026 enrollment cliff, a by-product of reduced birth rates in the 2008-2009 Great Recession.  This revelation made more people conscious of already declining enrollment numbers that started falling six years earlier. But the Department of Education did little to change their predictive formula. For several years, growing enrollment in online courses and graduate degrees kept total enrollment declines from appearing more dramatic.

In January 2018 we contacted the US Department of Education about these failures. According to William Hussar, the agency had already begun work on developing an alternative methodology for producing college projections, but that this would take years to implement. In the meantime, the numbers continued to drop, and polls showed fewer people having confidence in higher education.  Student loan debt may have been of little interest to most Americans, but it did sour tens of millions of debtors and their families. We suggested that behavioral economists might be needed to provide an alternative formula.

Today, the US Department of Education, despite some revisions in their most recent modeling, continues to forecast higher education enrollment gains--up to 2031-- despite mounting evidence it will decrease significantly (i.e. the "enrollment cliff"). We cannot expect online education, grad school participation, or even a faltering economy to prop up higher ed enrollment. Faith in higher education is waning-and for good reason. Despite propaganda from the higher ed industry, it's become a riskier bet for a growing number of the working class and middle class.


Related links:

US Department of Education Fails to Recognize College Meltdown

US Department of Education Projects Increasing Higher Ed Enrollment From 2024-2030. Really? (Dahn Shaulis and Glen McGhee)

Enrollment cliff? What enrollment cliff? 

Projections of Education Statistics to 2028 (US Department of Education)

Sunday, January 23, 2022

Maximus, Student Loan Debt, and the Poverty Industrial Complex

The Higher Education Inquirer is taking a close look at who's invested in Maximus, the enormous social welfare profiteer. Maximus has been servicing student loan defaulters for years and has now taken over Navient's federal student loan business, branding it Aidvantage

Since 1995, Maximus (MMS) has grown from $50 million in annual revenues to more than $4 billion in 2021. 

Maximus (MMS) Share Price 1995-2022
(Source: Seeking Alpha) 

With an army of more than 35,000 workers, Maximus' clients include 28 US agencies: the Internal Revenue Service, Department of Commerce, National Oceanic and Atmospheric Administration, Bureau of the Census, Patent and Trademark Office, Federal Student Aid, Department of Defense and US Army, Department of Veterans Affairs, Homeland Security, Health and Human Services, Medicare and Medicaid, Department of Labor, Office of Personnel Management, Securities and Exchange Commission and many more. 

As a contractor to Federal Student Aid (FSA), Maximus has more than 13 million student loans to service.  Its four contracts with the US Department of Education total almost $1 Billion.  

While CEO Bruce Caswell made more than $6 million in total compensation last year, Maximus' customer service representatives, the people who have to make the calls to the growing number of student loan defaulters, make less money than workers at Walmart. 

Maximus has recently posted federally contracted jobs on Indeed for $13.15 an hour in Texas and South Carolina, even though the federal minimum wage has been raised to $15 an hour. Wages for Maximus workers in other states are reportedly even lower, as little as $10 an hour in Kentucky and other states with regressive economies.   

Maximus' largest institutional investors include BlackRockVanguard Group, and State Street Corp--three financial behemoths.  BlackRock has $10 trillion in Assets Under Management (AUM), Vanguard Group has about $7 Trillion in Assets Under Management, and State Street has almost $4 Trillion in AUM. 

Bank of New York Mellon, Wells Fargo, and Bank of America each own 900,000 shares or more. 

Public retirement funds, including public school teachers retirement funds (see table below), are directly and indirectly invested in the Poverty Industrial Complex and the student loan mess through Maximus and other large corporations. 


Maximus' strategic partners include AWS, Microsoft, Oracle, and Cisco.  

Social justice advocates have to wonder, how can the student loan system be fixed if the US establishment has a vested interested in the mess?  
 
Maximus (MMS) Top Institutional Investors 



List of Public Funds Directly Invested in Maximus

Alaska Department of Revenue 
California PERS
California State Teachers Retirement System
Colorado PERS
Florida Retirement System
Pennsylvania Public School Retirement System
Teachers Retirement System of Kentucky
Louisiana State Employees Retirement System
Ohio PERS 
New Mexico Educational Retirement Board
New York State Retirement System
New York State Teachers Retirement System
Ontario Teachers Retirement System
Oregon PERS
State of Tennessee Treasury
Teachers Retirement System of Texas
State of Wisconsin Investment Board