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

Wednesday, March 6, 2024

Education Department Needs Stronger Rules for Accreditors (David Halperin, Republic Report)

 [Editor's note: This article originally appeared on Republic Report.] 

I’m scheduled to offer a brief public comment at today’s session of the Department of Education’s negotiating rulemaking meetings, where representatives of various higher education constituencies have come together to debate new proposed regulations governing issues including distance education, state government authorization of schools, and standards for the private accrediting bodies that oversee schools.  My comment will address accreditation, and this is what I plan to say:

Many students say a school’s status as accredited, and resulting seal of approval and aid from the Department, are the reason they enrolled. Because accreditors are gatekeepers for federal aid, their oversight is critical to prevent students and taxpayers from getting ripped off by poor quality, overpriced schools.

So it’s good that the Department has started to incorporate concerns about bad behaving schools in its reviews of accreditors, starting with ACICS, which accredited some of the worst.

But ACCSC also has tolerated years of abuses – at CEHE, Vatterot, and elsewhere. Data shows many ACCSC schools have left students worse off than when they started.  

SACS has permitted blatant abuses at Keiser University. WASC has allowed misconduct at Ashford. COE at Florida Career College.

The Department has started to ask those accreditors questions. But, under current rules, it hasn’t taken firm action, and predatory behavior is ongoing.

The rules also have done little to address rampant abuses at schools overseen by Higher Learning Commission.

HLC has long tolerated predatory conduct at Walden, DeVry, EDMC, Kaplan, Ashford, Grand Canyon, University of Phoenix, and the Perdoceo schools. 

Perdoceo in recent years paid 500 million dollars to settle with 48 states and 30 million to settle with the FTC over deceptive practices. Numerous Perdoceo employees have told the Department that company recruiters continue to make misleading sales pitches

As to the University of Phoenix, in 2015 the Pentagon briefly banned it from recruiting service members based on evidence of violations. In 2019, Phoenix agreed to pay 191 million to resolve FTC charges it ran ads falsely suggesting ties to major employers. Last year Phoenix was again running deceptive ads, this time falsely implying it is a state school.

If Phoenix tells such brazen falsehoods in the open, imagine what its recruiters tell students one on one.  The school’s graduation rate is 14 percent. 

Many victims are low income. These schools should not be accredited. They should not get taxpayer dollars. But under current rules, the abuses continue. 

Last year HLC renewed accreditations of the University of Phoenix and Perdoceo’s Colorado Tech, each for a full 10 years.  

And the Department in turn renewed HLC for a full five years. 

The system isn’t working.

Accreditors have often failed as gatekeepers of integrity and quality. The proposed regulations are a start to fixing the problem.

Tuesday, February 26, 2019

The Layoff.com: Observations of College Meltdown in Real Time (Updated September 29, 2024)

The Layoff.com is a "simple discussion board" for workers who would like to learn more about the rumors or possibility of job cuts in their organization. It's also been helpful for us to understand what has been happening behind the scenes in the US Higher Education business. 
 
We have been observing and participating on this website for more than a dozen years, watching the fall of Corinthian Colleges (Everest College, Wyotech, and Heald), ITT Tech, Education Management Corporation (the Art Institutes and South University), the partial collapse of Apollo Group (University of Phoenix), Perdoceo (formerly Career Education Corporation), and Laureate International, and the transformation of Kaplan University to Purdue University Global and Bridgepoint Education (Ashford University) to University of Arizona Global.   

As the College Meltdown has advanced, we have also observed a number of private schools collapse and public colleges and universities struggle. As enrollments continue to drop, we can expect more layoffs to occur and for education related businesses to struggle more.  
 
The contents of this article are updated periodically, to illustrate trends in the College Meltdown.  The most recent update was published September 29, 2024.  2U, the online program manager for elite university certificates has been the poster child in 2024, but there are many other companies and institutions in peril.  

 
 
 

 

 

 
 
 
 
 
 
 
 
 
 
 
 
 
 


 
 
 
 
 
 

 

Sunday, September 29, 2024

Layoffs in Higher Education

The Layoff.com is a "simple discussion board" for workers who would like to learn more about the rumors or possibility of job cuts in their organization. It's also been helpful for us to understand what has been happening behind the scenes in the US Higher Education business. 

We have been observing and participating on this website for more than a dozen years, watching the fall of Corinthian Colleges (Everest College, Wyotech, and Heald), ITT Tech, Education Management Corporation (the Art Institutes and South University), the partial collapse of Apollo Group (University of Phoenix), Perdoceo (formerly Career Education Corporation), and Laureate International, and the transformation of Kaplan University to Purdue University Global and Bridgepoint Education (Ashford University) to University of Arizona Global.   
 
 
 
As the College Meltdown has advanced, we have also observed a number of private schools collapse and public colleges and universities struggle. As enrollments continue to drop, we can expect more layoffs to occur and for education related businesses to struggle more.  
 
The contents of this article are updated periodically, to illustrate trends in the College Meltdown.  The most recent update was published October 29, 2024.  2U, the online program manager for elite university certificates has been the poster child in 2024, but there are many other companies and institutions in peril.  

 
 
 
 

 

 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 


 
 
 
 
 
 
 

 
Wittenberg University 

Monday, December 30, 2024

2025 Will Be Wild!

2025 promises to be a disruptive year in higher education and society, not just in DC but across the US. While some now can see two demographic downturns, worsening climate conditions, and a Department of Education in transition, there are other less predictable and lesser-known trends and developments that we hope to cover at the Higher Education Inquirer. 

The Trump Economy

Folks are expecting a booming economy in 2025. Crypto and AI mania, along with tax cuts and deregulation, mean that corporate profits should be enormous. The Roaring 2020s will be historic for the US, just as the 1920s were, with little time and thought spent on long-range issues such as climate change and environmental destruction, economic inequality, or the potential for an economic crash.  

A Pyramid, Two Cliffs, a Wall and a Door  

HEI has been reporting about enrollment declines since 2016.  Smaller numbers of younger people and large numbers of elderly Baby Boomers and their health and disability concerns spell trouble ahead for states who may not consider higher education a priority. We'll have to see how Republican promises for mass deportations turn out, but just the threats to do so could be chaotic. There will also be controversies over the Trump/Musk plan to increase the number of H1B visas.  

The Shakeup at ED

With Linda McMahon at the helm of the Department of Education, we should expect more deregulation, more cuts, and less student loan debt relief. Mike Rounds has introduced a Senate Bill to close ED, but the Bill does not appear likely to pass. Diversity, Equity, and Inclusion (DEI) efforts may take a hit. However, online K12 education, robocolleges, and surviving online program managers could thrive in the short run.   

Student Loan Debt 

Student loan debt is expected to rise again in 2025. After a brief respite from 2020 to late 2024, and some receiving debt forgiveness, untold millions of borrowers will be expected to make payments that they may not be able to afford. How this problem affects an otherwise booming economy has not been receiving much media attention. 

Policies Against Diversity, Equity, and Inclusion

This semester at highly selective institutions, Black first-year student enrollment dropped by 16.9 percent. At MIT, the percentage of Black students decreased from 15 percent to 5 percent. At Harvard Law School, the number of Black law students has been cut by more than half.  Florida, Texas, Alabama, Iowa and Utah have banned diversity, equity and inclusion (DEI) offices at public universities. Idaho, Indiana and Kansas have prohibited colleges from requiring diversity statements in hiring and admissions. The resistance so far has been limited.

Failing Schools and Strategic Partnerships 

People should expect more colleges to fail in the coming months and years, with the possibility that the number of closures could accelerate. Small religious schools are particularly vulnerable. Colleges may further privatize their operations to save money and make money in an increasingly competitive market.

Campus Protests and Mass Surveillance

Protests may be limited out of fear of persecution, even if there are a number of legitimate issues to protest, to include human induced climate change, genocide in Palestine, mass deportations, and the resurgence of white supremacy. Things could change if conditions are so extreme that a critical mass is willing to sacrifice. Other issues, such as the growing class war, could bubble up. But mass surveillance and stricter campus policies have been emplaced at elite and name brand schools to reduce the odds of conflict and disruption.

The Legitimization of Robocollege Credentials    

Online higher education has become mainstream despite questions of its efficacy. Billions of dollars will be spent on ads for robocolleges. Religious robocolleges like Liberty University and Grand Canyon University should continue to grow and more traditional religious schools continue to shrink. University of Southern Hampshire, Purdue Global and Arizona Global will continue to enroll folks with limited federal oversight.  Adult students at this point are still willing to take on debt, especially if it leads to job promotions where an advanced credential is needed. 


Apollo Global Management is still working to unload the University of Phoenix. The sale of the school to the Idaho Board of Education or some other state organization remains in question.

AI and Cheating 

AI will continue to affect society, promising to add more jobs and threatening to take others.  One less visible way AI affects society is in academic cheating.  As long as there have been grades and competition, students have cheated.  But now it's become an industry. Even the concept of academic dishonesty has changed over the years. One could argue that cheating has been normalized, as Derek Newton of the Cheat Sheet has chronicled. Academic research can also be mass produced with AI.   

Under the Radar

A number of schools, companies, and related organizations have flown under the radar, but that could change. This includes Maximus and other Student Loan Servicers, Guild Education, EducationDynamics, South University, Ambow Education, National American UniversityPerdoceo, Devry University, and Adtalem

Related links:

Survival of the Fittest

The Coming Boom 

The Roaring 2020s and America's Move to the Right

Austerity and Disruption

Dozens of Religious Schools Under Department of Education Heightened Cash Monitoring

Shall we all pretend we didn't see it coming, again?: higher education, climate change, climate refugees, and climate denial by elites

The US Working-Class Depression: "Let's all pretend we couldn't see it coming."

Tracking Higher Ed’s Dismantling of DEI (Erin Gretzinger, Maggie Hicks, Christa Dutton, and Jasper Smith, Chronicle of Higher Education). 

Sunday, February 20, 2022

College Meltdown 2.0

College Meltdown 2.0 is distinctly different than the College Meltdown that started in 2010. 

The first wave of the College Meltdown (2010-2021) resulted in a slow and steady drop in overall US college enrollment, with dramatic losses among for-profit colleges and community colleges. Corinthian Colleges, ITT Educational Services, and Education Management Corporation were three large for-profit chains to close. Small private liberal arts schools and regional universities also experienced losses.  More folks were moving into the growing educated underclass.  


Elements of College Meltdown 2.0 include publicly held corporations.  Click on the image to see the chart (Source: Seeking Alpha) 

College Meltdown 2.0 comes as the Coronavirus becomes more manageable.  However US fascism continues to advance, student loan debt is slowly approaching $2 trillion, and the 2026 enrollment cliff is just a few years away.  This new wave includes remnants of for-profit colleges like National American University, Stratford University, South University, the Art InstitutesUniversity of Phoenix (owned by Apollo Global Management), Career Education Corporation (aka Perdoceo), and DeVry University (owned by Cogswell Education) as well as national accreditor ACICS. 

The largest element of College Meltdown 2.0 is federal student loan debt, which appears to be rising to an unsustainable level--as it hamstrings the lives of millions of families.  When mandatory student loan payments resume (scheduled for May 1), long-term default rates may range from 30 and 50 percent.  It also appears that at least $500 billion of the Federal Student Aid (FSA) student loan portfolio will be unrecoverable.  

College Meltdown 2.0 also involves online program managers (OPMs) that service elite schools (2U), regional universities (Academic Partnerships), and subprime robocolleges (Zovio-University of Arizona Global and Graham Holdings-Kaplan-Purdue University Global). 

Student loan servicers and private student loan companies (MaximusNavient, Sallie Mae, Nelnet), publishers and other edtech enterprises (EducationDynamics, Chegg, Barnes & Noble Education, Coursera, and Guild Education) are implicated or at least entangled in the mess.  Higher education accreditors and student loan asset-backed securities (SLABS) are also worth monitoring.  

Related link: 2U Virus Expands College Meltdown to Elite Universities