California Attorney General Xavier Becerra is suing Education Secretary Betsy DeVos for overturning a 2014 rule designed to protect students against predatory institutions.
Filed in the United States District Court for the Northern District of California, the lawsuit states that since Education Department “illegally rescinded” the 2014 “gainful employment” rule, it violated the Administrative Procedure Act, and hence should be “declared unlawful and set aside.”
The 2014 gainful employment rule — which drew the ire of for-profit colleges — was created by the Obama administration to ensure that schools were denied access to federal aid if their graduates had weak career prospects and heavy debt loads. ‘It’s telling’DeVos has faced a slew of lawsuits since she assumed her position at the head of the department.
“You can gauge a person’s soul by how they respond in a crisis,” American Federation of Teachers President Randi Weingarten said in a statement. “It’s telling that Betsy DeVos, when confronted with the biggest student debt disaster in American history, decides once again to side with profiteers, not borrowers.”
The for-profit higher education sector has seen tremendous growth after the 2008 Crisis. In 2016, the New York Fed noted that enrollment at these schools had “skyrocketed” as the country emerged out of the Great Recession.
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