When Educators Back the Cheating Platform: The Strange Case of Chegg (Glen McGhee)

Chegg — once a poster child for pandemic-era edtech growth — is now in free fall. In 2025 the company announced it would slash 45 % of its workforce, citing plunging web traffic, collapsing revenue, and the onslaught of AI tools that let students bypass paid homework help altogether.

It’s a dramatic reversal for a company that sold itself as a learning aid. But behind that collapse lies an even more troubling paradox: many teacher pension funds and public retirement systems — in whose names educators put decades of trust — hold millions in Chegg stock. Why would those funds invest in a company whose business model many of their own beneficiaries see as unethical, even corrosive?

We’ve seen this pattern before. In the early 2000s, retirement funds like these were major institutional investors in for-profit higher education companies such as EDMC, ITT Tech, and the University of Phoenix. Those institutions promised strong returns but ultimately collapsed under fraud allegations, predatory practices, and declining enrollments. Many public-sector workers indirectly suffered as the funds lost money. Chegg’s story looks eerily similar: high growth promises, an ethically contested business model, and exposure of public retirement funds to extreme financial risk. The repetition suggests a structural pattern: when education is financialized and commodified, the people meant to serve it — educators and students — are exposed to both moral and economic hazards.

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The Downward Spiral: Why Chegg Is Crashing

Chegg’s decline didn’t begin yesterday. It was seeded by technological disruption and a fragile business model dependent on volume, content access, and student compliance. Generative AI tools such as ChatGPT and Bard have undercut Chegg’s core service: paid homework help and explanations. Students can often get free answers faster and more flexibly. Google’s “AI overviews,” which display answer snippets directly in search results, divert traffic away from Chegg’s site, reducing ad and subscription conversions. Chegg has even sued Google, alleging unfair competition.

Earlier in 2025, Chegg laid off 22 % of its staff and closed its U.S. and Canada offices to cut costs. That was supposed to be a stabilization move, but it foreshadowed deeper troubles. The more recent 45 % layoff is sweeping: 388 jobs are being cut, $15–19 million in severance charges are expected, and $100–110 million in cost savings are projected for 2026. Chegg’s stock has lost approximately 99 % of its value since its 2021 peak. Yet the company is still pursuing a pivot toward B2B “skilling” markets, though skeptics doubt whether this can make up for the erosion of its original model. In short, Chegg is facing structural obsolescence. The ecosystem that once made its growth plausible is collapsing around it.

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Pension Funds and the Strange Attraction to Chegg

Several public pension and teachers’ retirement systems hold millions in Chegg: Kentucky Teachers’ Retirement System owns $4.5 million, California State Teachers’ Retirement System owns $4 million, New York State Common Retirement Fund owns $13 million, Colorado Public Employees’ Retirement Fund owns $9.3 million, California Public Employees’ Retirement Fund owns $5.3 million, a Florida retirement fund owns $3.3 million, Ohio Public Employees Retirement owns $1.5 million, and the Teacher Retirement System of Texas owns $630,000.

These investments raise hard questions. Do pension fund managers assume Chegg will survive its technological disruption? Are they prioritizing short-term returns over long-term reputational or ethical risk? Do they believe the stock is undervalued and thus a “contrarian bet”? Are they following passive index allocations rather than making deliberate choices? Some fund managers defend such investments as fulfilling fiduciary duty: to maximize returns for their beneficiaries within acceptable risk parameters. Ethical considerations, they argue, should not trump financial sustainability — especially in a system underfunded and under stress. But when the bet fails, the consequences fall hardest on retirees, educators, and the public who trusted those funds to safeguard their futures.

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Do We Owe Them Sympathy?

It’s tempting to feel a bit sorry: pension funds losing money is a headline nobody wants. But sympathy is complicated. These funds store and grow the life savings of public-sector workers — teachers, librarians, and staff. A poorly timed speculative investment can damage retiree security and erode public trust. On the other hand, this is no innocent failure; it is a foreseeable risk in backing a business facing existential challenges. It reflects a broader pattern of financialization in education: turning learning into a profit-seeking venture, exposing it to wild swings, and treating educators and students as market participants. Losses are regrettable, especially at the human level, but they also demand accountability. Institutions must explain why they placed trust in Chegg when its vulnerabilities were visible.

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What This Reveals: Institutional Contradiction

This episode exposes several deeper contradictions at the intersection of education, finance, and values. Many educators see Chegg as a threat to academic integrity, yet the institutions managing their retirement funds believed in its upside. Some investors are attracted to the “turnaround bet,” seeing potential in a company trading at a fraction of its former value, though the risk is very high. Some funds may hold Chegg because their portfolios track broad indices, ceding moral discretion to the market. Education has become infrastructure built on venture logic, and the Chegg collapse is a warning: when learning becomes a commodity, its institutions become as unstable as any tech startup. Finally, if pension funds backed a cheating-enabled platform, what else might their capital support, and how does that affect trust in those institutions?

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A Moral and Institutional Reckoning 

Chegg’s collapse is not just a market drama; it’s a moral and institutional reckoning. A company built on a questionable model is now evaporating under AI pressure. Meanwhile, public pension funds — meant to safeguard the futures of educators — placed bets on that very evaporation.

We might feel a pang of sympathy for the financial losses. But our greater duty is to probe the judgment of those entrusted with public capital, and to demand coherence between values and investment. If the administrators of teacher retirement funds cannot align ethics with asset allocation, then their claims to serving the public good are weakened — and so is the trust on which the idea of public education depends.

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Sources

Barron’s: “Chegg Is Suing Google. The Stock Is Sinking.”
Reuters: “Chegg to lay off 22% of workforce as AI tools shake up edtech industry.”
SF Chronicle: “Bay Area educational tech company slashes 248 jobs as students turn to AI tools for learning.”
The Cheatsheet Substack: “Meet Chegg’s Biggest Backers.”
The Chronicle of Higher Education: “Work in Public Education and Hate Chegg? You Might Be an Investor.”
Wikipedia: “Chegg”

BORROWERS AGAINST APOLLO EVENT, FRIDAY NOVEMBER 7TH, NEW YORK CITY (HELU, AAUP, AFT)

[Editor's Note: Readers can sign up for the event at BORROWERS AGAINST APOLLO.  Ensure that you click on "Switch account" to submit the form from your Google account.]

BORROWERS AGAINST APOLLO

WHO:  American Association of University Professors (AAUP), NYU AAUP, Higher Ed Labor Union (HELU), The Professional Staff Congress-  City University of New York (PSC-CUNY), NY Metro Coalition for Higher Ed,  Sunrise Movement,  Hands Off  NYC,  American Federation of Teachers (AFT) union, and student loan borrowers. 

WHEN: Friday - November 7 at 11AM

LOCATION: Apollo Global Headquarters - 9 West 57th Street, New York, NY 10019

QUESTIONS? ApolloAction25@gmail.com 

Higher Ed Unions, Student Unions, and For-Profit College Borrowers Unite Against Trump’s “Higher Education Compact”

Several higher education unions, student unions, and former students of for-profit colleges are organizing in opposition to the Trump administration’s proposed “higher education compact”—a plan heavily shaped and promoted by private-equity billionaire Marc Rowan.

Rowan, the CEO of Apollo Global Management, has played a central role in advancing this proposal. Apollo owns several predatory for-profit institutions, including the University of Phoenix, one of the most notorious offenders in the industry.

In a recent New York Times op-ed, Rowan took public credit for the compact, writing:

“The evidence is overwhelming: outrageous costs and prolonged indebtedness for students; poor outcomes, with too many students left unable to find meaningful work after graduating…”

Yet, under Rowan’s leadership, the University of Phoenix has become the largest source of Borrower Defense claims of any for-profit school, with more than 100,000 pending applications as of July 2025. Borrower Defense is a federal protection that allows students to seek loan forgiveness if their school misled them or violated state or federal law.

The University of Phoenix has faced multiple law enforcement investigations for deceptive recruiting tactics that targeted veterans, service members, and working adults nationwide. The school’s misconduct led to a $191 million settlement with the Federal Trade Commission for falsely claiming partnerships with major employers. More recently, the university attempted to portray itself as a public institution while seeking to sell to two states—both of which ultimately rejected the deal after public backlash.

While Rowan’s personal fortune exceeds $7 billion, borrowers continue to shoulder crushing debt from degrees that delivered little to no value. His leadership has fueled a system that profits from student harm—and now, through this compact, he is setting his sights on reshaping major public universities.

We refuse to stay silent. Borrowers, students, and educators are standing together to demand accountability and defend higher education from predatory perpetrators.

JOIN THE FIGHT AGAINST FOR-PROFIT COLLEGE GREED – NOVEMBER 7

The for-profit college industry has harmed countless students — and it’s time they hear directly from us. Join us outside Apollo Global Management Headquarters on Friday, November 7 at 11:00 a.m. to make your voice heard and demand accountability.

We’re calling on borrowers from for-profit schools who were misled or left in debt by this predatory system. Travel support may be available for anyone within train distance of New York City. We’ll provide shirts, posters, and everything you need to show up strong. (Apollo’s offices are about 20 minutes from Penn Station by subway.)

We’re also looking for University of Phoenix borrowers willing to speak publicly or to the press about their experiences. Additional travel assistance can be arranged for those coming from outside the NYC area.

If you’re ready to share your story and take a stand, reach out today. Together, we can show Apollo — and the entire for-profit college industry — that borrowers are not backing down.

CAN’T MAKE IT BUT WANT TO GET INVOLVED?

We’re always looking to connect with borrowers and allies. There are many ways to take part in this fight — from sharing your story and supporting organizing efforts to helping spread the word. Reach out to learn how you can get involved and join the movement for justice in higher education.

The College Meltdown: A Retrospective

[In 2017, we collaborated with Crush the Street on a video describing the College Meltdown.]  

“Education is not merely a credentialing system; it is a humanizing act that fosters connection, purpose, and community.”

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Origins

The College Meltdown began in the mid-2010s as a blog chronicling the slow collapse of U.S. higher education. Rising tuition, mounting student debt, and corporatization were visible signs, but the deeper crisis was structural: the erosion of public accountability and mission.

By 2015, the warning signs were unmistakable to us. On some campuses, student spaces were closed to host corporate “best practices” conferences. At many schools, adjunct instructors carried the bulk of teaching responsibilities, often without benefits, while administrators celebrated innovation. Higher education was quietly being reshaped to benefit corporations over students and communities — a true meltdown.

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Patterns of the Meltdown

Enrollment in U.S. colleges began declining as early as 2011, reflecting broader demographic shifts: fewer children entering the system and a growing population of older adults. Small colleges, community colleges, and regional public universities were hardest hit, while flagship institutions consolidated wealth and prestige.

Corporate intermediaries known as Online Program Managers (OPMs) managed recruitment, marketing, and course design, taking large portions of tuition while universities retained risk. Fully automated robocolleges emerged, relying on AI-driven templates, predictive analytics, and outsourced grading. While efficient, these systems dehumanized education: students became data points, faculty became monitors, and mentorship disappeared.

“Robocolleges and AI-driven systems reduce humans to data points — an education stripped of connection is no education at all.”

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Feeding the AI Beast

As part of our effort to reclaim knowledge and influence public discourse, we actively contributed to Wikipedia. Over the years, we made more than 12,000 edits on higher education topics, ensuring accurate documentation of predatory practices, adjunct labor, OPMs, and corporatization. These edits both informed the public and, inadvertently, fed the AI beast — large language models and AI systems that scrape Wikipedia for training data now reflect our work, amplifying it in ways we could never have predicted.

“By documenting higher education rigorously, we shaped both public knowledge and the datasets powering AI systems — turning transparency into a tool of influence.”

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Anxiety, Anomie, and Alienation

The College Meltdown documented the mental health toll of these transformations. Rising anxiety, feelings of anomie, and widespread alienation were linked to AI reliance, dehumanized classrooms, insecure faculty labor, and societal pressures. Students felt like credential seekers; faculty suffered burnout.

“Addressing the psychological and social effects of dehumanized education is essential for ethical recovery.”

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Trump, Anti-Intellectualism, and Fear in the Era of Neoliberalism

The project also addressed the broader political and social climate. The Trump era brought rising anti-intellectualism, skepticism toward expertise, and a celebration of market logic over civic and moral education. For many, it was an era of fear: fear of surveillance, fear of litigation, fear of being marginalized in a rapidly corporatized, AI-driven educational system. Neoliberal policies exacerbated these pressures, emphasizing privatization, metrics, and competition over community and care.

“Living under Trump-era neoliberalism, with AI monitoring, corporate oversight, and mass surveillance, education became a space of anxiety as much as learning.”

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Quality of Life and the Call for Rehumanization

Education should serve human well-being, not just revenue. The blog emphasized Quality of Life and advocated for Rehumanization — restoring mentorship, personal connection, and ethical engagement.

“Rehumanization is not a luxury; it is the foundation of meaningful learning.”

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FOIA Requests and Whistleblowers

From the start, The College Meltdown relied on evidence-based reporting. FOIA (Freedom of Information Act) requests were used to obtain internal communications, budgets, and regulatory filings, shining light on opaque practices. Whistleblowers, including adjunct faculty and staff at universities and OPMs, provided firsthand testimony of misconduct, financial malfeasance, and educational dehumanization. Their courage was central to the project’s mission of transparency and accountability.

“Insider testimony and public records revealed the hidden forces reshaping higher education, from corporate influence to predatory practices.”

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Historical Sociology: Understanding the Systemic Collapse

The importance of historical sociology cannot be overstated in analyzing the decline of higher education. By examining the evolution of educational systems, we can identify patterns of inequality, the concentration of power, and the commodification of knowledge. Historical sociology provides the tools to understand how past decisions and structures have led to the current crisis.

“Historical sociology reveals, defines, and formulates patterns of social development, helping us understand the systemic forces at play in education.”

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Naming Bad Actors: Accountability and Reform

A critical aspect of The College Meltdown was the emphasis on naming bad actors — identifying and holding accountable those responsible for the exploitation and degradation of higher education. This included:

• University Administrators: Prioritizing profit over pedagogy.

• Corporate Entities: Robocolleges and OPMs profiting at the expense of educational quality.

• Political Figures and Ultraconservatives: Promoting policies that undermined public education and anti-intellectualism.

“Holding bad actors accountable is essential for meaningful reform and the restoration of education's ethical purpose.”

[In 2016, we called out several bad actors in for-profit higher education, including CEOs Jack Massimino, Kevin Modany, and Todd Nelson.] 

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Existential Aspects of Climate Change

The blog also examined the existential dimensions of climate change. Students and faculty face a dual challenge: preparing for uncertain futures while witnessing environmental degradation accelerate. Higher education itself is implicated, both as a contributor through consumption and as a forum for solutions. The looming climate crisis intensifies anxiety, alienation, and the urgency for ethical, human-centered education.

“Climate change makes the stakes of education existential: our survival, our knowledge, and our moral responsibility are intertwined.”

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Mass Speculation and Financialization

Another critical theme explored was mass speculation and financialization. The expansion of student debt markets, tuition-backed bonds, and corporate investments in higher education transformed students into financial instruments. These speculative dynamics mirrored broader economic instability, creating both a moral and systemic crisis for the educational sector.

“When education becomes a commodity for speculation, learning, mentorship, and ethical development are subordinated to profit and risk metrics.”

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Coverage of Protests and Nonviolent Resistance

The College Meltdown documented student and faculty resistance: tuition protests, adjunct labor actions, and campaigns against predatory OPM arrangements. Nonviolent action was central: teach-ins, sit-ins, and organized campaigns demonstrated moral authority and communal solidarity in the face of systemic pressures, litigation, and corporate intimidation.

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Collaboration and Resistance

Glen McGhee provided exceptional guidance, connecting insights on systemic collapse, inequality, and credential inflation. Guest authors contributed across disciplines and movements, making the blog a living archive of accountability and solidarity:

Guest Contributors:
Bryan Alexander, Ann Bowers, James Michael Brodie, Randall Collins, Garrett Fitzgerald, Erica Gallagher, Henry Giroux, David Halperin, Bill Harrington, Phil Hill, Robert Jensen, Hank Kalet, Neil Kraus, the LACCD Whistleblower, Wendy Lynne Lee, Annelise Orleck, Robert Kelchen, Debbi Potts, Jack Metzger, Derek Newton, Gary Roth, Mark Salisbury, Gary Stocker, Harry Targ, Heidi Weber, Richard Wolff, and Helena Worthen.

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Lessons from the Meltdown

The crisis was systemic. Technology amplified inequality. Corporate higher education rebranded rather than reformed. Adjunctification and labor precarity became normalized. Communities of color and working-class students suffered disproportionately.

Dehumanization emerged as a central theme. AI, automation, and robocolleges prioritized efficiency over mentorship, data over dialogue, and systems over human relationships. Rising anxiety, anomie, and alienation reflected the human toll.

“Rehumanization, mentorship, community, transparency, ethical accountability, and ecological awareness are essential to restore meaningful higher education.”

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Looking Forward

As higher education entered the Trump era, its future remained uncertain. Students, faculty, and communities faced fear under neoliberal policies, AI-driven monitoring, mass surveillance, litigation pressures, ultraconservative influence, climate crises, and financial speculation. Will universities reclaim their role as public goods, or continue as commodified services? The College Meltdown stands as a testament to those who resisted dehumanization and anti-intellectualism. It also calls for Quality of Life, ethical practice, mental well-being, environmental responsibility, and Rehumanization, ensuring education serves the whole person, not just the bottom line. 

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Sources and References

• Washington, Harriet A. Medical Apartheid. Doubleday, 2006.

• Rosenthal, Elisabeth. An American Sickness. Penguin, 2017.

• Skloot, Rebecca. The Immortal Life of Henrietta Lacks. Crown, 2010.

• Nelson, Alondra. Body and Soul. University of Minnesota Press, 2011.

• Paucek, Chip. “2U and the Growth of OPMs.” EdSurge, 2021. link

• Ravitch, Diane. The Death and Life of the Great American School System. Basic Books, 2010.

• Alexander, Bryan. Academia Next. Johns Hopkins University Press, 2020.

• U.S. Department of Education. “Closed School Information.” 2016–2020. link

• Federal Reserve Bank of New York. Student Debt Statistics, 2024. link

• Wayback Machine Archive of College Meltdown Blog: link

A HUGE legal win for MILLIONS of borrowers (Protect Borrowers)

Borrowers just secured a MAJOR victory! In AFT v. U.S. Department of Education (ED), the Trump Administration agreed to protect borrowers enrolled in Income-Driven Repayment (IDR) plans and deliver student debt relief to borrowers making payments under those plans for decades.

This is a huge milestone. At the time AFT originally filed the lawsuit in March 2025—represented by Protect Borrowers and Berger Montague—the Trump Administration had removed the application to enroll in IDR from government websites and had issued a secret order to student loan contractors to halt all IDR enrollment and processing. After we filed, the government quickly resumed accepting applications and, months later, began processing those applications again. ED’s recent agreement is the first time the Trump Administration has publicly committed its intent to follow the law, after representations it made that it wouldn’t cancel debt under certain—and at times, any—IDR plan.

The Administration has now agreed to:



• Cancel student debt for all eligible borrowers enrolled in Income-Based Repayment (IBR), Income-Contingent Repayment, and Pay As You Earn payment plans and the Public Service Loan Forgiveness (PSLF) program;

• Refund any borrower who makes additional payments beyond the date of eligibility for IDR cancellation;

• Process IDR applications and PSLF Buyback applications—including applications for the IBR plan from borrowers without a partial financial hardship.

• Recognize the date a borrower becomes eligible for cancellation as the effective date of discharge and not issue IRS forms suggesting that cancelled debt is taxable for borrowers whose effective date is on or before December 31, 2025; and

• File six monthly status reports with the court on the status of its IDR and PSLF application and loan cancellation processing—increasing transparency and accountability.

This relief will extend to all borrowers.

Borrowers urgently needed this agreement. Prior to it, borrowers eligible to have their loans cancelled in 2025 were at risk of getting stuck with a large tax bill due to the Administration’s processing delays. This is because Trump and Congressional Republicans’ “One Big Beautiful Bill Act” (OBBBA) permanently extended Congress’s 2018 action to exclude cancelled debts for death or disability from federal taxable income—but not all cancelled student loan debt. As a result, millions of borrowers who earn debt relief under an IDR plan after January 1, 2026, could see their taxes skyrocket. Working families can’t shoulder thousands of dollars in additional taxes—they’re already stretched thin by rising costs of living, a weak job market, mounting levels of debt, and OBBBA’s historic cuts to public benefits.

The Grand Irony of Nursing Education and Burnout in U.S. Health Care

Nursing has long been romanticized as both a “calling” and a profession—an occupation where devotion to patients is assumed to be limitless. Nursing schools, hospitals, and media narratives often reinforce this ideal, framing the nurse as a tireless caregiver who sacrifices for the greater good. But behind the cultural image is a system that normalizes exhaustion, accepts overwork, and relies on the quiet suffering of an increasingly strained workforce.

The cultural expectation that nurses should sacrifice their own well-being has deep historical roots. Florence Nightingale’s legacy in the mid-19th century portrayed nursing as a noble vocation, tied as much to moral virtue as to medical skill. During World War I and World War II, nurses were celebrated as patriotic servants, enduring brutal conditions without complaint. By the late 20th century, popular culture reinforced the idea of the nurse as both saintly and stoic—expected to carry on through fatigue, trauma, and loss. This framing has carried into the 21st century. During the COVID-19 pandemic, nurses were lauded as “heroes” in speeches, advertisements, and nightly news coverage. But the rhetoric of heroism masked a harsher reality: nurses were sent into hospitals without adequate protective equipment, with overwhelming patient loads, and with little institutional support. The language of devotion was used as a shield against criticism, even as nurses themselves broke down from exhaustion.

The problem begins in nursing education. Students are taught the technical skills of patient care, but they are also socialized into a culture that emphasizes resilience, self-sacrifice, and “doing whatever it takes.” Clinical rotations often expose nursing students to chronic understaffing and unsafe patient loads, but instead of treating this as structural failure, students are told it is simply “the reality of nursing.” In effect, they are trained to adapt to dysfunction rather than challenge it.

Once in the workforce, the pressures intensify. Hospitals and clinics operate under tight staffing budgets, pushing nurses to manage far more patients than recommended. Shifts stretch from 12 to 16 hours, and mandatory overtime is not uncommon. Documentation demands, electronic medical record systems, and administrative oversight add layers of clerical work that take time away from direct patient care. The emotional toll of constantly navigating life-and-death decisions, combined with lack of rest, creates a perfect storm of burnout. The grand irony is that the profession celebrates devotion while neglecting the well-being of the devoted. Nurses are praised as “heroes” during crises, but when they ask for better staffing ratios, safer conditions, or mental health support, they are often dismissed as “not team players.” In non-unionized hospitals, the risks are magnified: nurses have little leverage to negotiate schedules, resist unsafe assignments, or push back against retaliation. Instead, they are expected to remain loyal, even as stress erodes their health and shortens their careers.

Recent years have shown that nurses are increasingly unwilling to accept this reality. In Oregon in 2025, nearly 5,000 unionized nurses, physicians, and midwives staged the largest health care worker strike in the state’s history, demanding higher wages, better staffing levels, and workload adjustments that reflect patient severity rather than just patient numbers. After six weeks, they secured a contract with substantial pay raises, penalty pay for missed breaks, and staffing reforms. In New Orleans, nurses at University Medical Center have launched repeated strikes as negotiations stall, citing unsafe staffing that puts both their health and their patients at risk. These actions are not isolated. In 2022, approximately 15,000 Minnesota nurses launched the largest private-sector nurses’ strike in U.S. history, and since 2020 the number of nurse strikes nationwide has more than tripled.

Alongside strikes, nurses are pushing for legislative solutions. At the federal level, the Nurse Staffing Standards for Hospital Patient Safety and Quality Care Act has been introduced, which would mandate minimum nurse-to-patient ratios and provide whistleblower protections. In New York, the Safe Staffing for Hospital Care Act seeks to set legally enforceable staffing levels and ban most mandatory overtime. Even California, long considered a leader in nurse staffing ratios, has faced crises in psychiatric hospitals so severe that Governor Gavin Newsom introduced emergency rules to address chronic understaffing linked to patient harm. Enforcement remains uneven, however. At Albany Medical Center in New York, chronic understaffing violations led to hundreds of thousands of dollars in fines, a reminder that without strong oversight, even well-crafted laws can be ignored.

The United States’ piecemeal and adversarial approach contrasts sharply with other countries. In Canada, provinces like British Columbia have legislated nurse-to-patient ratios similar to those in California, and in Quebec, unions won agreements that legally cap workloads for certain units. In the United Kingdom, the National Health Service has long recognized safe staffing as a matter of public accountability, and while austerity policies have strained the system, England, Wales, and Scotland all employ government-set nurse-to-patient standards to protect both patients and staff. Nordic countries go further, with Sweden and Norway integrating nurse well-being into health policy; short shifts, strong union protections, and publicly funded healthcare systems reduce the risk of burnout by design. While no system is perfect, these models show that burnout is not inevitable—it is a political and policy choice.

Union presence consistently makes a difference. Studies show that unionized nurses are more successful at securing safe staffing ratios, resisting exploitative scheduling, and advocating for patient safety. But unionization rates in nursing remain uneven, and in many states nurses are discouraged or even legally restricted from organizing. Without collective power, individual nurses are forced to rely on personal endurance, which is precisely what the system counts on.

The outcome is devastating not only for nurses but for patients. Burnout leads to higher turnover, staffing shortages, and medical errors—all while nursing schools continue to churn out new graduates to replace those driven from the profession. It is a cycle sustained by institutional denial and the myth of infinite devotion.

If U.S. higher education is serious about preparing nurses for the future, nursing programs must move beyond the rhetoric of sacrifice. They need to teach students not only how to care for patients but also how to advocate for themselves and their colleagues. They need to expose the structural causes of burnout and prepare nurses to demand better conditions, not simply endure them. Until then, the irony remains: a profession that celebrates care while sacrificing its caregivers.

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Sources

• American Nurses Association (ANA). “Workplace Stress & Burnout.” ANA Enterprise, 2023.

• National Nurses United. Nursing Staffing Crisis in the United States, 2022.

• Bae, S. “Nurse Staffing and Patient Outcomes: A Literature Review.” Nursing Outlook, Vol. 64, No. 3 (2016): 322-333.

• Bureau of Labor Statistics. “Union Members Summary.” U.S. Department of Labor, 2024.

• Shah, M.K., Gandrakota, N., Cimiotti, J.P., Ghose, N., Moore, M., Ali, M.K. “Prevalence of and Factors Associated With Nurse Burnout in the US.” JAMA Network Open, Vol. 4, No. 2 (2021): e2036469.

• Nelson, Sioban. Say Little, Do Much: Nursing, Nuns, and Hospitals in the Nineteenth Century. University of Pennsylvania Press, 2001.

• Kalisch, Philip A. & Kalisch, Beatrice J. The Advance of American Nursing. Little, Brown, 1986.

• Oregon Capital Chronicle, “Governor Kotek Criticizes Providence Over Largest Strike of Health Care Workers in State History,” January 2025.

• Associated Press, “Oregon Health Care Strike Ends After Six Weeks,” February 2025.

• National Nurses United, “New Orleans Nurses Deliver Notice for Third Strike at UMC,” 2025.

• NurseTogether, “Nurse Strikes: An Increasing Trend in the U.S.,” 2024.

• New York State Senate Bill S4003, “Safe Staffing for Hospital Care Act,” 2025.

• San Francisco Chronicle, “Newsom Imposes Emergency Staffing Rules at State Psychiatric Hospitals,” 2025.

• Times Union, “Editorial: Hospital’s Staffing Violations Show Need for Enforcement,” 2025.

• Oulton, J.A. “The Global Nursing Shortage: An Overview of Issues and Actions.” Policy, Politics, & Nursing Practice, Vol. 7, No. 3 (2006): 34S–39S.

• Rafferty, Anne Marie et al. “Outcomes of Variation in Hospital Nurse Staffing in English Hospitals.” BMJ Quality & Safety, 2007.

• Aiken, Linda H. et al. “Nurse Staffing and Education and Hospital Mortality in Nine European Countries.” The Lancet, Vol. 383, No. 9931 (2014): 1824–1830.

K-12 Virtual Education: A Broken Pipeline to College and Jobs

K12 Inc., now rebranded as Stride, is a Wall Street darling—but for students, it’s a nightmare. Critics call it “one of the worst charter schools in America,” with dropout rates soaring above 50% and graduation rates below 30%. Behind the glossy marketing and investor pitches, Stride operates as a pipeline not to opportunity, but to debt, dead-end jobs, and corporate profit.

Stride presents itself as an innovative online education platform, but the numbers tell a different story. Full-time virtual schools nationally graduate just 54.6% of students, compared to 85% in traditional public schools. K12/Stride’s virtual offerings hover around 56.3%, with blended programs faring slightly better at 80.9%. In some districts, however, the picture is grim: Kansas K12 charters reported graduation rates as low as 26.3%, while local brick-and-mortar schools achieved nearly 90%.

High student churn compounds the problem. Stride-powered schools report turnover of 50–57%, highlighting systemic disengagement and academic instability. Student-teacher ratios are extreme, sometimes exceeding 40:1, more than double the national average. Only a third of K12 schools met Adequate Yearly Progress under No Child Left Behind, illustrating a chronic failure to deliver even basic accountability.

K-12 education is meant to be a pipeline—leading students into college, skilled careers, and financial stability. For students leaving Stride underprepared or without diplomas, that pipeline is broken. Many are pushed into low-wage work, forced into remedial college courses, or trapped in a credential system designed to extract debt rather than confer opportunity. In this way, Stride acts less as an educational institution and more as a conveyor belt funneling vulnerable youth into economic precarity.

Stride is backed by investors and private equity interests that profit from this dysfunction. Its glossy “Graduation Guarantee,” introduced in 2021, promises remediation for students who age out without graduating. But these measures are reactive, not systemic; they don’t address the structural incentives that prioritize profit over learning. Every public dollar flowing into Stride’s coffers is money extracted from communities, while many students exit the system with weak credentials and limited prospects.

The broader story is clear: billionaire-backed for-profit virtual schools like Stride are part of a national effort to privatize public education, monetize student debt, and commodify learning. They transform education from a public good into a profit center, leaving students and families to bear the real cost. Without accountability, oversight, and a renewed commitment to equitable public education, this pipeline—supposed to carry students toward opportunity—will continue to deliver them into debt, underemployment, and economic marginalization.

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Sources

• National Education Policy Center (2021). Virtual Schools in the U.S. nepc.colorado.edu

• Network for Public Education (2019). Are Online Charter Schools Good Options for Families? networkforpubliceducation.org

• SourceWatch. K12 Inc. sourcewatch.org

• Public Schools First NC. Online Charter Schools. publicschoolsfirstnc.org

• Education Week. 15 Months in Virtual Charter Hell. edweek.org

• Houston Chronicle (2025). Texas Expands Virtual School Enrollment Amid Accountability Concerns. houstonchronicle.com

• Stride Inc. (2021). Graduation Guarantee. investors.stridelearning.com

• Diane Ravitch Blog (2021). Teacher Reflects on Working for K12 Inc. dianeravitch.net

• Wikipedia. Stride, Inc. en.wikipedia.org

Authoritarian Plutocracy and Higher Education: New Moves under Trump

The term authoritarian plutocracy captures how higher education is being reshaped: rather than overt state control in classic fascist style, what we are witnessing is the systematic hollowing of regulatory protections, the transfer of public funding into private profit, and the disciplining of institutions and individuals by political fiat. In the most recent year, several policy shifts make this trajectory unmistakably visible.

Since assuming (his current) office, Trump’s administration has embarked on sweeping reforms and legislative changes that illustrate how deregulation and elite enrichment are prioritized over the welfare of students, lenders, and institutions. Legislative changes embodied in the Reconciliation Law (signed July 4, 2025) carry radical higher-education implications: it overhauls the federal student aid system; imposes limits on borrowing for graduate and professional students and for parent borrowers; reduces the number and generosity of income-based repayment plans; rolls back accountability measures aimed at protecting students from fraud; delays or reverts protections for those wronged by their institutions; and makes cuts that affect affordability and access. TICAS

One prominent change under the new law is the elimination of the Graduate PLUS loan program, replaced with new annual and lifetime borrowing caps for graduate and professional students. Parent PLUS loans likewise face severe new restrictions. Borrowers in many categories will lose access to multiple repayment plans now in use (e.g. ICR, PAYE, REPAYE, SAVE) and effectively be pushed into just two new repayment pathways: a standard plan and a new “Repayment Assistance Plan.” These reforms will kick in for new borrowers after July 1, 2026, and for current borrowers by 2028 in many cases. TICAS

Another significant shift involves interest and repayment policy for millions of borrowers. The Department of Education has restarted interest accrual on federal student loans under the SAVE plan as of August 1, 2025, following court rulings that blocked parts of the plan. This means those enrolled will begin seeing their loan balances grow again, while being urged to move to other repayment regimes that conform to legal constraints. U.S. Department of Education

Regulatory changes in other areas also reflect the same pattern. Final regulations published in early 2025 address Return to Title IV Funds (R2T4) and rules for distance education and TRIO programs, scheduled to take effect in mid-2026 unless otherwise noted. These rules both tighten and loosen oversight in ways that can benefit institutional actors at the expense of students—by giving schools more flexibility on refunds, changing how module-based courses are treated, and slowing implementation of reporting requirements. NACUBO Meanwhile, some proposed regulatory changes—in cash management (how institutions manage and use financial aid dollars), state authorization, accreditation—were withdrawn by December 2024, signaling a retreat from tighter controls. SPARC+1

Perhaps most emblematic is the ongoing effort to reduce or even dismantle parts of the federal oversight apparatus. In March 2025, Trump signed an executive order directing the Secretary of Education to “facilitate the closure of the Department of Education and return authority over education to the States and local communities.” Simultaneously, a major workforce reduction was announced in the Department. Roughly half of its employees were targeted in layoffs or reassignments as part of a broader reorganization affecting Federal Student Aid and the Office for Civil Rights. A federal court blocked part of the mass layoff effort in May, but the direction is clear: less oversight, fewer protections, more discretion for institutions and private actors. Wikipedia

The cumulative effect of these changes is consistent with what authoritarian plutocracy demands. Borrowers now face fewer repayment options, steeper obligations, and less protection from predatory behavior. Institutions, freed from some regulatory strictures, may gain flexibility—and private firms (including lenders, servicers, edtech providers, OPMs) stand to benefit. The regulatory wind has shifted to favor profit and power; public accountability, student welfare, and equity are increasingly secondary.

In higher education, as elsewhere, what matters isn't only what laws are passed but what and who those laws empower—and what they disable. For students, faculty, and institutions without deep political connections or financial buffers, the risk is that higher education becomes less a public good and more a venture to be leveraged by the powerful.

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Recent Sources & Reporting

• “Provisions Affecting Higher Education in the Reconciliation Law,” TICAS, July 15, 2025 TICAS

• U.S. Department of Education press release on SAVE plan interest accrual policy, July 9, 2025 U.S. Department of Education

• “ED Finalizes Rules on Return to Title IV and Distance Education,” NACUBO, Jan. 2025 NACUBO

• “2024 U.S. Department of Education Negotiated Rulemaking,” SPARC Open SPARC

• “ED Finalizes Biden-Era Regulations, Withdraws Proposals Amid Transition,” ACE, Jan. 13, 2025 American Council on Education

• Reporting on proposed closure / layoff / reorg in the Department of Education 

Ivory Towers and Pharma Profits: How Higher Education Fuels Big Pharma’s Bottom Line

As public outrage grows over the astronomical cost of prescription drugs, a quieter but equally consequential dynamic demands scrutiny: the entanglement of higher education institutions with the pharmaceutical industry. Universities—especially those with medical schools and biomedical research centers—have become indispensable players in Big Pharma’s pipeline. While these partnerships often promise innovation and public benefit, they also raise troubling questions about academic independence, ethical boundaries, and the commodification of publicly funded science.

Medical Education: A Curriculum Under Influence

Medical schools are tasked with training future physicians in evidence-based care. Yet many institutions maintain financial ties with pharmaceutical companies that risk compromising the integrity of their curricula. Faculty members often receive consulting fees, research grants, and honoraria from drug manufacturers. In some cases, industry-sponsored materials and lectures are integrated into coursework, subtly shaping how students understand disease treatment and drug efficacy.

This influence extends beyond the classroom. Continuing medical education (CME), a requirement for practicing physicians, is frequently funded by pharmaceutical companies. Critics argue that this model incentivizes the promotion of branded drugs over generics or non-pharmaceutical interventions, reinforcing prescribing habits that benefit corporate interests more than patient outcomes.

University Research: Innovation or Outsourcing?

Academic research is a cornerstone of pharmaceutical development. Universities conduct early-stage investigations into disease mechanisms, drug targets, and therapeutic compounds—often funded by public grants. Pharmaceutical companies then step in to commercialize promising discoveries, assuming control over clinical trials, regulatory approval, and marketing.

While this division of labor can accelerate drug development, it also shifts the locus of control. Universities may prioritize research that aligns with industry interests, sidelining studies that lack commercial appeal. Moreover, corporate sponsors can exert influence over publication timelines, data interpretation, and intellectual property rights. The result is a research ecosystem where profit potential increasingly dictates scientific inquiry.

Case Studies: The University-Pharma Nexus in Action

Harvard University Harvard Medical School has faced scrutiny over the financial relationships between its faculty and pharmaceutical companies. A 2009 investigation by The New York Times revealed that more than 1,600 Harvard-affiliated physicians had financial ties to drug and medical device makers. The controversy sparked student protests and led to reforms requiring faculty to disclose industry ties and limiting pharma-funded materials in classrooms.

Harvard’s research enterprise is deeply intertwined with Big Pharma. Its partnership with Novartis in developing personalized cancer treatments—particularly CAR-T cell therapy—illustrates how academic science feeds into high-cost commercial therapies. While the treatment represents a breakthrough, its price tag (often exceeding $400,000 per patient) raises questions about the public’s return on investment.

Yale University Yale’s collaboration with GlaxoSmithKline (GSK) on PROTACs (proteolysis-targeting chimeras) showcases the university’s role in pioneering new drug technologies. Under the agreement, Yale and GSK formed a joint research team to advance PROTACs from lab concept to clinical candidate. GSK gained rights to use the technology across multiple therapeutic areas, while Yale stood to receive milestone payments and royalties.

Yale’s Center for Clinical Investigation (YCCI) saw an 850% increase in industry-sponsored trials between 2006 and 2019. To address concerns about equity, YCCI launched the Cultural Ambassador Program to diversify trial participation. While this initiative promotes inclusivity, it also serves the interests of pharmaceutical sponsors seeking broader demographic data for regulatory approval.

University of Bristol (UK) The University of Bristol has maintained a decade-long partnership with GSK, spanning vaccine development, childhood disease research, and oral health. GSK funds PhD studentships and undergraduate placements and collaborates on data integrity initiatives. While the partnership aims to improve global health outcomes, it also serves GSK’s need to secure early-stage innovation and talent.

Temple University Temple’s Moulder Center for Drug Discovery Research exemplifies the shift toward academic-led drug discovery. Pharmaceutical companies increasingly rely on centers like this to conduct early-stage research, reducing their own financial risk. As patents expire and blockbuster drugs lose exclusivity, pharma firms turn to universities to replenish their pipelines—often with taxpayer-funded science.

ETH Zurich (Switzerland) ETH Zurich has become a hub for synthetic organic and medicinal chemistry, attracting partnerships with major pharmaceutical firms. Researchers at ETH conduct foundational work that pharma companies later commercialize. This reflects a broader trend: the outsourcing of riskier, cost-intensive research to academic institutions, often without proportional public benefit.

The Dark Legacy of Elite University Medical Centers

Beyond research and education, elite university medical centers have long been implicated in systemic inequality and exploitation. As detailed in The Dark Legacy of Elite Medical Centers, these institutions have historically treated marginalized and low-income patients as expendable research subjects. The term “Medical Apartheid,” coined by Harriet Washington, captures the racial and class-based exploitation embedded in American medical history.

The disparities extend to labor conditions as well. Support staff—often immigrants and people of color—face low wages, poor working conditions, and job insecurity, despite being essential to hospital operations. Meanwhile, early-career researchers and postdocs, many from working-class backgrounds, endure long hours and precarious employment while driving the innovation that fuels Big Pharma’s profits.

Even diversity initiatives at these institutions often fall short, focusing on optics rather than structural reform. As the article argues, “The institutional focus on ‘diversity’ and ‘inclusion’ often overlooks the more significant structural issues, such as the affordability of education, the class-based access to healthcare, and the economic barriers that continue to undermine the ability of disadvantaged individuals to receive quality care.”

Technology Transfer and Patents: The Profit Pipeline

Many universities have established technology transfer offices to manage the commercialization of academic discoveries. These offices negotiate licensing agreements with pharmaceutical companies, often securing royalties or equity stakes in exchange. While such arrangements can generate substantial revenue—especially for elite institutions—they also entangle universities in the profit-driven logic of the pharmaceutical market.

This entanglement has real-world consequences. Drugs developed with public funding and academic expertise are frequently priced out of reach for many patients. The Bayh-Dole Act of 1980, which allows universities to patent federally funded research, was intended to spur innovation. But critics argue it has enabled the privatization of public science, with universities acting as gatekeepers to life-saving treatments.

Ethical Crossroads: Transparency and Reform

The growing influence of Big Pharma in higher education has prompted calls for greater transparency and accountability. Some institutions have implemented conflict-of-interest policies, requiring faculty to disclose financial ties and limiting industry-sponsored events. Student-led movements have also emerged, demanding reforms to ensure that education and research serve the public good rather than corporate profit.

Yet systemic change remains elusive. The financial incentives are substantial, and the boundaries between academia and industry continue to blur. Without robust oversight and a recommitment to academic independence, universities risk becoming complicit in a system that prioritizes shareholder value over human health.

Rethinking the Role of Higher Ed and Medicine

Higher education institutions occupy a unique position in society—as centers of knowledge, innovation, and public trust. Their collaboration with Big Pharma is not inherently problematic, but it must be guided by ethical principles and a commitment to transparency. As the cost of healthcare continues to rise, universities must critically examine their role in the pharmaceutical ecosystem and ask whether their pursuit of profit is undermining their mission to serve the public.

The legacy of elite university medical centers is not just about innovation—it’s also about inequality. Until these institutions confront their role in perpetuating racial and class-based disparities, their contributions to public health will remain compromised.

Sources:

• The Dark Legacy of Elite University Medical Centers

• Harvard T.H. Chan School of Public Health: Pharma and Digital Innovation in China

• Harvard Business School Case Study: Novartis and Personalized Cancer Treatment

• Yale Law School: Pharmaceutical Public-Private Partnerships

• GSK and Yale PROTAC Collaboration Press Release

• Yale Center for Clinical Investigation Case Study

• University of Bristol and GSK Case Study

• Pharmaphorum: Universities and Pharma Companies Need Each Other

• Chemical & Engineering News: The Great Pharmaceutical-Academic Merger