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Wednesday, April 23, 2025

Trump’s Higher Education Crackdown: Culture War in a Cap and Gown

In a recent flurry of executive orders, former President Donald Trump has escalated his administration’s long-running war on American higher education, targeting college accreditation processes, foreign donations to universities, and elite institutions like Harvard and Columbia. Framed as a campaign for accountability and meritocracy, these actions are in reality part of a broader effort to weaponize public distrust, reinforce ideological purity tests, and strong-arm colleges into political obedience.

But even if Trump's crusade were rooted in good faith—which it clearly is not—his chosen mechanism for “fixing” higher education, the accreditation system, is already deeply flawed. It’s not just that Trump is using a broken tool for political ends—it's that the tool itself has long been part of the problem.

Accreditation: Already a Low Bar

Accreditation in U.S. higher education is often mistaken by the public as a sign of quality. In reality, it’s often a rubber stamp—granted by private agencies funded by the very schools they evaluate. “Yet in practice,” write economists David Deming and David Figlio, “accreditors—who are paid by the institutions themselves—appear to be ineffectual at best, much like the role of credit rating agencies during the recent financial crisis.”

As a watchdog of America’s subprime colleges and a monitor of the ongoing College Meltdown, the Higher Education Inquirer has long reported that institutional accreditation is no sign of academic quality. Worse, it is frequently used by subprime colleges as a veneer of legitimacy to mask predatory practices, inflated tuition, and low academic standards.

The Higher Learning Commission (HLC), the nation’s largest accreditor, monitors nearly a thousand institutions—ranging from prestigious schools like the University of Chicago and University of Michigan to for-profit, scandal-plagued operations such as Colorado Technical University, DeVry University, University of Phoenix, and Walden University. These subprime colleges receive billions annually in federal student aid—money that flows through an accreditation pipeline that’s barely regulated and heavily compromised.

On the three pillars of accreditation—compliance, quality assurance, and quality improvement—the Higher Learning Commission often fails spectacularly when it comes to subprime institutions. That’s not just a bug in the system; it’s the system working as designed.

Who Watches the Watchers?

Accreditors like the HLC receive dues from member institutions, giving them a vested interest in keeping their customers viable, no matter how exploitative their practices may be. Despite objections from the American Association of University Professors, the HLC has accredited for-profit colleges since 1977 and ethically questionable operations for nearly two decades.

As Mary A. Burgan, then General Secretary of the AAUP, put it bluntly in 2000:

"I really worry about the intrusion of the profit motive in the accreditation system. Some of them, as I have said, will accredit a ham sandwich..."

[Image: From CHEA: Higher Learning Commission dues for member colleges. Over the last 30 years, HLC has received millions of dollars from subprime schools like the University of Phoenix.]

The Council for Higher Education Accreditation (CHEA), which oversees accreditors, acts more like a trade association than a watchdog. Meanwhile, the U.S. Department of Education—the only federal entity with oversight responsibility—has done little to ensure quality or accountability. Under the Trump-DeVos regime, the Department actively dismantled what little regulatory framework existed, rolling back Obama-era protections that aimed to curb predatory schools and improve transparency.

In 2023, an internal investigation revealed that the Department of Education was failing to properly monitor accreditors—yet Trump’s solution is to hand even more power to this broken apparatus while demanding it serve political ends.

Harvard: Not a Victim, But a Gatekeeper of the Elite

While Trump's attacks on Harvard are rooted in personal and political animus, it's important not to portray the university as a defenseless bastion of the common good. Harvard is already deeply entrenched in elite power structures—economically, socially, and politically.

The university’s admissions policies have long favored legacy applicants, children of donors, and the ultra-wealthy. It has one of the largest endowments in the world—over $50 billion—yet its efforts to serve working-class and marginalized students remain modest in proportion to its vast resources.

Harvard has produced more Wall Street bankers, U.S. presidents, and Supreme Court justices than any other institution. Its graduates populate the upper echelons of the corporate, political, and media elite. In many ways, Harvard is the establishment Trump claims to rail against—even if his own policies often reinforce that very establishment.

Harvard is not leading a revolution in equity or access. Rather, it polishes the credentials of those already destined to lead, reinforcing a hierarchy that leaves most Americans—including working-class and first-generation students—on the outside looking in.

The Silence on Legacy Admissions

While Trump rails against elite universities in the name of “meritocracy,” there is a glaring omission in the conversation: the entrenched unfairness of legacy admissions. These policies—where applicants with familial ties to alumni receive preferential treatment—are among the most blatant violations of meritocratic ideals. Yet neither Trump’s executive orders nor the broader political discourse dare to address them.

Legacy admissions are a quiet but powerful engine of privilege, disproportionately benefiting white, wealthy students and preserving generational inequality. At institutions like Harvard, Yale, and Princeton, legacy applicants are admitted at significantly higher rates than the general pool, even when controlling for academic credentials. This practice rewards lineage over talent and undermines the very idea of equal opportunity that higher education claims to uphold.

Despite bipartisan rhetoric about fairness and access, few politicians—Democratic or Republican—have challenged the legitimacy of legacy preferences. It’s a testament to how deeply intertwined elite institutions are with the political and economic establishment. And it’s a reminder that the war on higher education is not about fixing inequalities—it’s about reshaping the system to serve different masters.

A Hypocritical Power Grab

Trump’s newfound concern with educational “results” is laced with hypocrisy. The former president’s own venture into higher education—Trump University—was a grift that ended in legal disgrace and financial restitution to defrauded students. Now, Trump is posing as the savior of academic merit, while promoting an ideologically-driven overhaul of the very system that allowed scams like his to thrive.

By focusing on elite universities, Trump exploits populist resentment while ignoring the real scandal: that billions in public funds are siphoned off by institutions with poor student outcomes and high loan default rates—many of them protected by the very accrediting agencies he now claims to reform.

Conclusion: Political Theater, Not Policy

Trump's latest actions are not reforms—they're retribution. His executive orders target symbolic elites, not systemic rot. They turn accreditation into a partisan tool while leaving the worst actors untouched—or even empowered.

Meanwhile, elite institutions like Harvard remain complicit in maintaining a class hierarchy that benefits the powerful, even as they protest their innocence in today’s political battles.

Real accountability in higher education would mean cracking down on predatory schools, reforming or replacing failed accreditors, and restoring rigorous federal oversight. But this administration isn't interested in cleaning up the swamp—it’s repurposing the muck for its own ends.

The Higher Education Inquirer remains committed to pulling back the curtain on these abuses—no matter where they come from or how well they are disguised.

We have met the enemy...

Class conflict has always been woven into the fabric of American higher education. The struggle over access, affordability, and control of knowledge production has long pitted economic elites against working-class and middle-class students, faculty, and staff. Since the 1960s, these tensions have only deepened, exacerbated by policy shifts that have served to entrench inequality rather than dismantle it.

The 1960s marked a critical turning point in the political battle over higher education. Ronald Reagan’s war on the University of California system while he was governor set the tone for a broader conservative backlash against public higher education, which had been expanding to accommodate the postwar baby boom and increasing calls for racial and economic justice. Reagan’s attacks on free tuition and student activism foreshadowed decades of policies designed to limit public investment in higher education while encouraging privatization and corporate influence.

Since the 1970s, economic inequality in the US has grown dramatically, and higher education has been both a battleground and a casualty in this ongoing class war. Today, the sector is experiencing a long-running meltdown, with no signs of reversal. The following key issues illustrate the breadth of the crisis:

Educated Underclass and Underemployment

The promise of higher education as a pathway to economic security has eroded. A growing segment of college graduates, particularly those from working-class backgrounds, find themselves in precarious employment, often saddled with student debt and working jobs that do not require a degree. The rise of the educated underclass reflects a broader trend of economic stratification in the US, where social mobility is increasingly constrained.

Student Loan Debt Crisis

Student loan debt has surpassed $1.7 trillion, shackling millions of Americans to a lifetime of financial insecurity. The cost of higher education has skyrocketed, while wages have stagnated, leaving many borrowers unable to pay off their loans. Rather than addressing this crisis with systemic reform, policymakers have largely chosen half-measures and band-aid solutions that fail to address the structural drivers of student debt.

The Role of Foreign Students in US Higher Education

The influx of international students, particularly from wealthy families abroad, has been used as a revenue stream for cash-strapped universities. While diversity in higher education is valuable, the prioritization of full-tuition-paying international students over domestic students, especially those from working-class backgrounds, reflects a troubling shift in university priorities from public good to profit-seeking.

Academic Labor and Adjunctification

Higher education’s labor crisis is one of its most glaring failures. Over the past several decades, universities have replaced tenured faculty with contingent faculty—adjuncts and lecturers who work for low wages with no job security. This adjunctification has degraded the quality of education while exacerbating economic precarity for instructors, who now make up the majority of faculty positions in the US.

Identity Politics and DEI as a Substitute for Racial Justice

Diversity, Equity, and Inclusion (DEI) initiatives have become a central focus of university policies, yet they often serve as a superficial substitute for genuine racial and economic justice. Originating in part from efforts like those of Ward Connerly in California, DEI programs provide cover for institutions that continue to perpetuate racial and economic inequities, while failing to address core issues such as wealth redistribution, labor rights, and equitable access to higher education.

Privatization of Higher Education

Public funding for universities has declined, and in its place, privatization has surged. Universities have increasingly outsourced services, partnered with corporations, and relied on private donors and endowments to stay afloat. This shift has transformed higher education into a commodity rather than a public good, further marginalizing low-income students and faculty who cannot compete in a system driven by financial interests.

Online Education and the For-Profit Takeover

The rise of online education, fueled by for-profit colleges and Online Program Managers (OPMs), has introduced new layers of exploitation and inequality. While online education promises accessibility, in practice, it has been used to cut costs, lower instructional quality, and extract profits from students—many of whom are left with degrees of questionable value and significant debt.

Alienation and Anomie in Higher Education

As economic pressures mount and academic work becomes more precarious, feelings of alienation and anomie have intensified. Students and faculty alike find themselves disconnected from the traditional mission of higher education as a space for critical thought and democratic engagement. The result is a crisis of meaning that extends beyond the university into broader society.

The Power of Elite Universities

At the other end of the spectrum, elite universities continue to amass enormous endowments, wielding disproportionate influence over higher education policy and urban development. These institutions contribute to gentrification, driving up housing costs in surrounding areas while serving as gatekeepers to elite status. Their governing structures—dominated by trustees from finance, industry, and politics—reflect the interests of the wealthy rather than the needs of students and faculty.

The Way Forward

To avoid the full entrenchment of an oligarchic system, those who hold power in higher education must step aside and allow for systemic transformation. This means prioritizing policies that restore public investment in education, dismantle student debt, protect academic labor, and democratize decision-making processes. The fight for a more just and equitable higher education system is inseparable from the broader struggle for democracy itself.

As history has shown, real change will not come from those at the top—it will come from the courageous efforts of students, faculty, and workers who refuse to accept a system built on exploitation and inequality. The time to act is now.

The Digital Dark Ages

In this so-called Age of Information, we find ourselves plunged into a paradoxical darkness—a time when myth increasingly triumphs over truth, and justice is routinely deformed or deferred. At The Higher Education Inquirer, we call it the Digital Dark Ages.

Despite the unprecedented access to data and connectivity, we’re witnessing a decay in critical thought, a rise in disinformation, and the erosion of institutions once thought to be champions of intellectual rigor. Higher education, far from being immune, is now entangled in this digital storm—none more so than in the rise of robocolleges and the assault on public universities themselves.

The Fog of Myth

The myths of the Digital Dark Ages come packaged as innovation and access. Online education is heralded as the great equalizer—a tool to democratize knowledge and reach underserved students. But as the dust settles, a darker truth emerges: many of these online programs are not centers of enlightenment, but factories of debt and disillusionment. Myth has become a business model.

The fantasy of upward mobility through a flexible online degree masks a grim reality. The students—often working-class professionals juggling jobs and families—become robostudents, herded through algorithmic coursework with minimal human interaction. The faculty, increasingly adjunct or contract-based, become roboworkers, ghosting in and out of online discussion boards, often managing hundreds of students with little support. And behind it all stands the robocollege—a machine optimized not for education, but for profit.

The Rise of Robocolleges

The rapid growth of online-only education has introduced a new breed of institutions: for-profit, non-profit, secular, and religious, all sharing a similar DNA. Among the most prominent are Southern New Hampshire University, Grand Canyon University, Liberty University Online, University of Maryland Global Campus, Purdue University Global, Walden University, Capella University, Colorado Tech, and the rebranded former for-profits now operating under public university names, like University of Phoenix and University of Arizona Global Campus.

These robocolleges promise convenience and career readiness. In practice, they churn out thousands of credentials in fields like education, healthcare, business, and public administration—often leaving behind hundreds of billions of dollars in student loan debt.

The Robocollege Model is defined by:

  • Automation Over Education

  • Aggressive Marketing and Recruitment

  • High Tuition with Low Return

  • Shallow Curricula and Limited Academic Support

  • Poor Job Placement and Overburdened Students

These institutions optimize for profit and political protection, not pedagogy. Many align themselves with right-wing agendas, blending Christian nationalism with capitalist pragmatism, while marketing themselves as the moral antidote to “woke” education.

Trump’s War on Higher Ed and DEI

Former President Donald Trump didn’t just attack political rivals—he waged an ideological war against higher education itself. Under his administration and continuing through his influence, the right has cast universities as hotbeds of liberal indoctrination, cultural decay, and bureaucratic excess. Public universities and their faculties have been relentlessly vilified as enemies of “real America.”

Central to Trump’s campaign was the targeting of Diversity, Equity, and Inclusion (DEI) initiatives. Executive orders banned federally funded diversity training, and right-wing media amplified the narrative that DEI was a form of “reverse racism” and leftist brainwashing. That playbook has since been adopted by Republican governors and legislatures across the country, leading to:

  • Defunding DEI Offices: Entire departments dedicated to equity have been dismantled in states like Florida and Texas.

  • Censorship of Curriculum: Academic freedom is under siege as laws restrict the teaching of race, gender, and American history.

  • Chilling Effects on Faculty: Scholars of color, queer faculty, and those doing critical theory face retaliation, termination, or self-censorship.

  • Hostile Campus Environments: Students in marginalized groups are increasingly isolated, unsupported, and surveilled.

This culture war is not simply rhetorical—it’s institutional. It weakens public confidence in higher education, strips protections for vulnerable communities, and drives talent out of teaching and research. It also feeds directly into the robocollege model, which offers a sanitized, uncritical, and commodified version of education to replace the messy, vital work of civic learning and self-reflection.

The Debt Trap and Student Loan Servitude

Today, more than 45 million Americans are trapped in a cycle of student loan debt servitude, collectively owing over $1.7 trillion. Robocolleges have played a central role in inflating this debt by promising career transformation and delivering questionable outcomes.

Debt has become a silent form of social control—disabling an entire generation’s ability to invest, build, or dissent.

  • Delayed Life Milestones

  • Psychological Toll

  • Stalled Economic Mobility

This is not just a personal burden—it is the product of decades of deregulation, privatization, and a bipartisan consensus that treats education as a private good rather than a public right.

The Dismantling of the U.S. Department of Education

Over time, and especially under Trump-aligned officials like Betsy DeVos, the U.S. Department of Education has been hollowed out, repurposed to protect predatory institutions rather than students. Key actions include:

  • Rolling Back Protections for borrowers defrauded by for-profit colleges.

  • Weakening Oversight of accreditation and accountability metrics.

  • Empowering Loan Servicers to act with impunity.

  • Undermining Public Education in favor of vouchers, charters, and online alternatives.

The result? Robocolleges and their corporate allies are given free rein to exploit. Students are caught in the machinery. And the very institution charged with protecting educational integrity has been turned into a clearinghouse for deregulated profiteering.

Reclaiming the Idea of Higher Education

This is where we are: in a Digital Dark Age where myths drive markets, and education has become a shell of its democratic promise. But all is not lost.

Resistance lives—in underfunded community colleges, independent media, academic unions, student debt collectives, and grassroots movements that refuse to accept the commodification of learning.

What’s needed now is not another tech “solution” or rebranding campaign. We need a recommitment to education as a public good. That means:

  • Rebuilding and funding public universities

  • Protecting academic freedom and DEI efforts

  • Canceling student debt and regulating private actors

  • Restoring the Department of Education as a tool for justice

  • Rethinking accreditation, equity, and access through a democratic lens

Because if we do not act now—if we do not call the Digital Dark Ages by name—we may soon forget what truth, justice, and education ever meant.


If you value this kind of reporting, support independent voices like The Higher Education Inquirer. Share this piece with others fighting to reclaim truth, equity, and public education from the shadows.

Tuesday, April 22, 2025

For-Profit College Corporation Perdoceo Gave Your Tax Dollars to Trump Inaugural Committee (David Halperin)

A new report filed with the Federal Election Commission shows that the troubled for-profit college operation Perdoceo Education Corp. donated $50,000 to the 2025 Trump-Vance Inaugural Committee. Almost all of Perdoceo’s revenue comes from U.S. taxpayers.

The report filed this week by the Trump committee lists, among hundreds of other gifts from corporations and individuals, a $50,000 donation from “CEC Educational Services,” which is the name of a Perdoceo subsidiary, and gives the donor address as the Schaumberg, Illinois, location of Perdoceo’s corporate offices.

The Trump inaugural committee raised $239 million, more than doubling the record-breaking amount raised by the Trump committee for the 2017 inauguration.

As the New York Times noted, presidential inaugurations, even with all the glitzy balls and other events, “have never cost anything near roughly a quarter-billion dollars, and the amount raised by the committee will resurface questions about where any leftover funds might go.” Trump associates have suggested it could be spent on other Trump projects, including a presidential library.

The Times speculated that the high volume of gifts was “driven by corporate America’s eagerness to win the president’s favor.”

Perdoceo, whose stock is publicly traded, is one corporation that would be motivated to win the transactional Trump’s favor. It is almost entirely dependent on federal government largesse. The two mostly online colleges it operates — American Intercontinental University and Colorado Technical University — have at times received as much as 97 percent of their revenue from taxpayer dollars in the form of federal student grants and loans; in the most recent reported year 83 percent came from the U.S. Department of Education alone, plus more from the departments of defense and veterans affairs.

That means, effectively, that almost all of the gift that Perdoceo made to curry favor with Trump was paid for by American taxpayers.

The donation is also consistent with Perdoceo CEO Todd Nelson’s past support for Republican politicians. More importantly, it reflects Perdoceo’s continuing need to have the federal government keep the money flowing and look the other way while the company’s schools, which have repeatedly faced law enforcement actions, offer low-quality, high-priced programs that leave many students deep in debt and without the career advancement they sought.

As Republic Report has chronicled for over a decade, Perdoceo has been one of the worst actors in all of for-profit higher education, taking in billions of dollars from taxpayers for student grants and loans while repeatedly engaging in predatory abuses.

Like Donald Trump’s own fraudulent Trump University, Perdoceo has faced multiple law enforcement investigations for predatory conduct.

In 2019, the company entered into a $494 million settlement with 48 state attorneys general, plus the District of Columbia, over allegations that it engaged in widespread deceptive practices against students.

Later that same year, Perdoceo agreed to pay $30 million to settle charges brought by the Federal Trade Commission that its schools have recruited students through deceptive third-party lead generation operations. In each case, the company did not admit guilt.

More recently, Perdoceo employees told media outlets USA Today and Capitol Forum, as well as Republic Report, that company recruiters continued to feel pressure to make misleading sales pitches and to enroll low-income people into programs that aren’t strong enough to help them succeed. Some of those former employees also spoke with federal investigators.

USA Today reported in 2022 that the U.S. Department of Education, in December 2021, requested information from Perdoceo; the Department also asked Perdoceo to retain records regarding student recruiting, marketing, financial aid practices, and more. Perdoceo confirmed the probe, while seeming to minimize its significance, in a February 2022 SEC filing. Perdoceo also acknowledged in May 2022 that it received a request for documents and information from the U.S. Justice Department.

The Department of Education provided AIU and CTU with more than $551 million in student grants and loans in the 2022-23 school year, the most recent year that was reported. A bachelor’s degree from CTU is priced at about $66,000.

But data released by the Department in 2023 show that Perdoceo’s two schools, AIU and CTU, deliver poor results for students, with low graduation rates and graduate incomes and high levels of student debt.

Before joining Perdoceo, company CEO Todd Nelson ran two of the other biggest for-profit colleges operations: the University of Phoenix and now-demised Education Management Corp. Both of those chains, like Perdoceo, ran into major law enforcement issues because of deceptive recruiting practices and other abuses that occurred on Nelson’s watch.

The Biden Department of Education never proceeded with an enforcement action to penalize Perdoceo or take away its federal aid. But it did issue a series of regulations that would make it more difficult for that company and others to engage in predatory practices going forward. The Trump administration, whose previous incarnation coddled predatory schools, and whose current incarnation has gutted the Department of Education and its accountability efforts, is likely to do nothing while Nelson’s schools keeping enrolling students, with taxpayer dollars, in substandard education programs.

$50,000 may not be a lot of money to Perdoceo or its CEO, but it’s a lot of money to each of the thousands of students across the country who are in debt to Perdoceo for multiples of that amount. Perdoceo’s donation to Trump’s inauguration, using your money, can only reinforce the company’s entitlement and impunity.

It’s wrong when a company can take money from students and taxpayers and use it curry favor with a president whose team is shutting down higher education enforcement efforts and aggressively seeking student loan repayments, even from borrowers who were deceived and abused by that company’s schools.

The donation from a supposed “education” company also sends a bad message to America’s students, because it celebrates the return to power of a twice-impeached, four-times-indicted, convicted felon and adjudged sexual assaulter who incited a murderous Capitol riot aimed at overthrowing a democratic election. Not a good civics lesson.

Perdoceo did not respond to a request for comment.

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

Friday, April 18, 2025

The Haves and Have Nots of Higher Education and Student Loan Debt

In a move that has raised eyebrows across Washington and beyond, President Donald Trump recently announced a plan to transfer the U.S. Department of Education’s vast student loan portfolio—totaling a staggering $1.8 trillion—to the Small Business Administration (SBA). This bold step is ostensibly designed to streamline the management of federal student loans, but it is also seen by many as the first move in a larger effort to dismantle the Department of Education entirely, reduce federal oversight, and privatize key aspects of the student loan system. Alongside this plan, there are growing discussions about eliminating essential borrower protections, including programs like Public Service Loan Forgiveness (PSLF), Pay As You Earn (PAYE), Income-Contingent Repayment (ICR), and the Borrower Defense to Repayment program, all of which have offered critical relief to millions of students. Additionally, the rollback of Gainful Employment regulations—which were designed to protect students from predatory for-profit institutions—further signals a shift toward private sector control, which has historically benefited lenders over borrowers.


The Alleged 'Rescue' of the Loan Portfolio

The White House has framed the transfer of the student loan portfolio to the SBA as a necessary step to relieve the Department of Education (ED) of a heavy burden, positioning the SBA as the new “caretaker” of the nation’s student debt. According to President Trump, the SBA—under the leadership of Kelly Loeffler—will now handle the $1.8 trillion student loan portfolio, while the Department of Education focuses on other key educational initiatives.

For some, the move seems like a fresh approach to a problem that has long plagued U.S. higher education: the overwhelming student debt crisis. However, a deeper look into the mechanics of the transfer suggests that this could be the first step toward a far more troubling goal: the dismantling of the federal student loan system and the privatization of debt, a shift that could harm millions of consumers in the process.


The SBA’s Inexperience with Student Loans

The SBA, traditionally tasked with managing small business loans, lacks the expertise to effectively manage the complex structure of federal student loans, which include income-driven repayment plans, loan forgiveness programs, and various protections for struggling borrowers. With the agency also facing significant staffing cuts, it’s highly unlikely that the SBA will be able to competently handle such a vast and complicated portfolio—especially when 40% of these loans are already in default or behind on payments.

This raises an obvious question: is the SBA being set up to fail? Some insiders suggest that the failure of the SBA to properly manage the student loan portfolio could be deliberate—creating a crisis that would justify selling off the portfolio to private companies, thus privatizing the entire system.


The Planned Failure: A Strategy for Privatization?

According to several former senior officials within the Department of Education, the transfer of the student loan portfolio to the SBA could be a calculated move to destabilize the federal loan system. The apparent failure of the SBA to manage the loans would then serve as a justification for transferring the loans to the private sector. This mirrors tactics used in other sectors where privatization was pursued under the guise of government inefficiency. The fear is that this move could ultimately lead to for-profit companies taking over the loan system, with borrowers facing higher interest rates, stricter repayment terms, and the loss of essential protections.


Who Stands to Gain from Privatizing Student Loans?

The shift toward privatizing student loans stands to benefit several key players in the financial and educational sectors, particularly for-profit companies and private lenders who have long pushed for deregulation and profit-driven management of student debt. The primary beneficiaries would include:

  1. Private Lenders and Financial Institutions: Banks, investment firms, and loan servicing companies are the most obvious winners in a privatized student loan system. With the federal government stepping back, these entities would gain control over the $1.8 trillion portfolio, allowing them to set higher interest rates, stricter repayment terms, and impose fees on borrowers. This would turn student loans into even more lucrative financial products for the private sector.

  2. For-Profit Educational Institutions: For-profit colleges, which often rely on student loans to fund their operations, could also stand to gain. These institutions—many of which have faced significant scrutiny for high tuition costs and poor student outcomes—would benefit from a less regulated environment. Without the Gainful Employment regulations, which were designed to hold these institutions accountable for their job placement and earnings data, they would face fewer restrictions on their recruitment practices and financial dealings, potentially allowing them to continue enrolling students in expensive, low-quality programs.

  3. Servicers and Debt Collection Agencies: Loan servicers and debt collection agencies that would likely take over the management of student loans in a privatized system stand to profit greatly. By controlling the servicing of student loans, these companies can increase their fees and aggressively pursue defaulting borrowers, further exacerbating the financial hardship for many students. These entities would benefit from a less regulated environment where the focus would shift toward profitability, often at the expense of borrowers.

  4. Political Donors and Lobbyists: Financial institutions and for-profit education providers have historically been major political donors and lobbyists, particularly to policymakers who have pushed for deregulation of student loan systems. Privatization could provide these stakeholders with the opportunity to consolidate their power over the student loan industry, influencing policy decisions in their favor and ensuring continued access to profits from the student loan market.


A History of Struggles: Lack of Oversight and Privatization Since the 1980s

The idea of privatizing student loans and dismantling federal oversight is not entirely new. In fact, the U.S. student loan system has been struggling for decades due to a lack of oversight and a trend toward privatization dating back to the 1980s. The federal government’s role as a guarantor of student loans—starting with the creation of the Guaranteed Student Loan (GSL) program in the 1960s—was eventually scaled back, leading to a rise in private student loans. As private lenders entered the student loan market, particularly during the 1990s and 2000s, the system became increasingly unregulated, leading to rising debt levels and predatory lending practices.

By the 1980s, the federal government’s reliance on private institutions to handle student loans led to a lack of transparency, accountability, and consumer protections. In particular, private lenders began to offer loans with fewer safeguards, contributing to the explosion of student loan debt and the proliferation of for-profit colleges that preyed on vulnerable students. The government, despite its involvement, increasingly stepped back from actively managing the loan system, leaving students with limited options for relief when they fell into financial distress.


The Consequences of Deregulation: Elite Colleges and the Growing Educated Underclass

One of the most significant byproducts of the shift toward privatization and deregulation in U.S. higher education has been the growth of a growing educated underclass. While elite colleges have continued to thrive, expanding their endowments and increasing their tuition fees, a large segment of the population is left with a degree and overwhelming debt that fails to deliver on its promise. Over the past several decades, prestigious universities have only gotten wealthier, with many now sitting on endowments of billions of dollars. These institutions benefit from the student loan system, which allows students to take on more debt to afford high tuition costs, all while their wealthy alumni networks and expansive endowments only grow larger.

At the same time, a growing number of students from lower-income backgrounds—many of whom attend for-profit or underfunded public colleges—are graduating with significant debt and few prospects for stable, high-paying careers. This has created a growing “educated underclass,” where graduates with degrees struggle to find employment that pays enough to manage their loan repayment, further exacerbating wealth inequality.


The Dangers of Future Issues: AI, Automation, and the Loss of Good Jobs

Looking to the future, the privatization of student loans and the increasing burden of student debt could be exacerbated by emerging technological shifts, particularly in the fields of artificial intelligence (AI) and automation. As industries evolve and more jobs become automated, many middle-class careers traditionally accessible to graduates may disappear or evolve into low-wage, low-security positions. This could lead to an even larger divide between the "haves" and "have-nots" in society, where only those with connections or elite educational backgrounds can secure stable, high-paying employment.

For students entering the workforce with massive student loan debt, this would present a troubling scenario where their ability to repay their loans becomes even more difficult as fewer well-paying jobs are available. This, in turn, would increase the financial strain on future generations of students who are already navigating a rapidly changing job market. For many, student loans could become an insurmountable barrier, keeping them trapped in cycles of debt that are impossible to escape.

Moreover, the increasing reliance on private companies to manage student loans, with their focus on profitability, could exacerbate these issues by offering fewer opportunities for income-driven repayment plans or relief options that account for the economic realities of an AI-powered, automation-driven economy. As the job market continues to shrink and evolve, the need for federal programs to support borrowers through tough economic times will only grow.


The Impact of Eliminating Borrower Protections

The elimination of borrower protections—such as PSLF, PAYE, ICR, and Borrower Defense to Repayment—would significantly worsen the student loan crisis. Public Service Loan Forgiveness, for example, allows individuals working in essential public service careers to receive loan forgiveness after ten years of qualifying payments. Without this program, many public servants would face a lifetime of insurmountable debt. Similarly, income-driven repayment programs allow borrowers to repay loans based on their income, making it easier for those in low-paying fields to manage their debt.

The Borrower Defense to Repayment program provides vital relief to students who were defrauded by their institutions. Without strong enforcement of this program, students may have no recourse to seek relief from predatory schools. The rollback of Gainful Employment regulations could further expose students to the risks of attending for-profit institutions that fail to deliver on their promises.


The Long-Term Fallout: A Dangerous Precedent

The long-term consequences of privatizing student loans could include exacerbating wealth inequality, widening the racial wealth gap, and creating an economic landscape where education debt is a permanent burden on a generation of students. If privatization moves forward, the financial burden of education will likely become a far more persistent and overwhelming problem, especially for those who can least afford it.

What’s particularly concerning is that in past crises, it’s the elites—wealthy colleges, financial institutions, and large corporations—that have consistently received the bulk of government bailouts. The same institutions that contribute the least to solving the country’s educational inequities continue to benefit from taxpayer-funded relief. If privatization moves forward, we cannot allow the same pattern to repeat itself. The majority of relief should go to those most burdened by student debt, not those who already have the means to navigate the system with ease.


The Future of Higher Education Debt: A Call to Protect Federal Loan Programs

At the Higher Education Inquirer, we stand in full support of federal student loan forgiveness and repayment programs, including PSLF, PAYE, and ICR, as they offer essential pathways for borrowers, especially public service workers and low-income individuals. These programs provide vital relief to borrowers, allowing them to focus on their careers without the burden of overwhelming debt. We urge policymakers to protect, enhance, and expand these vital initiatives to ensure that education remains accessible and equitable for all.

As we continue to face challenges in higher education financing, it is crucial to learn from past mistakes and advocate for systems that prioritize the well-being of students, not profit. The proposed privatization of the student loan system threatens to undo decades of progress and burden future generations with lifelong debt. It is essential that we protect these programs and work toward a solution that prioritizes education and fairness over corporate interests.

Wednesday, April 16, 2025

College Meltdown 2025, Quarter 1: Here we are, at another fork in the road.


In an August 2022 interview with Gary Stocker of College Viability, I offered a chilling projection for U.S. higher education and the College Meltdown:

“The worst-case scenario is that colleges are involved on both sides of a Second US Civil War between Christian Fundamentalists and neoliberals. Working families will take the largest hit.”

It’s a stark and provocative warning, but one grounded in decades of neoliberal policy, predatory capitalism, and ideological warfare. From our perspective at the Higher Education Inquirer, the College Meltdown is not a future risk—it’s a slow-moving catastrophe already unfolding.

Two Fronts in a Cultural and Economic War

On one side of this looming conflict are Christian fundamentalists who seek to remake public education in their own image: purging curricula of critical perspectives, defunding public universities, and promoting ideological orthodoxy over inquiry.

On the other side are neoliberal technocrats, who have transformed higher education into a marketplace of credentials, debt, and precarious labor. Under their regime, colleges prioritize growth, branding, and profit over education, equity, and labor rights.

Both groups, while ideologically different, are willing to use colleges as instruments of power. In doing so, they turn institutions of higher learning into ideological battlegrounds, undermining their civic purpose.

The Educated Underclass: Evidence of Collapse

One of the most visible outcomes of this dysfunction is the rise of the educated underclass. These are people who did what they were told: they went to college, took on debt, and earned degrees. Yet instead of opportunity, they found instability.

“A large proportion of those who have attended colleges have become part of a growing educated underclass,” Shaulis noted in his interview with Stocker.

This includes:

  • Adjunct instructors working multiple jobs without benefits

  • Degree holders underemployed in gig work

  • Students lured into expensive, low-return programs at subprime colleges

These individuals are too educated for social support but too broke for economic stability. They are the byproduct of a system that treats education as a private investment rather than a public good.

Colleges in Crisis: A Systemic Failure

At the Higher Education Inquirer, our concept of the College Meltdown describes a long-term decline marked by falling enrollment, rising costs, debt peonage, and declining academic labor conditions:

  • Enrollment has been falling since 2011, with sharp declines in community colleges and regional publics.

  • Student debt has exploded, with minimal returns for many graduates.

  • Academic labor is being deskilled, with "robocolleges" relying on underpaid, non-tenure-track staff or automated instruction.

  • State funding is shrinking, as aging populations drive up Medicaid costs and crowd out investment in public higher education.

Enter the Trump Administration (2025)

The return of Donald Trump to the presidency in 2025 has further accelerated the higher ed crisis. His administration is now actively contributing to the system’s unraveling:

Deregulation and Predatory Practices

Trump’s Department of Education is dismantling federal oversight of for-profit colleges, weakening gainful employment protections and allowing discredited institutions back into the federal aid system. This benefits subprime colleges that trap students in cycles of debt.

Political Weaponization of Higher Ed

Trump-aligned state governments and federal agencies are targeting DEI initiatives, restricting academic freedom, and enforcing ideological conformity. Public colleges are increasingly being used to wage cultural wars.

Funding Cuts and Favoritism

Funding is being diverted from public institutions toward private religious colleges and corporate-friendly training programs. Meanwhile, community colleges and regional universities are being left to die on the vine.

Undermining Debt Relief

Efforts to reform or forgive student loans have been stalled or reversed. Borrowers are left stranded in opaque systems, while private loans surge in popularity—often with worse terms and even less accountability.

A Best-Case vs. Worst-Case Future

When asked what the next few years could look like, I offered a fork in the road:

Best case: Colleges become transparent, accountable, and aligned with the public good, confronting crises like climate change, inequality, and authoritarianism.

Worst case: Colleges become entrenched ideological battlegrounds, deepening inequality and social fragmentation. The educated underclass grows, and higher education becomes an engine of despair rather than mobility.

Conclusion

The College Meltdown is not a singular event—it is a long-term systemic crisis. Under the combined forces of privatization, political polarization, and demographic stress, U.S. higher education is being hollowed out.

As colleges pick sides in a broader culture war, the public mission of higher education is being sacrificed. The working class and the educated underclass are the casualties of a system that promised prosperity but delivered precarity.

In this volatile moment, the future of American higher education may well mirror the broader American crisis: one defined by deepening divides, fraying institutions, and a desperate need for accountability, justice, and reinvention.





Monday, April 7, 2025

Hardship Ahead

As we stand on the precipice of a turbulent future, one thing has become clear: the hardships ahead will disproportionately affect the working class, and the elites — across political, corporate, media, and intellectual spheres — have shown a consistent, and often intentional, indifference to their struggles. While many of us brace for economic downturns, climate chaos, and the seismic shifts brought on by technological advancements, the reality is that the ruling class has actively shaped a system where the burdens of these challenges will fall on the backs of ordinary people, all while they remain largely insulated from the consequences. The rise of authoritarian figures like President Donald Trump may dominate the headlines, but it’s not just about him; it’s about a broader systemic issue where elites, regardless of their political affiliation, have consistently prioritized their own interests over the well-being of those beneath them.

The Political Elites: A System Built to Serve the Powerful

It’s easy to point to figures like Donald Trump as the embodiment of elite disregard for the working class, but that misses the bigger picture. Trump was not a rogue element in the American political landscape, but rather the latest manifestation of a system that has long been rigged to benefit the wealthy. His administration, while promising to fight for the forgotten American worker, ultimately enacted policies that only deepened the wealth divide. Corporate tax cuts, deregulation, and a lack of meaningful action to address the hollowing out of American industries — these were the actions of a leader who claimed to represent the working class, but ultimately sided with the elite.

But Trump’s actions were not unique. The bipartisan neglect of the working class by both Republican and Democratic elites has been a long-standing feature of U.S. politics. Under both parties, trade deals like NAFTA, the deregulation of industries, the decline of unions, and the outsourcing of jobs were all policies that catered to corporate elites while leaving millions of working-class Americans in the dust. The promises of upward mobility, economic security, and better wages have been largely replaced with a system that offers crumbs to the working class while the wealthy continue to reap record profits. Political elites — whether through tax cuts for the rich or cuts to social programs — have shown an outright disregard for the struggles of everyday people.

This indifference is only magnified as we now face a growing economic crisis. The pandemic and economic shutdowns pushed the working class further into financial instability, and the challenges ahead — from potential recessions to an increasing reliance on automation — will continue to hit hardest those already on the brink. But the elites, whether corporate giants, politicians, or financial institutions, are poised to weather these storms with little more than an inconvenience to their wealth and power. Meanwhile, workers will be forced to bear the weight of an unstable economy, with wages stagnating and job insecurity rising.

Corporate Elites: Profits Over People, Even in the Face of Crisis

The corporate elite — the billionaires and multinational corporations who control the economy — have continued their indifference to the working class, exacerbating the hardships that lie ahead. As climate change accelerates and the global economy teeters on the brink, these corporations are more concerned with profits than with providing real solutions to the problems at hand. Instead of adapting to the growing demands for fair wages, secure jobs, and environmentally sustainable practices, many corporations are doubling down on exploiting their workers.

Take the tech industry, for example. Amazon, Google, and other tech giants are facing mounting scrutiny for their poor labor practices, such as low wages, harsh working conditions, and algorithmic surveillance of employees. Yet these companies — some of the richest in the world — are not shifting their priorities to address the inequities in their business models. Instead, they continue to exploit the labor of workers without offering them the protections and benefits they deserve. Meanwhile, the CEOs of these companies enjoy unimaginable wealth, completely detached from the daily struggles of those who actually power their success.

The financial sector, too, continues to perpetuate a system of inequality. The speculative bubbles in cryptocurrency, real estate, and stocks benefit the wealthy, while the working class is left with the fallout. When the next financial crisis inevitably hits — and it will — it will be the workers who lose their jobs, homes, and savings, while the banks and hedge funds are bailed out by the government. This pattern of privatizing gains and socializing losses has become a hallmark of elite indifference to the struggles of everyday Americans.

Media Elites: Crafting Narratives that Serve the Powerful

The media, which should serve as a check on power and a platform for the voices of the marginalized, has become yet another arm of the elite establishment. Corporate-controlled media outlets are more concerned with maintaining their profit margins and advertising revenue than with accurately reflecting the struggles of the working class. The growing divide in society — along lines of race, class, gender, and age — is often presented as an isolated issue, rather than a systemic failure that stems from decades of elite indifference and exploitation.

The media elites who control these narratives continue to push the idea of a meritocracy — the belief that success is the result of hard work and determination — despite overwhelming evidence to the contrary. While working-class people struggle with rising rents, stagnant wages, and a lack of job security, media outlets cater to the wealthy and powerful, maintaining a status quo that ensures the perpetuation of inequality. The media’s failure to adequately address the systemic issues that have led to this growing divide — from the dismantling of the welfare state to the erosion of workers' rights — only deepens the alienation felt by ordinary citizens.

The Intellectual Elites: Detached from Reality

Even in academia and intellectual circles, the response to the challenges facing the working class is often one of detachment or indifference. While scholars and economists may craft theories about the future of work, automation, and global economic systems, few offer tangible, actionable solutions to help the millions of Americans who are already struggling. The intellectual elites — with their focus on abstract concepts and lofty ideals — have consistently failed to address the immediate needs of the working class.

For example, the rise of automation and artificial intelligence presents an existential threat to many workers in industries like manufacturing, retail, and transportation. While experts discuss the benefits of these technologies, few have addressed the real-world consequences for workers whose jobs are being automated away. The intellectual elites have, in many cases, failed to call for policies that would ensure a just transition for these workers, leaving them at the mercy of a system that values profit over people.

The Coming Hardships: Economic, Social, and Environmental Struggles

The coming years will bring significant hardships — both in terms of economic instability and environmental catastrophe. The working class will bear the brunt of these challenges, and yet, the elites seem more interested in protecting their wealth and power than in addressing the root causes of these crises. As automation continues to displace workers, and as the climate crisis leads to extreme weather events and resource scarcity, the working class will face mass unemployment, displacement, and economic insecurity. Yet, while working people are scrambling to adapt to these changes, the elites will continue to live in their gated communities, insulated from the storms of hardship that are ravaging the rest of society.

At the same time, geopolitical tensions — fueled in part by elite disregard for diplomacy and international cooperation — are pushing the world closer to conflict. The U.S. has increasingly aligned itself with authoritarian regimes and turned a blind eye to human rights abuses around the globe. The failure to address these global injustices, combined with a domestic political landscape increasingly divided by race, class, gender, and age, creates a volatile environment in which the working class will continue to suffer, while the elites profit off of the instability they have helped create.

Resistance and Reclamation of Power

Despite the indifference of the elites, resistance is growing. In the face of climate change, economic instability, and rising inequality, workers are beginning to organize — through strikes, protests, and boycotts — to demand better conditions, fair wages, and a more just society. This nonviolent resistance is not just a response to Trump’s policies but to a broader system that has long been stacked against the working class.

The time has come to recognize that the elites — whether in politics, business, or media — have consistently prioritized their own interests over the well-being of ordinary people. As the hardships ahead loom large, the working class must begin to reclaim power, not just through resistance but through the creation of a new system that values their labor, their dignity, and their humanity.

We cannot afford to wait for elites to solve these problems; the future depends on the collective action of those who have been sidelined for far too long. Only by organizing, building solidarity, and demanding a better future can we begin to address the systemic injustices that have plagued society for decades. The time for change is now, and the working class must rise to meet the challenges ahead — not just to survive, but to reclaim their rightful place in a just and equitable society.

Friday, April 4, 2025

HEI's Public Comment to ED Regarding Public Service Loan Forgiveness, Pay As You Earn, Income Contingent Repayment, Gainful Employment, Borrower Defense to Repayment and Other Rules and Regulations

[Editor's note: We are asking Higher Education Inquirer readers to submit their public comments regarding the Department of Education's plan to eliminate student loan forgiveness and income-based repayment programs. You can submit your comments here.]

As a publication committed to covering critical issues in the higher education landscape, we at the Higher Education Inquirer wish to express our full support for federal student loan forgiveness and repayment programs, such as Public Service Loan Forgiveness (PSLF), Pay As You Earn (PAYE), and Income-Contingent Repayment (ICR) programs. These programs play an essential role in ensuring equitable access to higher education, supporting public servants, and empowering graduates to contribute meaningfully to their communities and the economy.

With the rising cost of higher education, many students are burdened with overwhelming debt that limits their financial freedom and career choices. PSLF, PAYE, and ICR offer vital pathways for loan repayment and forgiveness, particularly for individuals working in essential public service fields or pursuing careers with modest salaries. By providing these programs, the federal government ensures that public servants, teachers, social workers, healthcare professionals, and other essential workers can focus on their vocations without the paralyzing weight of unmanageable student loan debt.

Public Service Loan Forgiveness, for example, offers a critical incentive to individuals who dedicate themselves to public service careers, enabling them to receive loan forgiveness after ten years of qualifying payments. This program not only supports individuals but also ensures that important sectors such as education, healthcare, and nonprofit organizations continue to attract passionate and committed professionals. It is a win-win for both the workers and the communities they serve.

Furthermore, income-driven repayment programs like PAYE and ICR allow borrowers to repay their loans based on their income and family size, providing a more sustainable and manageable path to loan repayment. These programs have proven particularly effective in reducing defaults, helping borrowers stay current on their payments without compromising their quality of life.

In addition to supporting these repayment and forgiveness programs, we also urge stronger regulatory protections for students to ensure that they are not misled by predatory institutions that prey on their aspirations. The enforcement of stronger Gainful Employment regulations is necessary to ensure that educational programs lead to viable career opportunities with reasonable earnings potential. This is especially important for students who enroll in for-profit institutions that often promise high-paying jobs but fail to deliver adequate outcomes. Without such protections, students may find themselves saddled with debt and little to no ability to repay it.

Equally important is the Borrower Defense to Repayment program, which offers a critical safeguard for borrowers who have been misled or defrauded by institutions. Strengthening this program and ensuring its accessibility is essential for protecting students from predatory practices that exploit their financial futures. The government must continue to offer these borrowers a clear and fair path to debt relief, allowing them to move forward without the burden of loans incurred due to false or misleading claims made by their schools.

We believe that these initiatives, in tandem with loan forgiveness programs, are essential for the continued prosperity of our nation. By alleviating the financial burden of student loans, promoting stronger accountability in higher education, and supporting those who dedicate themselves to public service, we can ensure that more graduates have the opportunity to thrive in their careers and make meaningful contributions to society.

At the Higher Education Inquirer, we encourage policymakers to protect, enhance, and expand these vital programs to support a diverse range of students and professionals. We look forward to working alongside others in the higher education community to ensure that students are not held back by the weight of insurmountable student loan debt, but are empowered to pursue their dreams and make a positive impact on society.

Thank you for your attention to this important matter.

Sincerely,

Dahn Shaulis
Senior Editor
Higher Education Inquirer

Trump’s Education Department is Closing. And Also Starting A Long Rulemaking Process. (David Halperin)

Although President Donald J. Trump last month signed an executive order directing Secretary of Education Linda McMahon “to the maximum extent appropriate and permitted by law, take all necessary steps to facilitate the closure of the Department of Education,” and although DOGE efforts and layoffs have cut the Department staff by half, the Department announced today that it will embark on an extensive round of meetings to draft new regulations governing student financial aid.

Unlike most federal agencies, the Department is generally required to engage in an elaborate process called negotiated rulemaking before it can issue or cancel regulations. This has meant — on issues from campus sexual assault to performance standards guarding against predatory college abuses — years of public hearings, formal convenings of rulemaking panels, written public comments and meetings on draft regulations, and more. It also has produced a decades-long ping pong match of final regulations made by one party and overwritten by the other, from the Obama to Trump I to Biden, followed by years of court challenges.

The first Trump administration staffed its higher education jobs with former executives of predatory for-profit colleges, and they eliminated both regulations and enforcement efforts aimed at protecting students and holding predatory schools accountable.

Today’s notice, signed by James P. Bergeron, Acting Under Secretary of Education, says the first round of Trump II negotiated rulemaking will likely include consideration of Public Service Loan Forgiveness and other loan repayment programs “or other topics that would streamline current federal student financial assistance programs.”

Other language in the notice suggests the Department may go deep, perhaps working to cancel the Biden rules creating performance standards for for-profit and career college programs (the gainful employment rule) and providing debt relief for students scammed by their colleges and government recoupment of funds from dishonest schools (the borrower defense rule). The notice opines that current regulations “may be inhibiting innovation and contributing to rising college costs” and that it wants to “streamline” the rules “while maintaining or improving program integrity and institutional quality.” “Innovation,” while a great thing for education when it can really happen, has been a buzzword used by the for-profit college industry to fight against rules aimed at protecting against predatory programs. Gutting the Biden rules would increase the vulnerability of both students and taxpayers to billions in waste, fraud, and abuse from deceptive, poor quality schools — even though the stated purpose of DOGE is to halt government excess.

When pro-student Democratic members of the House of Representatives  held a press conference outside the Department headquarters yesterday after they met with McMahon to discuss such concerns, she followed them. But she quickly fled when Rep. Mark Takano (D-CA) asked her when she would shut down the building.

The Department’s rulemaking process begins with public hearings on April 29 and May 1, the first in-person at Department headquarters and the second online. Advocates for students and taxpayers should register to speak and show up to make their voices heard.

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

 

Sunday, March 30, 2025

The Rise of Christian Cybercharters: Profit, Indoctrination, and the Dangers of Faith-Based Online Education

As online education becomes an ever-expanding force in both K-12 and higher education, a disturbing trend has emerged with the rise of Christian cybercharter schools and online academies. While these institutions promise faith-based education and an alternative to secular public schooling, they also raise serious concerns about indoctrination, the commodification of education, and the profit-driven motives of their for-profit operators. For many families seeking an education aligned with their Christian values, these digital platforms offer an attractive solution. However, as the lines between faith-based learning and corporate interests blur, the question remains: what are we sacrificing in the pursuit of religiously guided education?

The Growing Influence of Christian Cybercharters

Christian cybercharter schools are part of a broader trend in which private, for-profit companies deliver education to students via online platforms. These schools, often designed to serve as alternatives to secular public education, integrate Christian teachings into core subjects such as history, science, and literature. While these schools may offer a semblance of flexibility for students in rural areas or families dissatisfied with traditional schooling, their model poses unique challenges.

Cybercharter schools are, by definition, public schools that operate entirely online and are funded with taxpayer dollars. Yet, the rise of Christian cybercharters, run by private companies, complicates the traditional understanding of education. These institutions, rather than simply providing secular education, often incorporate Christian teachings into all aspects of learning. Students may study math, science, and history through a Christian lens, learning creationism instead of evolution or receiving a heavily filtered view of history. In some cases, controversial issues such as LGBTQ+ rights and reproductive health are taught in ways that align with conservative Christian values, potentially ignoring or dismissing broader social, legal, and ethical considerations.

While these schools may appeal to parents seeking religiously grounded education for their children, concerns about the quality of education and the potential for indoctrination are mounting. Instead of offering an objective, well-rounded academic experience, these institutions may turn into ideological factories, promoting a singular worldview at the expense of critical thinking, intellectual curiosity, and open-mindedness.

James Loewen’s Lies My Teacher Told Me: Everything Your American History Textbook Got Wrong serves as a cautionary tale when examining the educational landscape shaped by these faith-based online programs. In his book, Loewen critiques the sanitized, biased versions of American history often taught in public schools—narratives that ignore uncomfortable truths about racism, inequality, and colonialism. This phenomenon is mirrored in some Christian cybercharters, where history is frequently reinterpreted to promote a specific religious or political agenda, potentially leaving students with a distorted, incomplete understanding of the world. The difference here, of course, is that rather than the state pushing a particular narrative, these programs are driven by religious agendas that prioritize faith-based views over academic rigor and historical accuracy. Just as Loewen critiques the "lies" of public school textbooks, one could argue that these Christian educational platforms sometimes present a faith-filtered version of reality—one that aligns more with ideological conformity than intellectual exploration.

The Profit Motive: Corporations, Private Equity, and the Business of Faith-Based Education

At the heart of the Christian cybercharter movement is a growing involvement of private equity firms and publicly traded companies eager to profit from the expanding online education sector. Venture capitalists have increasingly poured investments into education technology companies, including Christian online platforms. As a result, more and more online education providers—particularly Christian cybercharter schools—are becoming businesses in the traditional sense, with financial returns prioritized over educational outcomes.

Much like other for-profit charter schools, these Christian cybercharters face the same pressures to maximize revenue. While proponents of this model argue that parents should have the option to select an education aligned with their values, critics argue that profit-driven motives overshadow educational quality. In many cases, the companies running these online schools are more focused on expansion, enrollment, and financial performance than on fostering critical thinking or providing a rigorous, well-rounded education.

In the case of for-profit Christian cybercharters, this business model often leads to a corporate agenda that prioritizes market share rather than genuine educational development. Whether or not these schools offer the best or most effective education is secondary to their role as vehicles for profit. Furthermore, because many of these institutions are delivered through online platforms, the lack of direct teacher-student interaction and oversight further diminishes the opportunity for intellectual debate and inquiry.

Indoctrination vs. Education: The Risks of Religious-Based Learning

One of the most significant concerns with Christian cybercharters is the potential for indoctrination. Unlike secular education, where students are encouraged to explore various ideas, form their own opinions, and critically engage with the material, Christian cybercharters often deliver content that aligns solely with religious teachings. In many cases, students are not encouraged to question or challenge the material they are given, but rather to accept it as the unquestionable truth.

For example, in science courses, students may be taught creationism in place of evolution or may receive instruction that contradicts widely accepted scientific principles. In history classes, there may be a deliberate effort to present historical events through a Christian lens, prioritizing religious interpretations and avoiding broader, secular understandings. This framing can affect the way students understand the world and interact with it, teaching them to see things in a way that aligns with specific religious views, rather than providing them with the tools to critically evaluate the world around them.

Loewen’s Lies My Teacher Told Me warns of the dangers of sanitized history education. The same critique can be applied to some Christian online academies. Just as Loewen highlights how mainstream textbooks gloss over the uncomfortable truths of American history—such as the treatment of Native Americans or the legacy of slavery—Christian cybercharter schools may whitewash history to fit a specific theological or political narrative. Students may learn that America is a "Christian nation," without an in-depth exploration of the diversity of belief systems that have shaped the country, or the ways in which Christianity’s role in history has been contested and debated. The problem arises when children, instead of being equipped to navigate complex historical realities, are taught to passively accept an ideological version of the past.

When education becomes synonymous with religious indoctrination, the line between objective knowledge and belief becomes dangerously blurred. Students are taught not to think critically about their beliefs or values but to accept them as fact, leaving little room for exploration, dialogue, or intellectual growth. The digital environment, where much of the learning takes place through pre-recorded lessons and automated grading systems, exacerbates this issue by limiting opportunities for meaningful teacher-student interaction.

The Corporate Takeover of Higher Education: Robocolleges and Faith-Based Learning

The influence of private companies and venture capital isn’t just limited to K-12 education. As online education expands, the model of faith-based learning is also infiltrating higher education. Many institutions are now offering Christian-based online degree programs, promising students a “Christian worldview” in subjects ranging from business to theology. While these programs may appeal to individuals seeking a religiously informed education, they raise concerns about the quality and breadth of education students receive.

The rise of “Robocolleges”—virtual universities run by corporations that offer online degrees—is another manifestation of the growing corporate control over education. These online programs, often funded by investors looking for high returns, can prioritize cost-efficiency and marketability over rigorous academic standards. In the case of faith-based online institutions, the goal can shift from providing a comprehensive education that challenges students to think critically about the world, to creating a narrow ideological framework where students are encouraged to see the world solely through the lens of Christianity.

In this environment, the rise of “Robostudents”—individuals who navigate education through algorithms and automated platforms—further deepens the risk of creating a generation of individuals who are highly specialized but lack the broad intellectual and social competencies needed to thrive in a diverse world.

Christian Robokids: The Future of Digital Indoctrination

A particularly concerning aspect of the rise of Christian cybercharters and online academies is the emergence of Christian Robokids—students who, in addition to receiving a faith-based education, are increasingly immersed in a highly automated, digital, and corporate-driven learning environment. As Christian cybercharters adopt more sophisticated AI and data-driven learning platforms, children may begin to engage with content not only through pre-recorded lessons but through AI-powered tutors and personalized learning paths that adapt to each student's “progress.” While this may sound appealing in theory, it opens the door for a future in which students are not only learning religious doctrine but are also being trained to conform to predetermined educational frameworks, shaped more by corporate interests than intellectual freedom.

Christian Robokids would navigate a digital education system where their learning is increasingly controlled by algorithms designed to maximize efficiency and profitability. These students could interact with content tailored to reinforce a singular religious viewpoint, with little to no exposure to diverse perspectives. In a world of Robokids, students might not engage in real discussions with teachers or peers, but instead follow rigid, automated curriculums. Their development into “robostudents” is further cemented by the complete absence of opportunities for face-to-face interaction, debate, and critical engagement with differing worldviews.

Moreover, the lack of teacher oversight in an entirely virtual system means that students may miss out on developing social and emotional intelligence, important for engaging in the complex, pluralistic world beyond the screen. The robotic nature of learning—where students become passive recipients of information rather than active participants—poses long-term risks to the intellectual and social development of children in these environments.

The Biggest Christian Online Academies

Several major Christian online academies are leading the charge in this digital faith-based education landscape, offering K-12 programs that blend academic rigor with Christian values. These academies not only cater to homeschool families but also serve as alternatives to public school systems, providing religiously grounded curricula that focus on both intellectual development and spiritual growth. Some of the largest and most well-known Christian online academies include:

  1. Liberty University Online Academy – This academy offers a comprehensive K-12 online program with a strong focus on biblical teachings alongside standard academic subjects. Liberty University, a major Christian institution, has established a reputation for delivering accredited programs that combine faith and learning.

  2. BJU Press Online Academy – Known for its biblical integration and classical Christian education approach, BJU Press offers a fully accredited K-12 online program that focuses on a Christ-centered worldview while delivering high-quality academics.

  3. Alpha Omega Academy (AOP) – A significant player in the Christian homeschooling space, AOP’s online academy offers a customizable, accredited K-12 curriculum. Its flexible approach allows families to integrate Bible-based teachings into core subjects.

  4. The King’s Academy – A Christian online school that blends academic excellence with spiritual development, providing a biblically integrated curriculum from kindergarten to high school.

  5. Veritas Scholars Academy – Known for its classical Christian education model, Veritas offers online courses with a focus on critical thinking, intellectual development, and biblical integration for students in K-12.

These online academies reflect the growing demand for faith-based education in the digital era, offering flexible options for families who prioritize both academic excellence and spiritual growth. However, as these institutions scale and continue to integrate new technologies, the risk of further corporate influence and educational homogenization grows, raising questions about the long-term impact on students' ability to think critically and engage with a diverse world.

The Danger of "Garbage In, Garbage Out" in Faith-Based Education

A worrying byproduct of the corporate-driven Christian cybercharter model is the “Garbage In, Garbage Out” phenomenon. Just as for-profit companies may prioritize profits over educational outcomes, so too does this model risk producing students who are poorly prepared for the real world. If the content students are being fed is biased, ideologically driven, or scientifically flawed, the result will be a generation of graduates whose knowledge is narrow, incomplete, and disconnected from the realities of an increasingly diverse and complex world.

Christian cybercharters, while offering a religious alternative to public schools, risk leaving students unprepared for intellectual challenges and social engagement. Without the opportunity to engage with diverse perspectives or develop critical thinking skills, students may find themselves ill-equipped to navigate the broader society or the ever-changing workforce.

Conclusion: The Future of Faith-Based Education

As the trend of Christian cybercharters and online academies continues to grow, the future of faith-based education remains uncertain. Will these digital platforms provide students with the academic rigor, critical thinking skills, and social understanding they need to thrive in a complex world, or will they become vehicles for ideological conformity and corporate profit? As parents and educators, it is critical to carefully evaluate these programs, balancing faith-based values with a commitment to fostering intellectual independence and a well-rounded education that prepares students for life beyond the classroom.