“The University of Phoenix – whose students owe more in cumulative student debt than any institution of higher education in America—is the very definition of corporate welfare, receiving nearly $3 billion in federal funding last year (including $300 million from the Tuition Assistance and GI Bill programs).”, Sen. Dick Durbin (D. Ill.), The Wall Street Journal
“I agree with Sen. Durbin, but what about all the “not-for-profit” colleges and universities that pay their presidents, deans, athletic directors, coaches, and others, millions of dollars every year, while jacking up tuition rates way beyond the cost of living…..because of federal students loans? Isn’t that not-for-profit welfare? Don’t give student loans to the kids directly. The federal government should make the loan to the college or university, require them to put 10% to 20% equity for each dollar loaned, and then lend to the kids and be responsible for the collection. That free market “invisible hand” will work far better than any other method.”, Mike Perry
Octoberr 27, 2015, The Wall Street Journal
Chastise Any Exploitative For-Profit Colleges
The University of Phoenix “is constantly reported as the single worst by far” when it comes to taking advantage of IAVA members.
Let me make sure I have this right. The same Wall Street Journal editorial board that decries the Export-Import Bank as “corporate welfare” believes that taxpayers should continue writing blank checks to for-profit “universities” that receive close to 90% of their revenue from federal taxpayers (“Obama’s For-Profit Stealth Attack,” Review & Outlook, Oct. 22)?
The University of Phoenix—whose students owe more in cumulative student debt than any institution of higher education in America—is the very definition of corporate welfare, receiving nearly $3 billion in federal funding last year (including $300 million from the Tuition Assistance and GI Bill programs).
According to Paul Reickhoff of the Iraq and Afghanistan Veterans of America (IAVA), the University of Phoenix “is constantly reported as the single worst by far” when it comes to for-profit colleges taking advantage of IAVA members.
If only congressional Republicans defended students and our military with as much determination as they prosecute the Export-Import Bank—an agency that supports small businesses and returned $675 million to the U.S. Treasury last year—the University of Phoenix and the for-profit college industry might have an incentive to see the men and women serving this country as more than dollar signs in uniform.
Sen. Dick Durbin (D., Ill.)
During my 37-year career, I have either hired or managed approximately 1,200 employees. One constant throughout that time is whenever I received a résumé from an applicant who listed a degree from the University of Phoenix, it automatically was rerouted to the circular file or shredder. It may not be fair to the applicant, but perception is everything and my perception is that the alleged business practices of the Apollo Education Group make me question the quality of education provided.