Last week the University of Phoenix announced it was planning to lay off some 700 employees, because it was expecting enrollment at the for-profit school to decline due to coming federal regulations about how much government-backed debt for-profit schools can force upon students.
Well yesterday the Washington Post Company’s Kaplan Higher Education, which owns several for-profit colleges, announced that it was planning to lay off about 770 employees. According to a piece in Business Wire:
Kaplan Higher Education (KHE) informed employees today that it will eliminate about 770 positions, approximately 5 percent of its workforce.
“Our enrollments have slowed recently, as they have at other proprietary schools. More importantly, we have made a strategic decision to become more selective in the students we enroll, focusing on students who are most likely to thrive in a rigorous academic environment and meet their financial obligations. These factors have led to a shift in our personnel needs,” said Jeff Conlon, president and CEO of KHE. ”These are difficult decisions to make, but necessary if we are to maintain the same high quality education and support services our students expect.”
In other words, Kaplan is expecting an enrollment decline due to coming federal regulations about how much government-backed debt for-profit schools can force upon students.