Education Department Cuts 1,300 Jobs Amid Student Loan Shakeup
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The U.S. Department of Education has announced layoffs impacting nearly 50% of its workforce, just days after President Donald Trump stated that handling student loans should not be the agency’s responsibility.
Education Secretary Linda McMahon defended the move as a step toward efficiency, but critics argue it could disrupt essential student loan services. Lawmakers warn that shifting loan management to another agency—such as the Treasury or Small Business Administration—could cause delays and uncertainty for millions of borrowers.
With the future of federal student aid now in question, experts caution that the transition may lead to administrative chaos and delayed financial assistance for students.