Gainful Employment

Issued in 2014, the Education Department implemented the Gainful Employment (GE) Rule to protect students from low-quality postsecondary programs that often left them with unaffordable student debts and non-transferrable credits. Unfortunately, the last administration halted the 2014 GE Rule upon taking office, and then officially rescinded the rule in 2019.

Last week, negotiators serving on the Institutional and Programmatic Eligibility Committee convened for their third and final week-long work period as part of the U.S. Department of Education’s (ED) negotiated rulemaking process.

Last week, members of the Department of Education’s (ED) Institutional and Programmatic Eligibility Committee continued work on a set of accountability regulations, including the gainful employment rule, closing the 90/10 loophole, and strengthening financial responsibility and administrative capability for institutions of higher education.

Blog from TICAS and New America recaps the first week of the new negotiated rulemaking sessions focused on accountability and institutional quality regulations. Issues up for discussion and regulation during these sessions include Gainful Employment, 90/10 Loophole Closure, Financial Responsibility for Institutions, and Ability to Benefit.

Brief provides an overview of the GE Rule, why it’s important to advance equity in higher education, and policy recommendations for how lawmakers can strengthen protections by re-instating the 2014 Rule. The brief also suggest modifications to ensure students, taxpayers, and families are not being harmed.

Recommendations in response to the May 24, 2021 Federal Register notice soliciting input on topics to be included in the U.S. Department of Education’s upcoming negotiated rulemaking. TICAS' priorities focus on better protecting students by addressing predatory practices and holding colleges accountable, as well as by improving the current income-driven repayment system.