Purdue Unexpectedly Acquires Kaplan University
In a surprising move Thursday, Purdue University purchased for-profit school Kaplan University for $1. The deal allows the Indiana-based school to acquire most of the credential-issuing portion of Kaplan’s higher education business. An estimated 32,000 students and 15 campus locations will be impacted by the acquisition, and Purdue says the new university will not receive state funds. While some experts believe Purdue will increase its access to students, others are concerned over the school taking on Kaplan’s reputation for questionable student recruiting practices and credentials. More on Purdue’s acquisition of Kaplan University is available on Inside Higher Ed. Also check out Cherry Bekaert’s Education Group for details on how. Read More.
DeVry Accused of Misleading Employment and Income Statistics
The Federal Trade Commission (“FTC”) has filed a lawsuit against DeVry University and the DeVry Education Group. DeVry and its parent company are being accused of making false claims regarding the job placement rates and earnings of its graduates. The FTC alleges that the for-profit school claimed 90 percent of graduates land jobs within six months of graduation, and its graduates achieve 15 percent higher incomes one year after graduation than those at all other colleges. On the same day the FTC filed its lawsuit, the U.S. Department of Education issued a limitations notice to prevent DeVry from making deceptive. Read More.
Overall College Enrollment Dropping
After a six-year rise, colleges overall are experiencing their second consecutive year of decreased student enrollments. Although traditional universities experienced slight increases last year, at for-profit colleges like University of Phoenix and Strayer University had the largest enrollment drops. A major factor many contribute to the decrease is an improving economy. With more job openings that don’t require a four-year degree, some high school graduates are taking jobs in construction or manufacturing, or attending technical schools. For the full story, click here .