press release

NWLC Condemns Education Department’s Targeted Exclusion of Non-Profits from Public Service Loan Forgiveness Program

WASHINGTON, D.C. – The Department of Education will soon publish a final rule to allow the Education Secretary to exclude select non-profit and government employers from participating in the Public Service Loan Forgiveness program. This move unlawfully expands the Department’s power and weaponizes a program that has assisted student loan debt from borrowers employed by public service organizations, including non-profits, the military, the Peace Corps, local and state governments, and social services.   

The National Women’s Law Center (NWLC), which along with 63 civil rights and advocacy organizations submitted a comment opposing the change prior to the rule being formalized, issued the following statement:

“Congress determines whether an employer is an eligible public service or non-profit, not the Department of Education. This rule harms borrowers who have dedicated their careers to public service, the organizations that depend on this support, and the communities they serve,” said Alison Gill, director of nominations and democracy at NWLC. “The Department is unlawfully undermining the Public Service Loan Forgiveness program by inserting an ideological test and threatening organizations whose work does not fall in line with the Trump administration’s political agenda. This illegal power grab not only unfairly burdens hundreds of thousands of Americans who serve the public interest with billions of dollars in debt, it will hurt state and local governments and non-profit organizations. The effects of this rule will be felt widely and will disproportionately harm marginalized people including Black, brown, indigenous, LGBTQ+, immigrant, low-income communities, and people with disabilities.”