What's Happening?
The U.S. Department of Education (ED) is set to transfer some of its staff to the Department of Labor as part of an interagency agreement aimed at outsourcing several higher education grant programs. This move, announced on Thursday, involves the Higher
Education Programs Division of ED’s Office of Postsecondary Education. The transition is part of a broader strategy to streamline bureaucracy by having the Labor Department administer these grant programs, while ED will continue to set budgets, criteria, and priorities. The initiative has sparked criticism, with Rachel Gittleman, president of the union representing ED employees, labeling the move as unnecessary and unlawful. She argues that it will create confusion for grantees and chaos for staff, weakening oversight and increasing the risk of fraud, waste, and abuse.
Why It's Important?
This transition is significant as it represents a major shift in how federal education programs are managed, potentially affecting the efficiency and effectiveness of grant administration. The move could impact historically Black colleges and universities and other minority-serving institutions that rely on these grants. Critics argue that transferring responsibilities to an agency with no educational expertise could undermine the quality of oversight and increase the risk of mismanagement. This change also reflects broader efforts to reduce the size of the Education Department, which could have long-term implications for federal education policy and the support provided to educational institutions across the country.
What's Next?
As the transition unfolds, both the Education and Labor Departments will need to provide additional guidance to grantees to ensure a smooth transition to the new grant and payment management system. Stakeholders, including educational institutions and unions, are likely to continue voicing concerns and seeking clarity on how the changes will affect their operations. The effectiveness of this transition will be closely monitored, with potential adjustments needed to address any emerging challenges or inefficiencies.









