For-Profit Group to Appeal Gainful Employment Ruling

July 6, 2015

The primary trade group for the for-profit sector, the Association of Private Sector Colleges and Universities (APSCU), said last week that it will appeal a federal court ruling over the Obama administration-led gainful employment rules, which went into effect this month.

A federal court in 2012 largely invalidated a previous version of the regulations. But last month a federal judge rejected a legal challenge by the for-profit group to the new rules, which require vocational programs at for-profits (and nondegree programs at community colleges) to meet minimum thresholds with the debt-to-income rates of graduates. A different federal court also upheld the rules in response to a legal challenge by a for-profit association in New York.

APSCU said it would appeal, arguing that gainful employment “needlessly complicates the efforts of new traditional students to achieve a career-focused education that helps them get jobs, and we will continue to fight to keep opportunities open for students who are often struggling to juggle family, work and school.”

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