The U.S. Department of Education faces challenges as President Donald Trump’s plans to close the department highlight essential functions that cannot be ignored. Despite a massive reduction in staff, the student loan office is now on a hiring spree.
FSA’s Hiring Initiative
According to internal documents seen by NPR, the Office of Federal Student Aid (FSA) is set to add around 380 new employees. This surge follows the drastic cut that left FSA with roughly half its previous staffing levels. As of April, FSA had 731 full-time equivalent staff (FTEs), down from 1,440, and plans to hire an additional 334 FTEs to meet its goals.
FSA is vital to managing the $1.7 trillion student loan portfolio. It handles borrower communications, repayment plans, and the Free Application for Federal Student Aid (FAFSA).
“Our jobs matter,” said Rachel Gittleman, president of AFGE Local 252 and former FSA staffer.
The hiring wave includes roles that mirror positions eliminated during the previous year’s downsizing. Ellen Keast, higher education press secretary, explained that reorganizing the education bureaucracy does not eliminate essential programs.
Administrative and Financial Challenges
The cost of recruiting and training employees remains uncertain, with FSA handling new repayment plans and loan limits. The U.S. Government Accountability Office (GAO) found that important tasks, such as verifying loan servicer records, were halted post-cuts.
Education Secretary Linda McMahon conceded in a public appearance that cuts went too deep, with some staff returning to address critical needs.
Structural Reorganization
Concurrently, McMahon promotes new agreements to shift departmental responsibilities to other agencies, like the Treasury Department. Despite agreements, it is still Education Department staff managing those tasks.
A Senate hearing revealed confusion over interagency moves. McMahon indicated similar personnel from Education now serve in other departments, causing surprise among lawmakers like Sen. Tammy Baldwin.
A former FSA staffer, who was laid off, expressed interest in reapplying for a similar role. They noted changes in the application process, including questions about commitment to presidential policies and priorities, hinting at a demand for loyalty to the administration.