Following a Supreme Court decision, Education Secretary Linda McMahon will move forward with plans to dismantle the Department of Education by reallocating its functions to other federal agencies, as part of the Trump administration’s broader goal.
Education Secretary Linda McMahon is set to advance the Trump administration’s plan to dismantle the Department of Education. This follows a U.S. Supreme Court ruling allowing the administration to proceed with plans to dissolve nearly 1,400 positions and distribute the department’s responsibilities among other federal entities.
The Supreme Court’s decision on Monday effectively lifted a lower court order that had stopped the layoffs and questioned the legality of President Donald Trump’s initiative to outsource the Education Department’s functions. With this judicial backing, Trump and McMahon are poised to continue with the department’s dismantling, an effort Trump promoted during his presidential campaign.
President Trump highlighted the strategic shift on Truth Social, stating, “The Federal Government has been running our Education System into the ground, but we are going to turn it all around by giving the Power back to the PEOPLE.” He expressed gratitude to the Supreme Court for their decision.
While acknowledging that only Congress has the authority to fully dissolve the Education Department, Trump and McMahon have noted that its primary roles could be redistributed across various federal entities. One critical decision involves the management of the federal student loan portfolio, which comprises $1.6 trillion and impacts nearly 43 million borrowers.
In March, Trump suggested the Small Business Administration could oversee federal student loans. However, a court filing in June indicated the Treasury Department is expected to assume this responsibility. The Education Department had been in discussions with Treasury regarding a contract, which were paused due to court intervention, and are now expected to resume.
Already, nine Education Department employees have been reassigned to Treasury under a separate agreement, according to court documents. Additionally, an arrangement has been made to outsource the management of several workforce training and adult education grant programs to the Department of Labor, with $2.6 billion allocated to Labor to manage these grants distributed to states and educational institutions.
The agreement posits that combining educational and workforce training programs across the departments of Education and Labor would establish a more coordinated federal approach, potentially streamlining processes and resources.
Further collaboration is anticipated with other federal agencies. McMahon, during her Senate confirmation hearing, suggested that the Department of Health and Human Services could oversee enforcement of the Individuals with Disabilities Education Act. Similarly, she proposed civil rights responsibilities, including enforcement, could be migrated to the Department of Justice.
Democracy Forward, representing plaintiffs in the ongoing legal challenge, has stated its commitment to “pursue every legal option” to advocate for children’s education rights. The group’s federal lawsuit continues, but the Supreme Court’s interim decision allows the Education Department to downsize in the interim.
“No court in the nation — not even the Supreme Court — has found that what the administration is doing is lawful,” said Skye Perryman, president and CEO of Democracy Forward, in a statement.
The decision to reduce the number of employees is a continuation of Trump’s campaign pledge to dismantle the agency. In March, he instructed it to be downsized “to the maximum extent appropriate and permitted by law.” McMahon had initiated significant reductions, resulting in approximately 1,400 layoffs.
The American Federation of Government Employees Local 252, which represents some department staff, noted that affected employees have been on paid leave since March. These employees were protected from termination by the lower court order, though they had not resumed work. Without intervention, these layoffs would have taken effect in early June.
Melanie Storey, president and CEO of the National Association of Student Financial Aid Administrators, indicated that eliminating department staff has already caused operational issues, particularly in student loan services. She reported delays and technical difficulties, including extended outages on the StudentAid.gov platform, noting a deterioration in communication with the department post-layoffs.
“It is concerning that the Court is allowing the Trump administration to continue with its planned reduction in force, given what we know about the early impact of those cuts on delivering much-needed financial assistance to students seeking a postsecondary education,” Storey said.
The reduction in the department’s workforce could impair the federal government’s capacity to enforce civil rights laws, affecting minorities, girls, students with disabilities, LGBTQ+ students, and students of color, according to Gaylynn Burroughs, vice president at the National Women’s Law Center. Staff from the Office of Civil Rights, now reduced, were responsible for managing thousands of cases.
“Without enough staff and resources, students will face more barriers to educational opportunity and have fewer places to turn to when their rights are violated,” Burroughs said in a statement. “This is part of a coordinated plan by the Trump administration to dismantle the federal government and roll back hard-won civil rights protections.”
The Associated Press’ education coverage receives financial support from several private foundations, though AP maintains sole responsibility for its content.
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