Linda McMahon's Education Department Cuts Impact Student Aid Access

0:00Hi, this is Alex Cantrowitz, I'm the host of Big Technology Podcast, a long time reporter and an on-air contributor to CNBC. And if you're like me, you're trying to figure out how artificial intelligence is changing the business world and our lives. So each week on Big Technology, I bring on key actors from companies building AI tech and outsiders trying to influence it, asking where this is all going, to come from places like Nvidia, Microsoft, Amazon, and plenty more. So if you want to be smart with your wallet, your career choices, and meetings with your colleagues and at dinner parties, listen to Big Technology Podcast wherever you get your podcasts. Hello, I'm Mortimer, and welcome to this episode of the Secretary of Education Podcast, where we dive into the latest headlines and buzz surrounding the top leader in American education. Today, we're focusing on Linda McMahon, the current U.S. Secretary of Education, under the Trump administration. It's been exactly one year since Secretary McMahon made waves with a massive reduction in force at the Department of Education, laying off nearly half its staff over 2,000 employees.

1:06According to Inside Higher Ed, she called it a significant step toward restoring greatness in the U.S. education system. The department touts successes like the earliest FAFSA launch ever, stronger fraud prevention, and gearing up for big changes via the Working Families Tax Cuts Act. As spokesperson Ellen Keece told Inside Higher Ed, the agency is now more efficient and accountable, but behind the scenes, it's a different story. Union leaders like Rachel Gittleman of American Federation of Government Employees Local 252 save a cuts have left key operations dysfunctional. Experts such as Antoinette Flores from New America warned that backlogs in civil rights complaints, delayed grant inquiries, and issues in the National Student Loan Data System are piling up. Financial aid offices report slower processes and less support, making jobs harder for administrators. Even with some reinstatements in the office for civil rights and short term hires for

2:06student-made, the Supreme Court upheld the layoffs in New York V. McMahon, making fee reversal unlikely. On social media and in policy circles, debate rages over whether this slim-down department can handle its duties. Here is buzzing with concerns about oversight gaps, especially in the Office of Federal Student Aid, where hundreds left and regional offices shuttered. Critics fear increased frog risks, at over 5,000 colleges handling $120 billion in aid yearly. Meanwhile, McMahon is pushing power back to states. Education week reports, she's granting SSA waivers to places like Idaho, allowing high schoolers to pick assessments aligned with career plans. Indiana wants to redirect Title I funds directly to students in low-performing schools, and Alabama I's dual ACT and work keys tests for better workforce prep. Assistant Secretary Kirsten Bezler insists these boost achievement without lowering standards,

3:09but groups like Ed Trust worry about equity and tracking with fewer staff. Just like Louisiana, praise the flexibility for saving money for classrooms. Recently, under Secretary Nicholas Kent, visited Ivy Tech Community College in Indiana, emphasizing workforce education's role in America's talent strategy, per Ivy Tech's news release. And McMahon appeared at a North Carolina event with chairwoman Virginia Fox and Michael Watley for Senate, as noted by Republic Report. These moves spark lively online discussions. Some hail the efficiency in state control, others to cry chaos, and risks to vulnerable students. What's next as mid-term's loom? Thanks for listening to the Secretary of Education podcast, and please subscribe. It has been a quiet please production, and for more info, check out quietplease.ai. Hi, this is Alex Cantrowitz, I'm the host of Big Technology podcast, a long time reporter and an on-air contributor to CNBC. If you're like me, you're trying to figure out how artificial intelligence is changing

4:12the business world and our lives. So each week on Big Technology, I bring on key actors from companies building AI tech and outsiders trying to influence it, asking where this is all going, to come from places like Nvidia, Microsoft, Amazon, and plenty more. So if you want to be smart with your wallet, your career choices, and meetings with your colleagues and at dinner parties, listen to Big Technology podcast wherever you get your