On March 20, 2025, the U.S. Department of Education, based in Washington, DC, is once again in the spotlight as President Donald Trump is preparing to sign an executive order aimed at its dismantling.
President Trump officially signed the order this Thursday, setting in motion efforts to break apart the Department of Education, an entity responsible for overseeing key aspects such as the nation’s $1.6 trillion federal student loan portfolio, providing financial aid to low-income students, and enforcing civil rights legislation nationwide.
While only Congress has the power to completely eliminate the department, the Trump administration can significantly weaken it by reducing its resources. Earlier this month, nearly half of the department’s employees were laid off, shrinking the workforce from 4,133 at the start of Trump’s term to just 2,183 now.
White House Press Secretary Karoline Leavitt informed reporters that some of the agency’s essential functions, like managing federal student loans, would continue, although operations would be significantly scaled down.
Consumer advocates are expressing their concern about the potentially damaging impact of this move. Mitria Spotser, Vice President and Federal Policy Director at the Center for Responsible Lending, voiced her disapproval, stating, “Today’s decision doesn’t align with the interests of students and families.” She went on to add that it undermines public education, weakens civil rights enforcement, and favors corporate interests over the basic right to quality education.
The U.S. Department of Education, established in 1979 by former President Jimmy Carter, has faced threats of dismantlement before. Notably, former President Ronald Reagan once called for its abolition, and during his first term, Trump attempted to merge it with the Labor Department.
