Public-service unions sue to block Trump administration's student loan rule changes

A group of leading public-service unions, including AFSCME, the American Federation of Teachers, National Nurses United and the AFL-CIO, filed a new suit against the Department of Education to block recent student-loan reforms enacted under the Trump administration. The challengers contend the rule breaches administrative procedure and would negatively impact professions that serve the public. In July, the department announced a $100,000 lifetime borrowing limit for graduate students and a $200,000 limit for professional students, while restricting the higher cap to only eleven specific degree programs.

Although a court has temporarily stopped the narrowed definition from taking effect, the department released an interim list of qualifying programs that the unions say still omits important degrees such as master’s programs in social work, education and public health. Union president Lee Saunders warned that the rule could deepen existing staffing crises in health care, social services and public health. The Education Department maintains that its definition is lawful and will defend it in court. This case adds to several ongoing challenges to the administration’s broader student-loan overhaul.