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Chile education protests continue to rage on for the third day as 110,000 students & supporters marched throughout Santiago demanding education reform. Encapuchados (“hooded ones”) threw molotov cocktails & rocks at riot police as violence ensued.
40 people were arrested included a number of human rights observers. Protests took place around the country today resulting in 227 arrests.
Following the march, Carabineros, Chile’s uniformed police, entered into the central campus of Universidad de Chile which — alongside 25 other university buildings — has been occupied by students sympathetic to the march’s demands. The police intrusion — captured here in an eyewitnesses video— drew fierce condemnation from university chancellor Víctor Pérez.
“Carabineros entered into the central campus without permission, dispersed tear gas inside and hit students with batons. More than 20 students are injured,” said Pérez. “This is unacceptable and we condemn it and call on authorities to put an end to the aggression suffered [here].”
Student leaders rejected recent promises made in this week’s presidential debates, after many left-leaning candidates promised to reform education and address the inequality which protesters allege is rife in the current system.
FECH Andrés Fielbaum said rhetoric of change is completely undermined by a lack of action on the part of the left-leaning Concertación opposition coalition.
“Now we see that all the [presidential] candidates are adopting our plans and copying our position without this having any correlation to what they do in parliament or what the political parties propose,” Fielbaum told The Santiago Times. “On one hand, the Concertación is promising free education and an end to profit, while at the same time they are discussing policies which allow profit making in education.”
MESUP spokesman Manuel Erazo was equally unimpressed by the recent promises of Concertación candidates.
“We don’t believe any presidential candidates, no one responds to the needs of the people,” said Erazo.
Power to the students!
Philadelphia adopting ‘doomsday’ school-slashing plan despite $400 million prison project
June 6, 2013
Days after Philadelphia officials pushed the city one step closer to a so-called “doomsday” education plan that would see two dozen schools close, construction began on a $400-million prison said to be the second-most expensive state project ever.
Pennsylvania’s School Reform Commission voted on June 1 to approve a $2.4 billion budget, ignoring hours of pleas from students, parents, educators and community members who warned the budget would cripple city schools.
The plan would close 23 public schools, roughly 10 per cent of the city’s total. Commissioners rejected a proposal that would have only closed four of the 27 schools that were on the block for closure.
Without the means to cover a $304 million debt, the Philadelphia Inquirer reported, students can expect to go back to school in September without new books, paper, counselors, clubs, librarians, assistant principals or secretaries. All athletics, art and music programs would be eliminated and as many as 3,000 people could lose their jobs.
Only one of five state commissioners voted against the proposal, warning that Republican Pennsylvania Governor Tom Corbett’s administration had not looked hard enough elsewhere for proper funds.
That $304 million windfall is unlikely to be filled because the Republican-controlled Pennsylvania House of Representatives recently passed a tax break for corporations that will cost Pennsylvania residents an estimated $600 million to $800 million annually.
Newly unemployed teachers might consider submitting their resumes to the Department of Corrections, though, with the news that the supposedly cash-strapped government is digging deep to spend $400 million for the construction of State Correctional Institutions Phoenix I and II.
The penitentiary, which is technically two facilities, will supplement at least two existing jails, the Western Penitentiary at Pittsburgh and Fayette County Jail. Pittsburgh’s Western Penitentiary was built in 2003 with the original intention of replacing Fayette County Jail, but the prison has struggled with lawsuits claiming widespread physical and sexual abuse of prisoners.
Scheduled to be completed in 2015, the new prison’s cell blocks and classroom will be capable of housing almost 5,000 inmates. Officials said there will be buildings for female inmates, the mentally ill and a death row population.
Journalist Rhania Khalek noted that the racial disparities in the education system and prison complex, where 60 per cent of all people are of color, have created a literal “school-to-prison-pipeline.”
“In Philadelphia, black students comprise 81 per cent of those who will be impacted by the closings despite accounting for just 58 per cent of the overall student population,” she wrote. “In stark contrast, just 4 per cent of those affected are white kids who make up 14 per cent of Philly students. And though they make up 81 per cent of Philadelphia students, 93 per cent of kids affected by the closings are low-income.”
Source
Photo: Decarcerate PA marching through Harrisburg on the way to protest school closures at the Capitol.
From yesterday’s protest in Morelia, Michoacán against the privatization of public education.
(via fuckyeahmarxismleninism)
For activists in Virginia: Wayside Commons 2013
Saturday, July 13th, the Wayside Center for Popular Education (1100 Mill Pond Road, Faber, Virginia 22938) is hosting the Wayside Commons, a yearly celebration and organizing opportunity for activists and organizers for social justice throughout the region.
There will be food, workshops, socializing, networking, and other activities. Childcare and interpretation will be offered.
RSVP through the title link.
If you are interested in carpooling from Richmond to Faber for this event, please contact Active-RVA either here, on our Facebook page, or at activerva@gmail.com.
Submitted by: http://active-rva.tumblr.com/
(un)Fair Carnival and Musical March,
Oakland Thursday June 6
We are graduate students, undergrads, faculty, workers, lecturers, and others concerned about DEFENDING QUALITY AND ACCESSIBLE PUBLIC EDUCATION and BUILDING SAFE AND SUPPORTIVE WORKPLACES at the UC.
12pm: Start at Oscar Grant Plaza. We’ll be stopping by the hotel where high-level administrators are attending a conference with panels on how to suppress protests and public events like ours.
People’s Public Forum:
If you want to join us just for the People’s Public Forum:
1pm: Converge at Snow Park before we head to the Kaiser Center (300 Lakeside Dr.) at 1:30 for a People’s Public Forum. We are hopeful that the administration will let us speak inside the Oakland Room #1015 as per their original plan, but we are prepared to hold a press conference with speakers outside of the building if they refuse. Come one, come all.
Hello from a Severely Disenchanted Former Democrat
Firstly, I would like to politely ask you to remove me from your records from this date forward. I do not wish to receive any more solicitations through any medium from your organization or party or any of its accompanying PACs.
Secondly, I wish to express my sincere distaste with almost everything your party has done in the last 5-6 years. The President put it quite well when he pointed out to Noticias Univision 23 in Miami, Florida, stating “The truth of the matter is that my policies are so mainstream that if I had set the same policies that I had back in the 1980s, I would be considered a moderate Republican.”
Nothing could be closer to the truth. Your party has slipped its moorings and has floated so far to the right that I can no longer consider myself a Democrat by any stretch of the imagination.
My heart breaks to see a party that I had such hope in for so long disintegrate into this. When we called for a public option, an option our president told us would be kept on the table, we were stabbed in the back behind closed doors as the president promised pharmaceutical companies and medical lobbyists (many of whom poured millions of dollars into his campaign war chest) that the public option was a pipe dream. I am outraged at the complete silence this administration and party has had on the violence that met the peaceful protestors of the Occupy movement. Friends and people I cared about had their limbs broken, were arrested for no reason, and harassed, pepper sprayed, and beaten. And all of this without a word from our benevolent, supposedly progressive president. I’m sick of the hypocrisy on Guantanamo when the president’s plan was never to shut down the facility, but to only move it north onto the US mainland. Now hundreds of men sit in cages, tortured, abused, and being force-fed, many with no formal charges, many cleared for release, and all your party does is blame the Republicans for “stonewalling” which is complete crock.
I ache at the destruction we’ve once again caused around the world by becoming involved in meaningless conflicts throughout the world for no other reason than economic interest. We decimated Libya and put it into the hands of Islamic radicals (who now have vast arrays of weapons and are now turning them against their own people, who we were supposedly “saving”). We continue to terrorize and bomb, extra-judicially, people in the remotest regions of Somalia, Pakistan, Afghanistan, Yemen, and many other countries with unmanned robotic drones, capable of vaporizing great swathes of people and never being seen. And we can never be held accountable for our actions, because Obama continues to insist on the secrecy of the program and refuses to submit to UN or ICJ investigation, all because we’re Americans and we know what’s best. This new prong of the War on (of?) Terror accompanies continued aggression in Iraq with special operations and Afghanistan with both conventional and unconventional tactics. We have also considered arming Syrian rebels and have given equipment and arms to the Bahraini government, which is committing massacres with US equipment, while the media ignores it completely. This is to say nothing of Israel and its systematic degradation and war against Palestine, all of which is funded by the US, with this administration pledging more aid to Israel than ever before.
Our police continue to become more and more militarized, thanks in large part to help from the Federal government and loans. While our schools flounder and our infrastructure crumbles, I get to watch friends rounded up with Armored Personnel Carriers by police officers who, for all intents and purposes, may as well be soldiers in Afghanistan for all their equipment.
Obama is also the first president to assassinate a US citizen (and his 16-year-old son) without any due process or oversight. The labeling of this person as a supposed “enemy combatant” does not grant the right to the government to vaporize him without a trial. Yet, it still happened. And now, with the passing of the NDAA last year, the US government now has a legal basis to authorize force (in the absence of due process) on American citizens on domestic soil.
Your party claims to be sensible about immigration, too, yet under Obama’s administration it is likely to reach 2 million deportations (a record never before met) by 2014. There have been no serious talks of how to reform this broken and often racist system, yet the administration seems quite content on continuing the legacy of America’s exceptionalism while pumping up the rhetoric and pretending to be compassionate towards immigrants.
And despite rhetoric to the contrary, Obama’s administration has stepped up the so-called War on Drugs, a $1 trillion dollar failure. He continues to harass and jail legal medical marijuana dispensaries and refuses to even talk about reforming these laws. Meanwhile, our jail system is overflowing with mostly petty non-violent criminals a great majority of who are poor, uneducated, and of minority racial status.
I could go on for pages about the failed policies, broken promises, and complete 180-turn-arounds that your party has done. To me, a lifelong Democrat, my heart is broken, my faith is shattered, and I am angrier than I have ever been before. While our country and our people reel in pain and sadness from tragedy, from no work, from low wages, from burdening debt that we cannot get out of, we watch as our supposed “People’s Party” hands more and more cash to corporate interests and grinds us under their heel.
The fact of the matter is that Obama (and the Democratic party) have continued almost all of the failed policies of the Bush administration. Whether it’s GITMO, warrantless wiretapping, extraordinary rendition, illegal wars, drone strikes, immigration, and much more, Obama has shown us very clearly exactly where he stands in terms of the American people and their wishes. Your party is now nothing more than Republican Party Lite.
Having said that let me reiterate once again:
DO NOT SEND ME ANY MORE SOLICITATIONS, EVER.
Signed,
Your Friendly Neighborhood Anarchist
Andy Cheadle-Ford is a professional activist in the secular student movement and is passionately involved in many social justice campaigns. He often refers to himself as the “Friendly Neighborhood Anarchist” and strives to show that anarchists are normal, compassionate, and intelligent people. When he is not working or plotting, he is typically enjoying a good book, video games, or a tasty vegan dinner with his friends.
Note: The author’s views do not necessarily reflect those of the national Secular Student Alliance
— —
Submitted by: http://anarch0atheist.tumblr.com/
Hey y’all,
From Free Cooper Union: Graduating seniors from Students for a Free Cooper Union turn their backs while president Jamshed Bharucha continues to disgrace the Cooper community at commencement! Free Education to ALL! #STEPDOWN
The seniors wore their red squares in solidarity with all students crippled by educational debt.
From Chicago to LA, students mass for racial justice
May 26, 2013
1. Chicago Students Stage Citywide Boycott to Protest School Closings
On Monday, May 20, the Chicago Students Organizing to Save Our Schools organized a citywide boycott so that students could join a three-day march in protest of school closures. More than two hundred students participated from high schools across the city. In the morning, students met at Williams Elementary, which the school system ordered to be put on lockdown. From there, we marched three miles downtown, where 26 activists were occupying City Hall in an act of civil disobedience. The action ended with a large rally at Daley Plaza, with speakers ranging from teachers union president Karen Lewis to third grader Asean Johnson. On May 22, as activists occupied the central lobby, Chicago’s unelected board of education voted to close 50 schools. Students and allies are overwhelmingly upset—but the fight for these schools is not over.
—Israel Muñoz
2. After Thousands Walk Out, Philly Student Union Heads to Chicago
I was one of the 2,000 Philadelphia students who walked out of school on Friday, May 17, to assert a student voice in the face of school closings and disinvestment. By Saturday, I was in Chicago joining the struggle against school closings there. Chicago’s closings, like Philadelphia’s, are primarily in black and Latino neighborhoods. After marching through the north, west and south sides of the city, I spoke alongside students from Chicago at Daley Plaza. Next, we marched and held hands around City Hall—where teachers and community members were arrested for sitting in. Students from Philly, Boston, Baltimore and Detroit came to support Chicago’s fight. As students, we will continue fighting in every city until we have the schools we deserve.
—Sharron Snyder
3. Sparked by the LAPD, USC Mobilizes Against Racial Profiling
On May 4, the Los Angeles Police Department deployed 79 officers in riot gear to shut down a peaceful graduation celebration attended primarily by black and Latino students at the University of Southern California. Nine student leaders were arrested, six spent the night in police custody and others were herded off the block and physically assaulted. Charges against arrested students are still pending and await court proceedings on May 30. This incident, along with a string of similar happenings, sparked what has become known as the #USChangeMovement. On May 6, more than 200 students, faculty and local residents sat-in at Tommy Trojan to protest and exchange stories of discrimination and racial profiling at USC and in the greater Los Angeles area. On May 7, more than 1,000 people attended an on-campus discussion with students, the LAPD, the USC Department of Public Safety, the HR Commission and USC senior administration members to seek answers and draft joint solutions. USC students are propelling citywide movement to end racial profiling, excessive force and selective law enforcement—all while embracing peace, intellect and understanding.
—USChangeMovement
4. In South LA, Students Defend Community Schools
In October 2012, Crenshaw High School received notice from LA superintendent John Deasy that the school would undergo a “transformation” starting this summer. Under the transformation, more than half of Crenshaw’s teachers—many of whom are older, black or active in the union—have been rejected from returning. The conversion of Crenshaw into three magnets means students have to reapply—likely pushing many out. This move comes at a time when Crenshaw has been showing improvements through its innovative Extended Learning Cultural Model, which prioritizes culturally relevant education and project-based learning. Connecting Crenshaw with recent upheaval at other black and Latino high schools in South LA, the Crenshaw community has been organizing against the transformation. As part of the Coalition for Educational Justice, Taking Action and the school’s Sierra Club, we’ve given presentations and developed a survey to ask our fellow students about their experiences at the school. The data from the 500 students we’ve collected will be presented at a forum on May 28 for students to voice their opinions about school transformations all over South LA.
—Jonathan Alvarado, Keeja Stewart, Tauheedah Shakur, James Law and Erick Galvan
5. In Sacramento, Trans Justice Hits the Senate
On April 29, dozens of Gay-Straight Alliance club activists joined together in Sacramento for Queer Youth Advocacy Day to rally for middle schools and high schools where all students can succeed. We spoke to legislators about the School Success and Opportunity Act (AB 1266), which makes sure California schools know that transgender students have the full right to participate in all school programs. Students shared their experiences of how not being included with students of the gender they identify with can have disastrous consequences such as forcing them to drop out of school. Others talked about school districts that do allow them to participate fully, like LA Unified, which shows that implementation of this bill is possible and positive experiences can come from it. The bill has now passed through the assembly and is headed for the senate, where we will continue to advocate to keep all students in school.
—Keanan Gottlieb and Logan Henderson
6. Across California, Students Put the School Police State on Trial
When students in California have problems like not getting to class on time, fighting or breaking school rules, schools handle these situations with suspensions, expulsions, and school police tickets that hit youth of color hardest. For the past five years in LA, the Community Rights Campaign has built a student movement that organizes on buses, in our neighborhoods and at city hall and the school district board. We led a fight against the top school police citation—$250 truancy and tardy tickets—and won big changes to that policy last year. We have now joined with other youth and community groups, allies and advocates across the state around a new legislative agenda. Last year we passed five bills to reform zero tolerance policies. This year, in response to the post-Newtown push for more police in schools, we are trying to pass AB 549, a bill that would help limit the role of police in school districts and prioritize funding for counselors, intervention workers and other mental health services. The bill will be headed for a full assembly floor vote if it clears its final committee hearing this week.
—Carlos Elmo Gomez
7. Investments on Check at Middlebury
On Nakba Day, in solidarity with global demonstrations for Palestinian rights, a coalition including Palestinian, Israeli, and American Jewish students staged a checkpoint at Middlebury to call on the college to divest from companies doing business with Israel. At Middlebury, Justice for Palestine has united with an array of campus groups, including environmentalists calling for the college to divest from fossil-fuel companies, to make the call. Politicized by the trustees’ failure to honor their initial commitment to vote on divestment in May, students are refusing to budge from an intersectional analysis of oppression in divestment organizing—for which four students were arrested in March and five were nearly expelled in the fall—and are gearing up for escalation.
—Jay Saper
8. A New Union at Penn
On March 28, after a year of planning and relationship building, subcontracted dining hall workers at the University of Pennsylvania went public with the Justice on the Menu campaign, demanding higher wages and more paid sick days. Alongside student allies in the Penn Student Labor Action Project, workers held a large rally in March, launched a website and video and were featured almost weekly in the campus newspaper this spring. Students also collected over 1,100 signatures in a petition delivered to University President Amy Gutmann. The semester ended with a successful unionization process with Teamsters Local 929 for workers at Falk Dining Commons. As contract negotiations take place in the coming months, students and workers will continue pushing for improved job standards and working conditions on campus.
—Penny Jennewein and Leslie Krivo-Kaufman
9. How Long Will Sallie Mae Profit Off Student Debt?
On May 9, twenty students from the United States Student Association, the Student Labor Action Project and allied organizations met with US Secretary of Education Arne Duncan to discuss the DOE’s relationship with Sallie Mae, the largest private owner of student debt in the country. Sallie Mae made $84 million in profit on federal loan servicing contracts last year alone. The students came to the table to pressure Secretary Duncan to break Sallie Mae’s contract or incentivize the companies processing federal loans to enroll debtors in programs like Income Based Repayment that prioritize helping people with student debt get back on their feet. On May 30, students from across the country are going to Sallie Mae’s shareholder meeting in Newark, Delaware. We plan to pressure Sallie Mae to open up about their relationship with ALEC and their process for paying their top executives.
—John Connelly
10. How Long Will Students Wait for Arne Duncan?
On June 1 and 2, student debt advocates from across the Midwest are coming together in Chicago to discuss a national student debt campaign, the first of a series of regional meetings to tackle educational debt. The campaign’s focus and strategy will be hammered out this summer with participating organizations. Based on existing conversations, the initial goals and strategies revolve around a commitment to quality higher education as a public good that should be affordable and accessible to all. Three areas to advance this long-term goal include: providing support to borrowers currently paying off the existing $1 trillion in debt; addressing causes of declining affordability and quality, including changes to state funding and financial aid policies; and addressing the role of Wall Street and the growing financialization and privatization of higher education without the burden of financial hardship.
—Nelini Stamp
Student power!
Today is a day of mourning for the children of Chicago. Their education has been hijacked by an unrepresentative, unelected corporate school board, acting at the behest of a mayor who has no vision for improving the education of our children. Closing schools is not an education plan. It is a scorched earth policy. Evidence shows that the underutilization crisis has been manufactured. Their own evidence also shows the school district will not garner any significant savings from closing these schools.
This is bad governance. CPS has consistently undermined school communities and sabotaged teachers and parents. Their actions have had a horrible domino effect. More than 40,000 students will lose at least three to six months of learning because of the Board’s actions. Because many of them will now have to travel into new neighborhoods to continue their schooling, some will be victims of bullying, physical assault and other forms of violence. Board members are wishing for a world that does not exist and have ignored the reality of the world we live in today. Who on the Board will be held responsible? Who at City Hall will be held responsible?
Chicago Teachers Union president Karen Lewis commenting on today’s news that the Board of Education has voted to close 50 Chicago public schools.
While only around 40 percent of children in Chicago are black are Latino, 90 percent of children whose schools will be shuttered are black or Latino.
On May 17, 18 & 19 hundreds of people including parents, students and teachers have taken to the streets in Chicago, US, to protest against local education authority’s plan to close public schools
May 19, 2013
The protest, organized by the Chicago Teachers Union (CTU), started on Saturday and is set to last until Monday evening. This comes after the Chicago Central District released a list of 54 elementary and middle schools to be closed before the next school year. The Chicago Board of Education is planning to vote on the closures in the coming days.
City officials say the closures are needed in order to deal with a one-billion-dollar annual deficit. In March, thousands of activists, union leaders, teachers, parents, and students participated in a similar protest in the city.
The closures involve the highest number of schools to be closed down in a single year in any city in the United States. The plan will shift about 50,000 students to different schools, while threatening the careers of more than 1,000 teachers. Over the past decade, at least 70 cities in the US have closed down public schools.
Capitalism’s austerity is diminishing our education infrastructure. I desperately hope to see an escalation of education activism in this country – from unsustainable student loan debt to busted teachers’ unions to mass school closures & the school-to-prison-pipeline. We need a movement to demand massive, drastic, radical reform to the way we address education in this country. I think it’s obvious that people’s frustration is growing.
Middlebury students stage checkpoint, Call on college to divest from Israeli apartheid
Submitted by Jay Saper
May 19, 2013
On May 15, students at Middlebury College in Vermont staged a checkpoint outside their dining hall during the busiest meal of the year to commemorate the 65th anniversary of the ethnic cleansing of Palestine, which led to the establishment of the state of Israel.
As the Middlebury divestment campaign from arms and fossil fuels gains national attention, a coalition that included Palestinian, Israeli, and American Jewish students staged the act of political theater in solidarity with Nakba Day demonstrations around the globe as a call to add apartheid to the students’ divestment demands.
At a midnight breakfast event during finals week, students were greeted in the dark with barricades blocking the entrance to the dining hall and flashlights from full uniformed soldiers asking for identification cards.
Alex Jackman, a junior from New York City, described the checkpoint as “one of the coolest pieces of theater I have seen on Middlebury Campus. Performed during the time when all students are wrapped up in stress about exams and schoolwork, the piece served as a reminder that there are greater battles to fight beyond our campus.”
A gate was lifted for students who had received Israeli documentation. They could pass freely to prepare themselves a plate of pancakes. Those with Palestinian IDs were directed around the checkpoint.
Some students voiced their frustration with being held up, “This is not cool, I am trying to get to midnight breakfast.” One shouted, “I have to study for finals.”
Jackman contended it was important for students to confront the checkpoint. She explained, “Middlebury College students tend to abstract issues of social injustice, a method that allows us to remove ourselves from these issues. But by being confronted, quite literally, with this piece of theater, we were not able to remove ourselves from our privileges—even if only for a moment.”
The performance, developed by students as part of a course on Theater and Social Change and members of the organization Justice for Palestine, was broken up by campus public safety.
“This is not theater, we can tell it is political,” one officer voiced. “Everything that is political has to be approved by the College.”
For Palestinians, checkpoints are not a momentary interruption, but one persistent piece of a dehumanizing system of apartheid. Between 2000 and 2005 there were 67 Palestinian mothers who were forced to give birth at Israeli military checkpoints and 36 of those babies died.
Apartheid is not enabled through merely subjecting a people to oppressive conditions, but rather through creating separate realities whereby a group of people is not forced to confront their implication in the domination of another group.
Middlebury College itself is a settlement on stolen Abenaki land. With its pristine limestone buildings and perfectly manicured grass, Middlebury manufactures an environment seemingly separate from the oppressions it perpetuates, which is itself a political act.
Students at Middlebury are stepping up and refusing to allow a separation of conscience that tolerates inaction in face of the school profiting from Israeli apartheid. Justice for Palestine has one message for administrators, particularly fitting of a midnight action, “We will not rest, until you divest.”
Jay Saper is a student organizer with Justice for Palestine at Middlebury College.
Outraged against austerity, students & teachers in Philadelphia resist the machine of capitalism
May 17, 2013
Dozens to hundreds of Philadelphia students, teachers and school staff protested outside one of the city’s premiere high schools in an effort to fight proposed budget cuts to the district.
Wearing signs and handing out pamphlets to drivers, members of the Philadelphia Federation of Teachers lined the sidewalk outside the Philadelphia High School for the Creative and Performing Arts along South Broad Street Friday morning. The teachers are fighting a series of severe budget cuts proposed by the district to close a more than $300 million funding gap. The proposed cuts include ending arts and music programs, sports and cutting auxiliary staff like secretaries, librarians and counselors.
“With the austere budgets schools have received, schools will not be able to provide a high-quality education for Philadelphia’s children,” said Jerry Jordan, president of the Philadelphia Federation of Teachers. Jordan says the teacher’s union has been discussing labor concessions with the district. However, he says a concession that results teachers taking a pay cut is a non-starter.
“The school district is asking for salary cuts for all PFT members of anywhere between 5, 10 and 13-percent,” he said. “I don’t think that you’ll find employee in the school district and the PFT…who are going to tell you that they can afford to take that kind of pay cut.”
The teacher protest is just the first of many demonstrations planned Friday over the funding flap.
Students from Philadelphia public schools around the city have also walked out of class and are marching on the School District of Philadelphia and Philadelphia City Hall. Similar walkouts were organized last week by students, who also marched on the same spots.
District spokesman Fernando Gallard says staff will not stop students from walking out, but says officials have asked principals remind students that leaving early will results in being marked as cutting. “Schools will follow the district’s attendance policy and will take the appropriate action which triggers at least a phone call to parents to notify them of the student’s absence, a request for a parent conference at the school, or after school detention,” he said.
Students are using Twitter to organize and document their protests. The group Philly Student Union is promoting the hashtag #walkout215 as a digital rally point during the event.
Obama student loan policy reaping… wait for it… $51 billion profit
May 14, 2013
The Obama administration is forecast to turn a record $51 billion profit this year from student loan borrowers, a sum greater than the earnings of the nation’s most profitable companies and roughly equal to the combined net income of the four largest U.S. banks by assets.
Figures made public Tuesday by the Congressional Budget Office show that the nonpartisan agency increased its 2013 fiscal year profit forecast for the Department of Education by 43 percent to $50.6 billion from its February estimate of $35.5 billion.
Exxon Mobil Corp., the nation’s most profitable company, reported $44.9 billion in net income last year. Apple Inc. recorded a $41.7 billion profit in its 2012 fiscal year, which ended in September, while Chevron Corp. reported $26.2 billion in earnings last year. JPMorgan Chase, Bank of America, Citigroup and Wells Fargo reported a combined $51.9 billion in profit last year.
The estimated increase in the Education Department’s earnings from student borrowers and their families may cause a political firestorm in Washington, where members of Congress and Obama administration officials thus far have appeared content to allow students to line government coffers.
The Education Department has generated nearly $120 billion in profit off student borrowers over the last five fiscal years, budget documents show, thanks to record relative interest rates on loans as well as the agency’s aggressive efforts to collect defaulted debt. A spokesman from the Education Department did not respond to a request for comment. A Congressional Budget Office spokesman could not be reached for comment after normal business hours.
The new profit prediction comes as Washington policymakers increasingly focus on soaring student debt levels and the record relative interest rates that borrowers pay as a potential impediment to economic growth. Regulators and officials at agencies that include the Federal Reserve, Treasury Department, Consumer Financial Protection Bureau and Federal Reserve Bank of New York have all warned that student borrowing may dampen consumption, depress the economy, limit credit creation or pose a threat to financial stability.
At $1.1 trillion, student debt eclipses all other forms of household debt, except for home mortgages. It’s also the only kind of consumer debt that has increased since the onset of the financial crisis, according to the New York Fed. Officials in Washington are worried that overly indebted student borrowers are unable to save enough to purchase a home, take out loans for new cars, start a business or save enough for their retirement.
Policymakers also are worried about the effect that high interest rates on outstanding student debt may have on the broader economy. Congress sets interest rates on federal student loans, with rates fixed on the majority of loans at 6.8 and 7.9 percent.
But as the Federal Reserve attempts to lower borrowing costs for everyone from households and small businesses to large corporations and Wall Street banks, student borrowers have not been able to benefit.
Compared to a benchmark interest rate — what the U.S. government pays to borrow for 10 years — student borrowers have never paid more, increasing the burden of their student debt as wage increases and yields on investments and bank accounts fail to keep up with the relative increase in student loan interest payments.
President Barack Obama recently asked Congress to tie federal student loan interest rates to the U.S. government’s borrowing costs. In a possible sign of congressional intent, leading Democratic senators on Tuesday proposed legislation that would keep existing interest rates on some student loans for the neediest households fixed at 3.4 percent, rather than allowing them to revert back to their original 6.8 percent rate.
The legislation, dubbed the “Student Loan Affordability Act” and proposed by Senate Majority Leader Harry Reid (D-Nev.), Sen. Patty Murray (D-Wash.), Sen. Jack Reed (D-R.I.), and Sen. Tom Harkin (D-Iowa), aims to help a small subset of future student borrowers who take out loans over the next two years. The bill does nothing for existing student debtors.
“Today’s figures from the CBO underscore the urgent need for Congress to prevent the July 1 interest rate hike and address the crushing debt placed on students,” said Tiffany Edwards, spokeswoman for Democrats on the House Education and Workforce Committee.
Rohit Chopra, the Consumer Financial Protection Bureau official overseeing the regulator’s student debt efforts, has warned policymakers to not focus solely on future borrowers.
“The whole student loan problem is a problem that should be of deep concern to this body,” said Richard Cordray, CFPB director, during testimony last month before the Senate Banking Committee. “These are young people that we should care a great deal about.”
“They’re the ones with the ambition, aspirations and dreams, and they’re getting saddled with debt that they don’t understand,” Cordray said of student borrowers. “It’s holding them back and it’s making them unable to rise and succeed and become leaders in our society.”
He added: “It’s a significant problem and we’re going to be doing everything that we can to address it at the bureau.”
The CFPB has been focusing on helping existing borrowers refinance high-rate debt or modify the terms of their loans. In a report earlier this month, the CFPB lamented that borrowers are unable to refinance their obligations after they have graduated from college and secured well-paying jobs.
“Corporate entities, homeowners, and many others have been able to refinance debt at quite low rates, and student loan borrowers are wondering why they can’t do the same,” Chopra said.
The CFPB suggests that increased concentration in the student loan market may inhibit refinancings and debt workouts. Lenders and the Education Department profit when borrowers pay higher rates than they otherwise would in a normally-functioning market.
Unlike traditional lenders, though, the Education Department’s profits are barely dented by loan defaults. For loans made in 2013 that eventually default, the department estimates it will recover between 76 cents and 82 cents on the dollar. Bankruptcy rarely discharges student debt.
The Education Department’s collection efforts are aided by loan default specialists, including NCO Group Inc., a company owned by JPMorgan.