Higher Education News

More than 33 percent of all four-year public college graduates have too much debt to manage as a starting teacher in Massachusetts according to a new report released today by Massachusetts Public Interest Research Group. MASSPIRG’s report, "Paying Back, Not Giving Back: Student Debt's Negative Impact On Public Service Career Opportunities," estimates the percentage of college graduates in Massachusetts who would have unmanageable debt it they decided to become a teacher or a social worker.

“Public servants like teachers and social workers are vital to the success of our communities,” said Janet Vo, a student at University of Massachusetts-Boston. “Unfortunately, the risk of unmanageable debt is a factor in student’s avoidance of these careers. With a lower rate of students pursuing these public service careers our society will suffer from a shortage of these influential figures in the future. Students should not have to sacrifice a low-paying (although rewarding) career in the public sector because they fear being in debt.”

MASSPIRG examined the student debt of recent college graduates compared with starting salaries for public service careers to determine the percentages of teachers and social workers with unmanageable debt in the state. ‘Unmanageable debt’ was calculated using an economic formula developed by two higher education economists to approximate the salary-to-debt thresholds at which individuals are only able to repay their loans with significant economic hardship.

MASSPIRG found that:

• 33.3% of public college and 50.6% of private college graduates have unmanageable debt as starting teachers.
• Nationally, 37% of public and 55% of private college graduates would have unmanageable debt as starting social workers.

MASSPIRG released this report today as part of a nationwide effort to draw attention to the issue of undergraduate student loan debt. More than 20 state PIRGs released this report.

"This report performs a valuable service by putting numbers to what I've already seen in my own lifetime--higher education costs that continue to double and redouble every few years," said Jason Pramas, chair of the Committee on Higher Education of the UMass Boston Undergraduate Senate. “Students who would like to put the needs of our nation and our planet before their own personal gain are increasingly finding it difficult or impossible to do so. And more and more students simply can't afford to go to college at all. Students have to organize for their right to a fully-taxpayer funded K-16 education system. Or nothing is going to change."

This report comes on the heels of the largest cut to student aid programs in history. In February, Congress passed a $12 billion cut to the student loan programs, mostly from students and parents. This legislation will ensure students begin paying a fixed 6.8% interest rate on their loans starting on July 1st, 2006.

Senator Kennedy said, “The report released today by MASSPIRG should sound an alarm for policymakers at all levels that we must do more to support college graduates who are committed to serving the public good. I commend the MASSPIRG for focusing attention on the crisis in financing higher education that has made it nearly impossible for college graduates to choose careers in public service fields such as teaching and social work because of the substantial college debt burdens they face. The report rightly highlights the increasing cost of college and the urgent need for the Federal government to provide more aid for students interested in entering fields critical to the well-being of our society. I will continue working with my colleagues in Congress to do more for all needy students, and especially those who are committed to serving our society as teachers, social workers, and others dedicated to working in the public sector.”