Some of the nation’s largest for-profit colleges are suffering steep declines in enrollment amid growing competition, new regulation and government pressure that led to the collapse this month of one of the industry’s biggest players, ITT Technical Institute.
The industry has been losing students for the past six years, but the crisis appears to be deepening with alarming speed. In their latest corporate filings, some schools reported a pronounced drop.
Enrollment at the University of Phoenix chain fell 22 percent this year, to 171,000 students, marking a 70 percent loss since 2010. DeVry University reported a 23 percent drop this year, to just under 26,500. Hondros College, a chain of nursing schools, slid 14 percent.
Meanwhile, community colleges are reaping the benefits.
In Columbus, Ohio, Beth Kulp withdrew from ITT Tech when she heard it was in trouble. She considered other nearby for-profit colleges but feared they might close, too, so she transferred to Columbus State Community College.
“I didn’t want to waste any time or money just to end up where the students at ITT ended up ― with nothing,” said Kulp, 34, who is studying to become a nurse.
For-profit colleges underwent years of rapid growth before seeing their fortunes change. With jobs more plentiful, fewer adults are going back to school, experts say. Traditional universities have lured students away with new online programs.
