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U.S. education restructuring under the new Executive Order

Following the recent changes in the U.S. higher education and research landscape (see ACA Newsletter – Education Europe, February 2025), the White House has issued a new executive order signalling the administration’s intent to close the U.S. Department of Education and transfer educational authority back to state and local governments.  

Citing concerns over ineffective federal oversight and the high cost of federal education expenditures (approximately USD 200 billion during the COVID-19 pandemic and an additional USD 60 billion annually) the U.S. administration argues that decentralisation will lead to better educational outcomes. The executive order mandates the Department’s closure while ensuring that existing services and programmes continue to function during the transition. It also requires that federal education funds align with administration policies, specifically calling for the termination of programmes labelled under diversity, equity, and inclusion (DEI) initiatives or those promoting gender ideology. 

The U.S. Department of Education was established in 1979 under President Jimmy Carter to oversee national education policy, distribute federal aid, collect school performance data, and enforce education laws. With a USD 268 billion budget and 4,400 employees, it plays a critical role in student financial aid, special education, and support for disadvantaged students. Advocates for its existence highlight its role in ensuring equitable access to education across states, particularly for marginalised communities. However, critics argue that education should be managed at the state level, free from federal oversight.  

While President Trump’s executive order sets the framework for dismantling the Department, its actual dissolution requires congressional approval. Past attempts to close the Department have failed due to legislative opposition, and the current administration acknowledges it lacks the necessary votes to achieve a full shutdown. The order, therefore, directs Education Secretary Linda McMahon to facilitate the restructuring of the Department’s functions and transition responsibilities to the states where legally possible. 

The National Education Association (NEA), the largest labour union in the United States, has voiced strong opposition to the executive order, warning of its potentially severe consequences for students and educators. The organisation stresses that eliminating the Department of Education would disproportionately harm low-income students and those with disabilities, as it provides essential funding and support services. Another critical concern is the impact on civil rights protections, as the Department plays a key role in enforcing federal education laws that prohibit discrimination.  

Beyond the immediate domestic implications, the restructuring of the U.S. education system has broader consequences for global higher education and research collaborations see (ACA Newsletter – Education Europe, March 2025). Both the U.S. government and universities and research institutions have long been integral to building international academic networks, shaping global research agendas and facilitating student exchanges. The uncertainty surrounding the U.S. federal education policies and funding raises concerns for international partnerships, affecting student mobility programmes, joint research initiatives, and academic collaboration, while undermining global efforts to foster diversity and inclusion in the academic context.