Restoring Public Service Loan Forgiveness Executive Order #14235 Date Issued: March 7, 2025 Topic: Education, Economic Opportunity
WHAT DOES THIS EXECUTIVE ORDER DO? Congress established the Public Service Loan Forgiveness program (PSLF) in 2007 to incentivize highly skilled workers to take jobs in the public sector. After ten years of student loan payments, the program forgives the remaining loan balances for employees of government agencies and many nonprofits. This order amends the eligibility criteria for the PSLF to exclude organizations that engage in “improper” or illegal activity. The order targets “activist organizations” that engage in “illegal discrimination,” including diversity, equity, and inclusion work. The order also alludes to removing organizations that participate in civil disobedience or protests from PSLF eligibility, citing organizations that violate laws against disorderly conduct and obstruction of highways. The order also singles out organizations that support immigrants of all legal statuses, stating that those that “support terrorism,” including cartels, and those that are “aiding or abetting violations of Federal immigration laws” do not qualify for PSLF. The order specifically cites 8 U.S.C. 1325, a law stating that unlawful entry into the United States is a misdemeanor offense. The order refers to organizations that assist transgender children in accessing gender-affirming care as engaging in child abuse and moves to exclude their employees from the PSLF program.
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