The American Federation of Teachers accused the Department of Education of failing borrowers after a status report showed a backlog of more than 800,000 applications for income-driven repayment (IDR) plans as of Dec. 15. The union, which sued the department earlier in the year over paused IDR and PSLF processing, says the backlog violates borrowers’ rights and undermines prior settlements designed to speed relief. AFT president Randi Weingarten said the department’s staffing cuts and operational failures are prolonging relief for borrowers who have completed required payments. The union noted that only a tiny fraction of eligible borrowers reached the end of their IDR or PSLF processes have received forgiveness to date. The dispute is now both legal and administrative: the department faces court oversight and pressure to clear cases, while institutions and servicers brace for downstream effects on enrollments and financial-aid counseling.
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