Thread regarding Zenith Education Group layoffs

Salary scales for Admission Representatives should be right sized. $45k-$60k plus bi annual bonuses for performance & escore.

Little does the person who posted that know that it's against Title IV to pay bi annual bonuses for performance & escore. The only "bonus" that can be paid is at graduation, and that's only a direct result of November court case where the Department of Ed was told to go support its position. Instead of going through the rule making process, the Department of Ed abandoned the restriction. That said, in 80 FR 73991 the Secretary wrote, "In assessing the legality of a

compensation structure, the Department will focus on the substance of

the structure rather than on the label given the structure by an

institution. Thus, although compensation based on students' graduation

from, or completion of, educational programs is not per se prohibited,

the Department reserves the right to take enforcement action against

institutions if compensation labeled by an institution as graduation-

based or completion-based compensation is merely a guise for

enrollment-based compensation, which is prohibited. Compensation that

is based upon success in securing enrollments, even if one or more

other permissible factors are also considered, remains prohibited."

https://www.cooley.com/ed-issues-new-incentive-compensation-guidance

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| 771 views | | 2 replies (last February 16, 2016) | Reply
Post ID: @OP+FXnDpRk

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Actually the pay system CCi had in place years ago was the best system. Recruiters were paid on a commission basis but it was broken down into three segments. The first segment was a small percentage upon enrollment. The second segment was a slightly larger percentage when the student stayed past the first two weeks of class. The third segment was the largest percentage after the student graduated. With that system the recruiters received the majority of their commission only if the student made it through the entire program and graduated. It was in the recruiters best interest to recruit only students that had the best chances of graduating. The government didn't realize that was a better guarantee that students would graduate, become employed and pay their loans off. By outlawing recruiting commissions they have forced colleges to pay their recruiters a straight salary and attach quotas that they must meet. This forces recruiters to sign anyone that can fog a mirror.

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Post ID: @1orb+FXnDpRk

Anyone that has been in the industry for a while knows you cannot give a Rep incentives to lie or cheat to secure an enrollment. If the student graduates obviously Rep did their job or student would have dropped out which means Grad Bonuses could be legal. However many companies paid Reps higher salaries to make up grad bonuses etc. A bonus is not a requirement from any company.

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Post ID: @1nik+FXnDpRk

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