Free Market Evaluation - Send us your resume and we will give you free feedback
New Study Reveals 2010 as Legal Market Turning Point
New Study Reveals 2010 as Legal Market Turning Point
10 Factors More Important to Law Firms than Your Alma Mater
10 Factors More Important to Law Firms than Your Alma Mater
Number of UK Law Students Increases, Although Job Market Remains Bleak
Number of UK Law Students Increases, Although Job Market Remains Bleak
Emory Creates John Lewis Chair in Civil Rights, Social Justice
Emory Creates John Lewis Chair in Civil Rights, Social Justice
Your profile matches an open legal position. Apply now!
Legal Job Listings
Download PDF

Moody’s: Law Schools Cutting Tuition Are Making a Major Risk View Count: 50

Moody’s Investors Service has warned that law schools are taking risks by lowering tuition to attract more students, according to the Wall Street Journal.

Moody’s states: “In many cases, these reductions simply realign published tuition with what students are paying after financial aid. We do not anticipate the published reductions to result in a sustained increase in demand, though there may be a short-term benefit as price transparency is enhanced.

These strategies carry both reputational and financial risks that must be carefully managed. Despite the desire for greater value, many students still associate price with quality. In addition, failure of predictive models and execution risk could lead to schools missing their enrollment and tuition revenue targets, exacerbating an already increasingly challenged operating environment.”

Get JD Journal in Your Mail
Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!




The outlook for law schools not in the top tier is pretty grim from Moody’s.

“With reduced job prospects, the number of students pursuing a legal education is unlikely to return to previous highs,” Moody’s said. “Like many industries, the legal sector is undergoing notable change driven by multiple factors, including technology and globalization.”

Moody’s believes that law schools not affiliated with larger universities will struggle the most. The reason for this is their dependence on tuition, which can leave the unaffiliated schools vulnerable.

Some legal educators believe that the shrinking pool of graduates will attract more students to law schools in the coming years.

A Moody’s senior vice president, Susan Fitzgerald, does not think this will make a difference.

“Our expectation is that the fundamental restructuring of the legal service industry will continue to lead to fewer jobs, so even with a shrinking pool of graduates, legal placement will likely remain challenging,” she said in an interview with the Law Street Journal.

Moody's: Law Schools Cutting Tuition Are Making a Major Risk by

Tagged: ,

Posted by on May 8, 2014. Filed under Law School News. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

 

 

Job of the Day
Legal Secretary / Legal Assistant position at Florida Health Law firm
USA-FL-Sanford
Sanford/Lake Mary, Florida law firm specializing in health law, civil litigation and medical malpractice has an immediate opening.  We are seeking a reliable and dependable professional candidate...


Apply now

Related Posts: