Spring Arbor University, a small liberal arts school in Michigan, has announced that it will offer loan repayment assistance to its incoming class if students can’t land steady employment after graduation, according to a release posted to its Facebook page.
President Charles Webb says in the release that the program offers “peace of mind” to those who might otherwise not attend college for fear of incurring too much debt in an uncertain economy.
Next fall, the school will automatically enroll freshmen in a loan repayment assistance program that offers the university’s support if students and their families have trouble making loan payments. After graduation, students must work 30 hours per week, and if their incomes don’t rise past established benchmarks, the program kicks in until students make more or pay off the loan.
The program was announced weeks after the millennial unemployment rate hit 13.1percent, compared to a national rate of 7.9 percent, according to the January jobs report from the U.S. Department of Labor. Unemployment has risen sharply among Americans aged 18 to 29, up from 11.5 percent in December 2012 and 10.9 percent in November.
Read more at The Huffington Post.