EDMC Reduces Staff
Career College Central summary:
Education Management Corp. continued its cost-cutting last week with a systemwide reduction in corporate staff of almost 500 jobs.
Tyler Gronbach, senior vice president of corporate communications, confirmed that less than 2 percent of EDMC's 23,000 employees were cut. He said he didn't know how many were cut at EDMC's Pittsburgh headquarters.
Gronbach said the reductions were made as the for-profit education company realigned certain roles. With recent declines in enrollment, he said the goal is to scale to workforce based on student population.
In August, EDMC (Nasdaq: EDMC) reported a loss of $268 million, or $2.15 per diluted share, for the 2013 fiscal year. This compared to a loss of $1.51 billion for the prior fiscal year.
Due to declining enrollment, at the end of June, the company had to cut about 90 positions at its downtown Pittsburgh offices.
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PITTSBURGH BUSINESS TIMES