Topic Reading-Vol.3575-1/24/2022

MEL School 三鷹


〒180-0006 東京都武蔵野市中町2-3-5 IIHA武蔵野1階

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Topic Reading-Vol.3575-1/24/2022

英語で世界を知ろう!Topic Reading

2022/01/24 Topic Reading-Vol.3575-1/24/2022

Dear MEL Topic Readers,

Top Chinese education company laid off 60,000 people after Beijing’s crackdown last year

Private tutoring businesses had been hot and booming in China until last July when such after-school tutoring businesses for students were banned. It was thought that excessive tutoring services placed too much financial burden on parents and widened the gap between the rich and those who are not. The high education cost also is thought to discourage parents to have more than one child. In fact, there were nearly a million enterprises that provided online and/or onsite after-school tutoring in China with about 10 million employees, 84% of which were thought to have closed by the year’s end. The private tutoring ban sent shock waves to the education industry, parents, property lenders, and investors. China’s largest private education provider laid off 60,000 out of 100,000 employees and contract teachers last year alone. They also spent three billion dollars on refunds, employee compensation, and surrendering of the lease contracts across the country. As a result, their revenue fell 80% and the market value shrank 90%. Now, those private tutoring service companies are struggling to find new ways to find revenues.

Read the article and learn about the impacts of the ban on private tutoring in China.

MEL School 三鷹
住所 〒180-0006 東京都武蔵野市中町2-3-5 IIHA武蔵野1階