Phoenix-based Apollo Education Group Inc., the parent company of the University of Phoenix, announced Tuesday that one of its top executives is stepping down.
Brian Swartz, Apollo’s chief financial officer and senior vice president, will stay on through May 15, although his temporary replacement, Joseph D’Amico, starts immediately, according to a company statement and regulatory filings with the U.S. Securities and Exchange Commission.
Swartz said in a statement that he’s resigning to “pursue a new direction,” but no additional details were provided.
D’Amico is Apollo’s former president and chief operating officer, who retired in 2013.
Company filings with the SEC show D’Amico will earn $80,000 per month in his new interim position, but he won’t receive any benefits like health care or a retirement plan. Apollo hopes to find a permanent replacement by the end of November.
The turnover comes at a time when Apollo has been seeing a decline in enrollment and revenue. The company lost $34 million during its second quarter which ended Feb. 28, while enrollment at its flagship higher-learning institution, University of Phoenix, dropped by more than 14 percent year-over-year.
The for-profit higher education industry has been struggling overall in recent years and the quality of its education still faces widespread skepticism.
For instance, Corinthian Colleges shut down its remaining 28 campuses earlier this week, including Everest College Phoenix and Everest Online Tempe. Corinthian previously had about 100 schools within its network, but was forced to shutter or sell those assets last year when the U.S. Department of Education withheld student aid money over various concerns.
This week's campus closings came two weeks after the Department of Education announced its plans to fine Corinthian $30 million for misrepresentation.
