As opposed to what happened before bankruptcy was invented, which was that everything shuts down ANYWAY and everyone gets laid off ANYWAY.
You're not thinking. This is about how we treat people who are left with a debt that they cannot repay, and the weird exception we make for when that debt is for higher education. It is not about their would-be employees. It is not about would-be job creation. It is the relationship of debt-holders with their creditors, and, according to the OP, the people who took out a loan and were able to pay it back. You're trying to make this about something that it is not about.