I can't agree with you more.
I still have the same question though; what can I do to help them?
In my opinion, most all of these students have a real problem admitting that they have a problem; embarassment, or whatever.
Of course, I have office hours and am available to them; but, I don't have the skillset to help someone become with basic reading a writing skills. Heck, I'd probably do more damage.
There is always the option of a "verbal" test; but, as you pointed out, they've paid 40K for the education. And, whoever hires them expects them… >>>