Aren't most large organizations bound by contracts that are set at the start of the deal? I don't think most large institutions (districts for eg) are affected by these changes in the short term.
Even for a major school district, they're millions (or more) times smaller than Google, and don't have the support of their constituents (tax payers) to push back.
There's a huge difference between B2C products (where terms can change at any time) and B2B products.
https://workspace.google.com/terms/2013/1/premier_terms.html
And for the education offering, it's there too.
> Google may make commercially reasonable changes to the Services from time to time.
> Google may change the terms of this Agreement from time to time ... These changes will only take effect at the beginning of Customer’s next Order Term, at which time Customer’s continued use of the Services will constitute its acceptance of the changes.
I know my company has warnings about using free services - including google - for work purposes. We instead have contracts with alternate suppliers. (I can search the web with google, but that implies I'm looking for something public - I'm not allowed to upload anything company private to Drive) Sometimes the alternate is better, often worse - but always our lawyers have verified legal things that I prefer not to care about.
Even as a large company we do sometimes buy the same contract as you would as a consumer (well, assuming you actually pay to use a web site, which seems unlikely). However even then we ensure that there are strong legal language about how the terms of service can change.
Big customers, including schools, sign multi year contracts and they pay (this is called "consideration" in a contract). Eng teams throw parties when the last old contract expires and they can turn off legacy monster system.
Obviously, free stuff isn't free forever.