It's not they are going to do this, the Ministry already started this rule in as early as 2004-12-10.
The problem it trying to solve is that, there are too many low-level buzz-word fancy term majors created in Chinese universities, like "nanotech", "earth science", or "life science".
These majors often only covers a superficial fraction of the subject, and allows quick rote learning only on some intro theory, then quickly issue a diploma. The hardcore part of knowledge is hard thus left to other traditional majors
Why do Chinese have diploma greed? Because diploma is a hyper-inflation profitable industry in China. Nearly every bullshit job requires a BS degree, they employer just want to make the company staff looks "better educated"
These "hot" majors are not really teaching any knowledge, but an easy way to grab a degree, so the students can gain their entry to various job titles. The college make lots of money by expanding cheap majors.
But the students learns too few to start a serious career, so in a competitive job markets these students have much higher failure rate than similar harder majors.
In fact, corrupted officials/businessman can order famous univ. to create a special, private major for themselves, their daughters and sons. They don't even have to spend full 4 year time school to get a very high degree.
In addition, "new & new" majors" name is very similar to other authentic ones (aka ShanZhai majors) but requires a lot less effort to accomplish.
So the Ministry started to ban major frauds, under the name of "low employment rate".
Are they going to cancel or stop funding traditional liberal arts majors? I don't think they are really that stupid. Are there humanities majors effected by this rule? Sure.