Degree Requirements vs. Skills Assessment

Degree Requirements vs. On-the-Job Skills

• In November 2023, a study of 800 companies by Intelligent.com found that 45% of companies are planning to drop degree requirements for some job roles.
• 4 out of 5 employers say they value experience over education when reviewing candidates.
• Companies are increasingly prioritizing demonstrable skills due to the labor shortage and seeking to diversify their workforce.

Why Degree-Free Jobs are on the Rise

• Employers often find recent graduates lacking in professional skills, such as initiative, communication, ownership, and time management.
• Companies are recognizing that college degrees don't necessarily translate to workplace readiness and are investing in their own development programs.
• On-the-job learning is viewed as a more effective way to acquire skills than solely relying on a degree.

High Costs of College

• The real cost of college has increased by 180% between 1980 and 2020, reaching an average of $36,000 annually for public colleges.
• Completing a degree can cost over $300,000 considering tuition, lost income, and student loan servicing.
• The high cost of college is deterring many students, with two-thirds of high school students believing they'll succeed without going to college.

Alternative Learning Paths

• Traditional college courses are not the only way to learn, as alternative options like certifications, apprenticeships, and specialized industry training are gaining popularity.
• These alternative options offer faster and more cost-effective ways to gain valuable skills for specific careers.

College is not for Everyone

• 40% of freshmen who start college will not graduate, highlighting the importance of recognizing that college is not the right choice for everyone.
• Many students graduate with degrees but end up underemployed in fields unrelated to their studies.
• Only two out of five students who enroll in college graduate and get a job in their chosen field.

The Future of Skills-Based Hiring

• While more companies are open to skills-based hiring, there is still a gap between stated policies and actual practice.
• Society needs to continue evolving to better recognize the value of skills over degrees, and create more opportunities for hands-on learning and alternative career paths.