- Some employers are dropping degree requirements, but hiring hasn’t significantly increased.
- Employers may not always ask about degrees, yet many still value them.
- Focusing on skills rather than degrees could open opportunities for many US workers.
When job postings say a degree isn’t required, Ranji McMillan worries.
She thinks these jobs, often in sales, don’t match her experience.
McMillan, 42, from Los Angeles, has an associate degree but is struggling to find work despite over a decade of relevant experience.
David Deming, a Harvard professor, notes that while some employers claim to be flexible on degree requirements, they often still prefer candidates with degrees.
This discrepancy creates a “paper ceiling,” especially since only 36% of adults in the US held a bachelor’s degree in 2023.
A recent study showed hiring based purely on skills remains rare, making up just one in 700 hires.
Despite a push for skills-first hiring, some employers remain cautious and often resort to familiar profiles when hiring.
Benefits of Hiring by Skills
Hiring based on skills rather than education can benefit businesses.
Research shows skills-based hiring can lead to better job performance and employee retention.
Despite companies starting to shift towards skills-based hiring, many still default to requiring degrees.
Chris Hyams, CEO of Indeed, pointed out that it’s often the “easiest and laziest filter.”
There’s a notable gap between current job-ready skills and what employers require.
Many workers will need continuous learning. The US Department of Education predicts that 70% of jobs will need education beyond high school by 2027, with more jobs requiring bachelor’s degrees.
McMillan continues her job search, feeling the pressure and uncertainty of her situation.
She reflects that even if she had a degree, it would feel outdated in today’s fast-paced job market.
If you have insights about workplace changes or job searching, we’d love to hear from you.
Contact our team via email at thegrind@businessinsider.com.
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