In a significant trend, 45% of companies are planning to eliminate bachelor’s degree requirements for some positions in 2024, according to a report from Intelligent.com. This follows a pattern from 2023, where 55% of companies already removed degree requirements, especially for entry-level and mid-level roles. The motivations behind this shift include creating a more diverse workforce, increasing the applicant pool, and recognizing alternative ways of acquiring skills.
Diane Gayeski, a higher education advisor for Intelligent.com, highlights the challenges faced by individuals from marginalized groups and lower socioeconomic backgrounds in obtaining a bachelor’s degree. She emphasizes that removing this requirement can open up job opportunities for those who couldn’t attend college due to financial constraints or lack of guidance.
A survey of 800 U.S. employers reveals that 80% are inclined to favor work experience over education when evaluating job candidates. Additionally, 81% consider work experience important for recent college graduates. Industries such as information services, software, construction, finance, and insurance lead in eliminating degree requirements.
Despite the shift, 95% of respondents still require bachelor’s degrees for at least some roles, with 24% requiring a degree for three-quarters of their jobs and 27% for half of their positions. Diane Gayeski points out that while entry-level positions may be accessible without a degree, climbing the corporate ladder may become challenging without the additional soft skills gained in college.
The survey highlights the value of alternative education and training programs, with 75% of respondents valuing certificate programs, followed by 68% for associate degrees, and 61% for online degrees and apprenticeships. Ongoing employee education is a priority for 70% of companies, and 45% offer student loan repayment benefits.
A report by Bain & Co., OneTen, and Grads of Life suggests that over half of jobs don’t require a four-year degree. To attract a more diverse workforce, companies are focusing on industry-specific skills rather than generic degree requirements.
Several state and local governments, including Alaska, Maryland, Minnesota, New Jersey, Pennsylvania, Utah, and Virginia, have already dropped degree requirements for most jobs. Corporations like Walmart are following suit, aiming to improve access to government roles and emphasizing skills and work experience in job qualifications.
While skills-based hiring is gaining traction, LinkedIn data suggests that hiring practices are still catching up and are somewhat influenced by traditional requirements. The shift is evident in job postings but may not be as pronounced in actual hiring practices, indicating a potential gap between recruiters and hiring managers in making this transition.
