Labor shortage, diversity efforts prompt new thinking on degree requirements

Not so long ago, employers emphasized the importance of four-year college degrees for a wide variety of positions, even if they couldn’t articulate exactly why such a credential was necessary. But now, a labor shortage—worsened by COVID-19 but not entirely created by the pandemic—along with a desire to increase workplace diversity are helping to fuel an attitude adjustment among many employers, spurring them to reason that if a degree isn’t necessary for a position, why require it?

Employer change of heart

In April, job site Indeed for Employers reported results of a survey of 502 employers across the country aimed at understanding how the pandemic has affected recruiting and employers’ future plans. Among the results: a revelation that most employers would consider eliminating their degree requirements.

The survey found that 75% of employers surveyed had a degree requirement, but 59% of those said they would consider eliminating it in the future. “This trend is even more pronounced among large employers: 67% of companies with 1,000 or more employees would consider doing away with the college requirement, compared to 53% of businesses with 10 employees or fewer,” Indeed reported in a blog post about the survey.

The research shows that 30% of respondents said ending the requirement would help them reach more diverse talent, and 26% said an applicant’s degree rarely matches the industry.

If employers change their degree policies, how should they assess candidates? The Indeed post points to options.