In March 2022, then-Maryland Governor Larry Hogan launched a "first-in-the-nation" initiativeto eliminate four-year degree requirements for thousands of government positions. The move aimed to fill numerous job vacancies. Since then, at least 19 states have followed suit, either approving policies to evaluate whether degree requirements should be removed or abolishing them outright.

Policymakers expect these initiatives to help fill state government vacancies by creating new employment opportunities for workers without four-year college degrees. At the same time, these policies may also send a signal to private-sector employers, encouraging them to look beyond four-year degrees and consider other measures of skill,Tameshia Bridges Mansfieldsaid in an email. She is vice president of workforce and regional economies at Jobs for the Future.

Bridges Mansfield noted that this opens the door to employment and advancement for more people. However, although these policies support workers without degrees, some experts believe these changes will not diminish the importance of college diplomas—diplomas will still influence hiring decisions and salary levels.

Ben Wildavsky, a visiting scholar at the University of Virginia and a higher education expert,Ben Wildavskysaid in an email that regardless of what requirements state governments or private employers list in job descriptions, employers are likely to continue to place high value on degrees when hiring. He said, "Higher education is certainly not perfect, but there are good reasons to believe that degrees command a wage premium because graduates develop a broad set of targeted skills that are very useful for building solid careers."

What is driving this trend?

Over the past decade, degree requirements in job descriptions have helped employers screen hundreds of online applications,Ryan Craigsaid. He is a managing director at Achieve Partners and author of the book "Apprentice Nation." Craig said companies use applicant tracking systems to match keywords in resumes with keywords in job descriptions, filtering out applicants with insufficient match rates. "Bachelor's degree" is an important search term in job descriptions, helping to narrow the applicant pool to a manageable size—which makes it difficult for those without degrees to be seen.

However, persistent labor shortages are driving a bipartisan policy movement to remove degree requirements,Nicole Smithsaid in an email. She is chief economist at Georgetown University's Center on Education and the Workforce. She noted that the unemployment rate has been below 4% since January 2022, leaving many state positions chronically vacant.

Additionally, during the COVID-19 pandemic, a growing number of private-sector employers removed bachelor's degree requirements for many middle-skill and some higher-skill positions, includingIBM、Accenture、Google, and Delta Air Lines, among others.

A recent study by LinkedInrecent studyfound that between 2019 and 2022, a growing number of employers emphasized skills over degrees in job listings. In many industries, paid job listings on the platform that did not require degrees grew much faster than those that did—354% faster in financial services, 282% faster in accommodation and food services, and 240% faster in technology, information, and media.

But relaxing degree requirements has not necessarily translated into hiring decisions. According to LinkedIn's research, hiring of workers without degrees in these industries grew far more slowly than the job listings suggested. In accommodation and food services, hiring of workers without professional degrees was only 11% faster than those with degrees; in financial services, 6% faster; and in technology, information, and media, only 3% faster.

The enduring value of college degrees

Wildavsky believes that state laws and "fashionable trends of hiring based on skills rather than degrees" may dampen demand for degrees. However,polls showthat Americans' views of higher education have deteriorated sharply over the past decade. Last year, a survey of 1,000 teenagers aged 13 to 18 showed thatabout three-quarters of respondentsbelieved a two-year degree or technical certificate was sufficient to find a good job, while 41% believed a four-year degree was necessary.

Wildavsky said this is a real problem because it could mislead many Americans, especially those from disadvantaged backgrounds, about the benefits of postsecondary education. Over the past 80 years, the number of people earning college diplomas has surged, fromless than 10% in 1940to 2021, whenabout 38% of adults held a bachelor's degree or higher。

Georgetown's Smith said the fastest-growing occupations are making more intensive use of higher education and training. Ina new report, Georgetown's Center on Education and the Workforce projects that workers will need increasingly higher levels of education to succeed in the modern economy. The report's authors estimate that by 2031, 72% of jobs will require postsecondary education or training—up from about 68% in 2021. The 2031 projection includes 42% of jobs requiring at least a bachelor's degree. Smith said state policies reducing bachelor's degree requirements will not affect this trend. She said, "Although states have removed the bachelor's degree as a requirement for entry-level jobs, they have not removed the bachelor's degree as a requirement for promotion or for advanced positions."

Research also shows that workers with a bachelor's degree earn about75%more over their lifetimes than those with only a high school diploma. Wildavsky said the wage gap arises because employers are increasingly trying to fill jobs that require higher education and skills. He said the wage gap "does not arise because state bureaucrats impose degree requirements in job descriptions." Despite the tight labor market—low unemployment and high job vacancies—Wildavsky sees little reason to believe that thehigh wage premiumassociated with college degrees will decline anytime soon.

Other solutions needed

Bridges Mansfield of Jobs for the Future said skills-based hiring is only the first part of providing employment and career advancement opportunities for workers without degrees. She said that as employers plan for future business needs, they also need to help employees understand what skills they already have and what they need to learn to perform well in their current roles or advance in their careers. Additionally, Pell Grants covering the cost of short-term certificate programs "could be a game changer," Bridges Mansfield said. Congress is considering a bipartisan bill that would allow federal Pell Grants to apply to higher education programs as short aseight weeks—far shorter than the current requirement of at least 15 weeks.

However, even without degree requirements, employers still need to screen hundreds of applications, and this dilemma could ultimately leave early-career workers behind. Craig said, "It doesn't necessarily mean things get easier for job seekers; it just means the screening criteria at the top of the funnel are changing. That doesn't necessarily help people who want to start their careers."

Craig said Colorado's policy could serve as a more effective model for other states to follow. Colorado Governor Jared Polis, a Democrat,Jared Polissigned anexecutive orderin September requiring his state agencies to significantly expand apprenticeship programs. Craig said that in the face of experience gaps, "the only solution is some form of apprenticeship where you actually gain experience."