American companies are hung up on the diploma.
Facing a long-term labor shortage, employers are looking to expand the pool of potential workers. One group—people without a college degree—holds particular promise. They make up nearly two-thirds of the U.S. population over 25, and traditionally have been ineligible for many managerial and technical positions.
A push by some companies to eliminate degree requirements has opened the door to more candidates. Yet the share of jobs that went to those candidates barely budged after the requirement was lifted, according to a new analysis.
There are several explanations for the plodding progress, from automated screening tools that favor college graduates to the difficulty of changing hiring managers’ long-held beliefs about the value of a bachelor’s degree.
Many employers say they know time and demographics aren’t on their side. Baby boomers are aging out of the workforce, U.S. birthrates are low, and shifting immigration policies make it difficult to count on reinforcements from abroad. Meanwhile, college enrollment is on the decline. Only 38% of Americans over age 25 have at least a bachelor’s degree.