The established method for advancing in one's career is losing its effectiveness. It's no longer the case that simply getting a degree guarantee career success; rather, companies are now more frequently assessing applicants based on demonstrable skills—along with evidence that substantiates them.
TL;DR
- 86% of employers value non-degree certifications for job preparedness, highlighting a shift from degree-only reliance.
- Academic degrees still matter for 68% of hiring managers, but evidence portfolios are increasingly crucial.
- Practical experience is considered as important as, or more important than, formal education by 78% of hiring managers.
- Focus on acquiring current, relevant skills and technological abilities is paramount for career advancement.
A fresh analysis from Western Governors University, unveiled today and exclusively shared with Coins2Day, highlights this change: a significant 86% of employers now consider non-degree certifications to be meaningful signs of preparedness for employment. Scott Pulsipher, the institution's president, stated that rapid technological advancement necessitates that workers, regardless of age, gain skills that are currently sought after, thereby making continuous education more commonplace.
“The pace of change and the skills required to be highly productive in the world of work, it’s accelerating, meaning it’s just shortening the shelf life of the skills that we have,” Pulsipher told Coins2Day.
However, academic qualifications are certainly not unimportant. The study revealed that 68% of hiring managers continue to view degrees as significant.
“Degrees actually still matter quite a bit, and what we’re seeing is that hiring decisions are increasingly relying on a portfolio of evidence,” Pulsipher said. In some instances, the combination of a work-relevant certification or degree with experience can double a candidates’ chances of getting hired—as compared to lacking a credential.
Distinguishing valuable information from irrelevant data during skill enhancement.
The significance of certifications that showcase expertise varies across different professional paths. While these credentials are in high demand within sectors such as IT, building trades, and medicine, their impact is diminished in occupations like law, customer service, and advertising.
But even in fields where credentials matter, finding the right ones can be overwhelming. Pulsipher noted that of the millions of credentials floating around the education and workforce landscape, “probably less than 1%” are truly industry-recognized and worth a candidate’s time.
For individuals in the technology sector, he highlighted NICE certifications concerning cybersecurity and CompTIA certifications as esteemed and broadly recognized. WGU frequently integrates these into its academic curricula.
Pulsipher suggests that to discover the correct career trajectory, one should begin with the occupation itself, rather than the qualification. Following an examination of roles with significant demand, pinpoint the necessary competencies and locate educational routes that culminate in credentials recognized by the industry, linked to those specific abilities.
It's also crucial that, regardless of the circumstances, individuals make certain that any skill enhancement is current and pertinent to their professional aspirations. However, above all else, you'll always benefit from refining your technological abilities, irrespective of your industry or position: “It just is impacting everything.”
The evolving compensation trends within the labor market
Beyond qualifications, the study revealed that 78% of hiring managers consider practical experience to be as important as, or more important than, formal education. Pulsipher noted that early-career individuals, specifically, tend to underestimate the significance of practical, on-the-job learning.
“It’s not about how you acquired what you can do—it’s what do you know and what can you do with what you know,” he said.
This approach is increasingly reflected among business leaders. At Palantir, for example, educational pedigree matters little once someone is hired. Working for the tech giant is becoming its own form of credential “separate from class or background,” according to CEO Alex Karp.
“If you did not go to school, or you went to a school that’s not that great, or you went to Harvard or Princeton or Yale, once you come to Palantir, you’re a Palantirian—no one cares about the other stuff,” he said during an earnings call earlier this year.
“This is by far the best credential in tech. If you come to Palantir, your career is set,” Karp added.
And it’s not just tech. Across industries, top employers aren’t “even talking about degrees” anymore, the Great Place to Work CEO Michael Bush, previously told Coins2Day. “They’re talking about skills.”
