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NBER Research: Employers Don’t Penalize Group Faculty Bachelor’s Levels In Hiring

whysavetoday by whysavetoday
July 12, 2026
in Personal finance
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NBER Research: Employers Don’t Penalize Group Faculty Bachelor’s Levels In Hiring
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ORANGE, CALIFORNIA - Strenger Plaza on the campus of Santiago Canyon College.

Employers responded the identical approach to job candidates holding bachelor’s levels from group faculties as they did to candidates with levels from conventional four-year universities, based on a new working paper from the Nationwide Bureau of Financial Analysis (NBER).

Researchers from Bowdoin Faculty, Texas A&M, Northwestern, the College of Texas at Dallas, and the College of South Carolina submitted 4,698 fictitious resumes to 1,570 actual early childhood training job postings in Texas and Washington over 17 weeks.

The resumes had comparable work histories and differed primarily within the credential listed: an affiliate diploma, a group school baccalaureate (CCB), or a bachelor’s diploma from a four-year establishment.

The outcomes? No noticeable distinction in hiring.

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Why It Issues

Group school bachelor’s levels are spreading rapidly and group school enrollment itself is climbing, led by conventional college-age college students. However till now there was nearly no experimental proof on whether or not employers take these levels significantly. That is the primary examine to check the query, and employers confirmed no measurable choice among the many three diploma varieties.

By The Numbers

  • 24 states now enable group faculties to award bachelor’s levels.
  • The share of group faculties providing them grew from 2.1% in 2004 to 16.5% in 2022, and annual levels awarded greater than quadrupled, from 3,327 to 16,059.
  • Roughly 22% of candidates acquired an interview request, no matter diploma sort. One other 10% acquired a request for extra data.
  • Solely 13% of the job postings required a bachelor’s diploma.

In an accompanying survey, employers stated expertise, persona, and reliability drive hiring choices. Texas employers have been considerably extra prone to ask CCB candidates for extra particulars about their credentials, a sample not seen in Washington, the place almost 90% of group faculties supply at the least one bachelor’s diploma, in contrast with simply over 30% in Texas.

Key Caveat 

It is a pilot examine in a single discipline marked by persistent labor shortages, and many of the postings did not require a bachelor’s diploma in any respect. The outcomes could not carry over to occupations the place a level works as a tough screening requirement. Additionally, this paper is a working paper and has not been peer-reviewed.

The examine additionally challenges one promoting level of those packages: the financial savings of going to a group school versus a standard 4 12 months faculty. The researchers’ net-price simulation discovered that when grant help is counted, some college students would pay extra per 12 months at a group school than at a four-year establishment. It is a reminder that what households truly pay after monetary help usually appears nothing just like the printed worth.

How This Connects

The findings arrive as faculties rethink the usual bachelor’s path from a number of instructions. Practically 60 faculties are constructing three-year, 90-credit bachelor’s levels that minimize prices roughly 25%, and Cal State authorised shortened diploma varieties throughout its 22 campuses, although college unions have pushed again on the shortened format.

Group school bachelor’s levels assault the identical drawback (price and entry) by altering the place the diploma is earned quite than how lengthy it takes.

Each concepts relaxation on the identical guess: that employers care in regards to the credential, not the pathway. This examine is the primary managed proof that, at the least in a single discipline, the guess is holding.

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Editor: Colin Graves

The submit NBER Research: Employers Don’t Penalize Group Faculty Bachelor’s Levels In Hiring appeared first on The Faculty Investor.

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