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Employers dropped the degree requirement — hiring barely moved

ES
Editorial Staff · August 25, 2026 · 5 min read
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A job-posting document with 'degree required' being crossed out and restamped, set against a mostly-unchanged hiring funnel behind it — visualizing the ga.

A 2024 study by Harvard Business School and the Burning Glass Institute tracked more than 11,000 roles at large U.S. employers from 2014 to 2023. It found that even after companies publicly dropped four-year-degree requirements, fewer than 1 in 700 new hires got the job because of that change — most of the shift showed up in the job posting, not in who actually got picked.

Does dropping the degree requirement actually change who gets hired?

Barely, according to the numbers. Among roles where employers formally removed the requirement, the share of new hires without a bachelor's degree rose by 3.5 percentage points. But once researchers adjusted for people who would have been hired anyway, the real effect shrank to under a single percentage point.

The scale of the gap is what stands out. A study by Joseph Fuller, a Harvard Business School professor of management practice, and the Burning Glass Institute put a number on it: of the roughly 77 million people hired in the U.S. in a given year, only about 97,000 landed a job specifically because a degree requirement had been dropped. That's fewer than 1 in 700 — a rounding error next to the roughly two-thirds of American adults who don't hold a four-year degree.

The researchers' explanation isn't that skills-based hiring is a fiction. It's that most employers stopped at the posting. Rewriting a job ad is a one-line policy change; retraining recruiters, resetting applicant-tracking-system filters, and coaching hiring managers to actually screen for skills instead of a diploma is a much longer project, and most companies didn't finish it.

Which employers actually became skills-based hirers, and which just changed the wording?

The Fuller/Burning Glass analysis sorted large employers into three groups by what happened after they dropped degree requirements, and the split was uneven: a minority followed through, most didn't change much at all, and a smaller group backslid.

Employer typeWhat they didResult, per the study
Committed adoptersRemoved the requirement and changed screening and recruiting to matchHired non-degree workers into affected roles at a rate about 18 percentage points higher, on average
In-name-onlyAnnounced the change, updated postingsNo measurable shift in who was actually hired
BackslidersMade short-term gains hiring non-degree workersGains didn't hold; non-degree hiring later fell back down

Employers named in the research as following through — among them Apple, General Motors, Target, Walmart, Minnesota's state government, and the City of Denver — hired non-degree workers into previously degree-required roles at meaningfully higher rates than the rest of the sample. The report is blunt about why most employers land in the other two groups: "successful adoption of skills-based hiring involves more than simply stripping language from job postings."

What happened when a state government tried it at scale?

Maryland offers the clearest public-sector test case. In March 2022, then-Gov. Larry Hogan signed an executive order eliminating four-year-degree requirements for thousands of state jobs, on the reasoning that "people shouldn't be compensated based on their years of education, but what their skills are to do the job."

Maryland employed roughly 38,000 people at the time, and the state estimated nearly half of its jobs could be done by someone without a four-year degree — IT, administrative, and customer-service roles among them. Within three months, according to reporting on the order, more than 300 open state positions no longer listed a degree requirement. The state also partnered with the nonprofit Opportunity@Work, whose CEO Byron Auguste described the goal plainly: "We really want an economy that if you can do the job, you can get the job." Opportunity@Work refers to qualified non-degree candidates as STARs — Skilled Through Alternative Routes.

Maryland's move is a single state's policy, not a national verdict — it shows what's operationally possible inside one large employer with the will to follow through, not what most employers, public or private, actually did.

Do the workers who do get hired without a degree perform once they're in the job?

Here's the counterweight to the discouraging headline numbers: for the small group who did get hired without a degree into roles that used to require one, the outcomes were strong. The Fuller/Burning Glass research found this group had a retention rate about 10 percentage points higher than colleagues with degrees in the same roles, and earned an average salary increase of 25% by moving into the previously degree-gated position.

That's a real signal about the workers themselves, not proof that skills-based hiring at large is working. The sample of people who benefited is small precisely because so few employers changed their actual practice — but among that small group, the bet on skills over credentials paid off, for the worker and, on the retention numbers, for the employer too.

None of this is career, hiring, or legal advice — individual outcomes depend heavily on employer, industry, and role, and the research here covers large U.S. employers, not the labor market as a whole.

Sources

  1. 2014-2023 study of 11,000+ large-employer roles; 3.5-point rise in non-degree hires among roles that dropped the requirement, adjusted to under 1 point; fewer than 1 in 700 of ~77 million yearly U.S. hires benefited (~97,000 people); ~two-thirds of U.S. adults lack a four-year degree; three-way employer split (committed adopters/in-name-only/backsliders) with adopters hiring non-degree workers at a rate ~18 points higher; named adopter companies; 10-point higher retention and 25% average salary increase for non-degree hires moved into previously degree-required rolesHarvard Business School, Institute for Business in Global Society — "Harvard Research: Fewer than 1 in 700 get hired without a college degree" (Joseph Fuller / Burning Glass Institute study)
  2. Framing and direct quote on why posting-language changes alone don't translate into sustained hiring-practice changeThe Burning Glass Institute — "Skills-Based Hiring: The Long Road from Pronouncements to Practice"
  3. Maryland's March 2022 executive order eliminating four-year-degree requirements for state jobs; ~38,000 state employees; nearly half of state jobs deemed eligible; 300+ open non-degree-required positions within three months; Opportunity@Work partnership and the STARs term; quotes from Gov. Larry Hogan and Opportunity@Work CEO Byron AugusteNPR — "Maryland will no longer require four-year degrees for thousands of state jobs"