In January, U.S. President Joe Biden announced a new industrial policy for overcoming degree inflation, a social phenomenon where companies increasingly require college degrees from job applicants, even though the jobs do not need such degrees. According to the president, the related fields of advanced technology will not only include engineers and scientists, but also community college graduates and those without degrees.
In general, the overall success of the policy depends on whether it can truly solve degree inflation, freeing many from the wrath of unnecessarily high education. As a universal issue, degree inflation has long been a stumbling block to the younger generation’s success in other countries.
Over the past few years, Singapore has attempted to address the issue through implementing job specialization programs.
Wedad Sunny, head of marketing and admissions at NUS MBA, talked about the university’s role in providing opportunities for students. With theexperiential core track programs such as the five- day bootcamp and MBA Consulting Project, students enhance soft skills including critical thinking, teamwork, and communication, which are highly sought after by recruiters.
“Technical expertise is no doubt essential in many professions,” Wedad said. “However, soft skills are equally important for future business leaders to effectively interact with employees and other stakeholders.”
Regarding NUS MBA’s stance on degree inflation, Wedad responded that it should be acknowledged in the present that a simple university degree may no longer remain a universal benchmark for mastery of a topic or skill. Keeping pace with rapidly changing job markets, NUS MBA focuses on providing graduates withfirst-hand experience to develop relevant skillsets and lifelong learning attitudes.
South Korea is not an exception when it comes to degree inflation.
Amongst all the social groups affected by degree inflation, employees fresh out of college are one of the groups that have experienced the phenomenon at the front-line.
Kim Min Jae, first year manager at Hyundai Motor Group, spoke up on the unfairness during recruitment caused by degree inflation.
Kim believed that the current system of employment in companies by document screening is an inappropriate way for companies to select the talent they need. Only those with specifications, prestigious college degrees, in particular, qualify for the next screening, which leads to what many job seekers call the “Excel cut” where talented young people without college degrees are overlooked by employers.
Furthermore, people’s perception of junior college is not favorable due to the stereotype that routes in four-year colleges have more opportunities for employment by large corporations.
“There is a strong perception that Korea’s junior colleges are universities where the only job graduates can get into is one at a small or medium- sized business.” Kim said.
On the solution for degree inflation, Kim Hyeongwoo, second year manager at Hyundai Motor Group, explained the need of activation of high school job experience through associations with companies.
“During my high school years, I did not know what I wanted to do,” Kim described. “I thought going to college would solve my problems, but it turned out it did not.”
From his own experience, Kim used an example that using part of the school semester and vacation for students to associate with companies will allow students to have a deeper understanding of emerging businesses and corporations.
Moreover, Kim claimed that alleviating human rights and wages for blue-collar workers is another solution to degree inflation. At the construction siteKim worked at, phrases like “No amount of money will make me work here again” were commonly said among the workers, showing that the current work environment was extremely lacking.
Kim expressed that such complaints existed due to the poor compensation structure for labor in Korean society. If the government properly guarantees the rights of blue-collar workers, the young generation will not shy away from such labor, ultimately presenting them with numerous options other than four-year colleges.
Amidst the social chaos of degree inflation, the semiconductor industry in particular has been struggling with degree inflation.
Kang Hae Ryung, a reporter at Seoul Economic Daily, has been covering the semiconductor industry in South Korea for the past five years.
Kang asserted that semiconductors require meticulous inspection, such as putting the part together which require objective and accurate data that are supported by well-equipped techniques.
“Regardless of degree inflation, higher education is essential when handling complex materials like semiconductors.” Kang explained.
To tear down the “degree ceiling” in the semiconductor industry, Kang emphasized the role of the government. As the Korean semiconductors industry revolves around two main companies, Samsung Electronics and SK Hynix, the level of competition for employment is extremely high, leaving many behind. Subsidies should be allocated to semiconductor companies for the expansion of the market, giving those without college degrees a chance.