Linking credentials to earnings

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A new report from the Community College Research Center (CCRC) takes an in-depth look at connecting credentials from community colleges with earnings, showing which types of degrees and certificates lead to good-paying jobs and careers — and which typically don’t.

Workforce development is included in most awards earned at community colleges. More than half (56%) of community college credentials awarded in 2022-23 — including 35% of associate degrees, nearly all bachelor’s degrees, 59% of long certificates and 93% of short certificates — are workforce or career-technical credentials designed to prepare students for jobs, according to the report.

CCRC researchers note that most of these credentials led to median earnings near or above a living wage two years after completion. About half (48%) of the awards are associated with median earnings well above a living wage two years after completion. These are in nursing and allied health technology, industrial and construction technology and trades, and engineering and science technology, according to the report. Almost 30% of the awards are associated with median earnings near a living wage. The largest numbers are in public safety and corrections and computer and information technology

However, nearly one-quarter (23%) of workforce associate degrees were associated with jobs that had median earnings well below a living wage, the report notes. The largest numbers of them are in the fields of business, communications and design, early childhood education, health administrative services and culinary services.

“If community colleges are to build back enrollments and address concerns about the value of a college education, they must ensure that their workforce and transfer programs prepare students to secure good jobs or transfer successfully,” the report says.

CCRC says its report and an accompanying online data tool aim to encourage individual community colleges and states to examine their own data pertaining to community college credentials and jobs. For its analysis, CCRC used federal Integrated Postsecondary Education Data System (IPEDS) data to classify more than 1.4 million degrees and certificates that community colleges awarded in academic year 2022-23, as well as the U.S. Education Department’s College Scorecard and other information.

Underrepresented groups

CCRC also looked at differences based on gender and race/ethnicity. Outside of nursing and allied healthcare, women are underrepresented among workforce associate degree graduates in well-paying, high-demand fields, including computer and information technology, industrial and construction technology and trades, and engineering technology, the report says. Black and Hispanic students are equitably represented among workforce associate degree graduates in nursing and allied health technology but underrepresented in industrial and construction technology and trades and engineering technology.

CCRC notes that underrepresented groups could be crucial in filling an expected demand for middle-skill workers. The data show that the number of associate degrees awarded by community colleges in 2022-23 is below the projected annual demand for middle-skill workers in the fields of healthcare technology, STEM technology, and industrial and construction technology and trades.

Bacclaureates and transfers

CCRC also examined community college baccalaureate programs and transfers. About two-thirds of community college associate degrees awarded in 2022-23 were designed for students who transfer to a bachelor’s degree program, the report says. Nearly 60% of transfer associate degrees are in liberal or general studies, but only 24% of transfer associate degrees are associated with median earnings near a living wage two years after completion, the report says.

Researchers noted that more than three-quarters of community college bachelor’s degrees — virtually all of them in career-technical fields — are associated with median earnings well above a living wage two years after completion. However, the numbers in these programs are growing but still small–fewer than 16,000 compared to more than 1.3 million awarded by public universities in 2022-23, the report says.

The largest number of awarded community college bachelor’s degrees are in business (5,952), followed by allied health and nursing (3,934), and computer and information technology (1,803).

Ascendium Education Group provided funding for the research.

About the Author

Matthew Dembicki
Matthew Dembicki edits Community College Daily and serves as associate vice president of communications for the American Association of Community Colleges.
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