The Harm of Credentialism on Students, Employers, and the Economy

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Education used to be about learning and developing skills to become a competent and informed individual. However, in recent years it has become more about obtaining a degree or credential to land a job. Educational institutions and employers have become obsessed with credentials, leading to a system of credentialism. Credentialism is defined as the over-reliance on credentials like college degrees, certifications, and licenses in hiring, promotion, and other employment decisions. Here are the harmful effects of credentialism on students, employers, and the economy.

The Harm to Students

Credentialism has created a system that values a piece of paper more than actual skills and abilities. Students are pressured to pursue degrees and certifications, even if they do not align with their interests or talents. This often leads to financial strain, graduating with debt and without job prospects. Moreover, students who do not have the means to obtain a degree, typically from marginalized populations, are excluded from job opportunities due to credentialism. The message that education is only valuable as a means to a job undermines the value of education for the sake of personal growth and learning.

The Harm to Employers

In their hiring practices, many employers rely on credentials to identify successful candidates, without considering if these credentials are relevant to the job. This can lead to the exclusion of many qualified candidates who may not have the means or opportunities to obtain the required credentials. Additionally, employers may miss out on diverse perspectives and skills that can be gained outside of formal education. Employers may also be limiting their own innovation by restricting the pool of potential hires to those that fit into specific, mainstream educational paths.

The Harm to the Economy

Credentialism prioritizes the credential over actual ability, leading to a misallocation of talent and hindering economic growth. Individuals who may be talented and hardworking but lack the required credentials may be excluded from job opportunities that they could excel at. This creates a system where talent is misallocated, hurting both individuals and the economy. Furthermore, credentialism encourages a factory-model of education, where the goal is to graduate students with degrees, rather than to produce well-rounded, critical thinkers.

Solutions to Credentialism

Policy solutions, such as reducing required credentials for certain jobs or masks and curbing employer’s over-reliance on credentials, can help create a more inclusive job market. However, we must also change the way we view education. Instead of prioritizing degrees, we should prioritize learning and skill development. Students should be encouraged to explore their interests and obtain skills, rather than simply chasing degrees. Employers should shift towards skill-based hiring, focusing on actual abilities rather than credentials.

Credentialism has resulted in harmful effects for students, employers, and the economy. It is time for us to move away from prioritizing degrees and start prioritizing learning and skill development. We must rethink the way we view educational achievement and shift towards a system that values actual skills and abilities over credentials. Only then can we create a truly inclusive and productive job market that benefits individuals, employers, and the economy as a whole.