States Move the Needle on Skills-Based Hiring

 

In the past two years, 25 states committed to remove unnecessary degree requirements from public sector jobs. We study the impact of these actions on public perceptions and job posting behavior.

In the past two years, 25 states took action through executive orders and legislation to remove unnecessary degree requirements from public sector jobs. In this paper, we study the impact of these actions on public perceptions, news coverage, and job posting behavior in the months following the first set of states. We uncover important shifts in both public awareness and in the behavior of the state actors in the months after the passage, including increased public awareness of the “paper ceiling” and an increase in job postings available to STARs.

Awareness of STARs and skills-based hiring is growing

Our tracking of public opinion shows that awareness of the “paper ceiling” and the associated degree barriers, stereotypes, and misconceptions has increased 50% over the past year. Awareness of STARs as a vast, overlooked, diverse, and skilled workforce has grown at almost the same rate.

Media mentions about skills-based hiring and efforts to remove unnecessary degree requirements grew by 58% from 2022 to 2024.

Key state jobs became more available to STARs in the 12 months following state actions

We looked at the first fifteen states to take executive or legislative action on degree requirements. In the 12 months following their commitment, they removed degree requirements from a wide range of jobs including financial managers, human resources, and health technologists. These are critical in-demand roles that offer economic mobility opportunities to STARs.

The State of Colorado shares learnings about how to transition to skills-based hiring

An early mover on skills-based hiring, the State of Colorado, modelled a strategic approach to shifting hiring behavior across a large complex organization. By setting a vision, creating accountability for leaders, and investing in tools and training for front-line staff, the state implemented a comprehensive change. While still a work in progress, Colorado has reduced degree requirements, changed the way they write job descriptions, developed over a dozen new work-based learning programs.

“We are creating opportunities for everyone, not just those with education. We want to draw on all kinds of experiences… Now we have an opportunity to recruit this talent and retain them.”
— Melissa Walker, Director of Workforce Solutions, Colorado Department of Personnel and Administration.

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