Death of the degree

The traditional university degree once served as a ticket to a secure career. But in today’s workforce, particularly in creative and tech industries, practical skills often outweigh formal qualifications.

So, are degrees still worth it? Or are we simply entering a new chapter in how we value education?

Are degrees still worth it?

There was a time when holding a degree was essential. It gave employers confidence in a candidate’s knowledge and discipline. But the pace of change today means theoretical knowledge can become outdated quickly.

Are degrees still necessary for success in every role? Not always. While degrees remain crucial in regulated professions like medicine or law, many industries — especially in tech — now place more value on what you can do, not just what you know. The shift is clear: demonstrable skills and real-world experience are taking centre stage.

Why skills matter just as much to employers

The move towards a skills-first economy means employers now favour candidates who can deliver immediate impact. It’s not just a trend, it’s a strategic response to rapid innovation and the need for agility.

What’s driving this change:

Immediate impact: Employers need people who can hit the ground running. Practical skills — like coding, data analysis, or IT troubleshooting — enable new hires to contribute from day one.
Adaptability: The ability to learn and re-learn quickly is paramount. Hands-on experience often builds this adaptability more effectively than traditional academic pathways.
Cost-effectiveness: Hiring someone with job-ready skills can be more efficient and less costly than onboarding a graduate who still needs significant training.

Alternative learning pathways such as online courses, micro-credentials, and apprenticeships — are gaining serious traction. These options offer targeted, flexible, and affordable ways to build skills and competencies without the time and financial commitment of a full degree.

Hiring tips during a skills shortage

The death of the degree means broadening your talent search. For employers, adapting hiring strategies is crucial in today's tight labour market.

Hays Salary Guide FY25/26 reveals that 84% of hiring managers report experiencing a skills shortage. While this data is accurate, there's a crucial nuance:

Interpersonal skills gap: The most significant shortage right across the board is in human skills like communication and teamwork. While technical skills may exist, a lack of soft skills can stall the hiring process.
Competition and expectations: Other factors causing shortages include competition from other employers, pay, fewer people entering the industry, and a lack of progression.
Application overload: The volume of applications has increased, often with highly exaggerated CVs and AI-generated cover letters, making it harder for employers to discern genuine talent. Candidates are applying for more roles to secure a job, while others are choosing to stay in their current roles rather than compromise on their expectations.

How to adjust your hiring strategy

Consider the following advice when implementing skills-based hiring strategies:

Skills-first job descriptions: Highlight required skills and competencies instead of strict degree requirements in your job descriptions. Incorporate. Use competency-based interviews and practical assessments.
Explore alternative talent: Look beyond traditional universities by considering candidates with vocational training or strong self-taught skills. It opens up a broader, more diverse talent pool.
Invest in training: If your current team is lacking in certain skills, invest in upskilling to address gaps.
Promote internal growth: Support employees in building new skills and exploring different roles within your organisation.
Optimise job ads: Craft job listings that highlight your skills-first approach to attract a broader and more diverse range of candidates.

By focusing on what candidates can do, you can effectively deliver on your talent needs and build a robust, adaptable workforce.

How to future-proof your career

Feeling the decline of your degree's perceived value? Or wondering if a traditional degree is right for you? Your concerns are valid, but opportunities abound.

Discover how you can keep your career competitive:

Research top skills: Identify the most in-demand skills in your sector. Job ads and industry articles are great resources.
Commit to continuous learning: Education doesn't stop. Pursue certifications, workshops, online courses and self-study. Connect with peers to expand your understanding.
Build a portfolio: Showcase your personal projects, volunteer work, or freelance gigs to demonstrate your skills in action.
Leverage your network: Build relationships with mentors, peers, and industry contacts who can connect you with opportunities that value skills over formal qualifications.

The shift toward hybrid learning

While some claim we’re witnessing the death of the degree, it’s more accurate to call it a transformation. Traditional education isn’t disappearing, it’s evolving. Degrees still hold value, but how education is delivered and applied is changing rapidly.

What’s driving this evolution:

Rise of micro-credentials: Short courses and qualifications are becoming more popular, offering focused learning in high-demand areas.
Emphasis on practical skills: Employers are looking for real-world application, not just theory.
Lifelong learning: Continuous professional development is key to staying relevant in an ever-changing workforce.

This shift addresses growing concerns about the relevance of formal education and supports a more flexible, skills-based approach to career growth.

At Hays, we source talent and connect individuals with opportunities, focusing on the power of their skills and potential. We help both employers and job-seekers navigate these exciting changes. Need help with your job hunt or hiring process? Get in touch with your local Hays office today.

Download Hays Salary Guide FY25/26