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- Job adverts that don't list a degree requirement have increased by 90% in the UK, LinkedIn says.
- Recruiters are focusing more on skills-based hiring rather than degrees or qualifications.
- Major firms including IBM, Google, and Tesla are hiring more based on skills over qualifications.
New graduates are in for some bad news as recruiters shift focus from degrees and qualifications to skills-based hiring, new LinkedIn data finds.
There was a 90% increase in the number of UK job adverts that didn't list having a degree as a requirement between 2021 and 2022, according to LinkedIn findings shared with Insider.
Additionally, globally recruiters are increasingly likely to search for candidates based on skills rather than degrees, according to LinkedIn's Future of Recruiting report 2023, which found that 20% of jobs listed in the US do not require a four-year degree, up from around 15% in 2021.
This shift is likely to intensify going forward, LinkedIn found. 75% of recruiting professionals anticipate skills-first hiring will become a priority for their company over the next 18 months, per the Future of Recruiting report.
Companies that have historically had rigorous and strict criteria for hiring, such as specific degree requirements, are walking back these demands in job listings. Companies including IBM, Accenture, Dell, Bank of America, Google, and Tesla are among those that are increasingly hiring based on skills.
"Degrees will always be critical for certain jobs but there are a number of exciting opportunities and alternative routes out there for people who didn't go to university," Josh Graff, managing director for LinkedIn's Europe, Middle East, Africa, and Latin America businesses, said.
"It's positive to see that businesses - such as IBM and Kellogg's UK — are thinking more broadly about how to find and nurture talent. By removing unnecessary barriers in the hiring process, we can help level the playing field for job seekers and bring a diverse range of talent, fresh perspectives, and ideas into organizations."
LinkedIn's latest Future of Work report found that 92% of US executives think people skills are more important than ever. The fastest-growing in-demand skills in job listings since November 2022 include communications, flexibility, professional ethics, social perceptiveness, and self-management, per LinkedIn.
Billionaire Elon Musk, who head five companies including Tesla, is among the most prominent business people to be skeptical of the usefulness of college degrees.
Musk said colleges are "not for learning" but a place to have fun at the Satellite 2020 conference. He pointed to notable examples of successful college dropouts like Bill Gates and Larry Ellison.
Meanwhile, big four firms like KPMG, PWC and Deloitte are noting an increase of pandemic graduates who lack professional skills like communication, collaboration, or doing a presentation.
They've had to offer extra training to help new recruits adapt to the workplace, suggesting universities and colleges are not doing enough to prepare young people for the world of work.