Bachelor’s degrees are the new high school diploma.
It is an undebatable fact that if you don’t have at least a BA or BS under the education section of your resume, even if you have some experience in your field, you are afforded significantly fewer opportunities than those who do.
Because of this paradigm shift, more and more people, especially young people, are going to college as opposed to entering the trades or working their way up at a company. Due to this obligation to get degrees and the high cost of tuition, many students enter college fully knowing that they will incur tens of thousands of dollars in debt that will take them years to pay off—if they ever fully pay them off.
In What Ways are Employers Helping?
“Employers have taken notice of the education cost crisis, and in order to compete for talent, many are offering employees assistance with their education costs,” says Sharon Tsao, CMO of Contemporary Staffing Solutions.
Employers are primarily assisting employees in three different ways:
How it works: Employees pay for their own college tuition, fees, and books, and employers will reimburse employees for up to $5,250 a year. While some companies are willing to offer this perk generally to employees, many will provide only offer this to employees seeking an education that is related to their position. For example, a company is likely to offer its Salesperson tuition reimbursement for costs associated with their MBA but not their MFA.
How it works: Employers partner with certain schools and offer students significantly discounted tuition (for Walmart employees this is $1 a day) or free tuition to these specific schools, primarily for online classes. Many big chains offer this, including McDonald’s, Disney, and Chipotle. This perk allows many entry-level, non-degree-holding employees access to education that they may not otherwise be able to afford.
Student Loan Repayment
How it works: Employers offer a monthly stipend to employees who struggle with their student debt. This stipend would likely be small, approximately $100, but would help employees put a dent in their loan and allow them the opportunity to contribute their savings elsewhere, like their 401K. This is not a common perk among employers.
How This Benefits Employers
It’s clear how employees will benefit from this education assistance—they’ll be able to better afford their higher education degree and/or be able to dig themselves out of their student debt. Not only do employees reap the benefits of these perks, so too do employers.
This benefits employers by:
In this candidate-driven market, employers have to make themselves appealing to new talent. Company perks can be a major driver of appeal, and since this benefit can be coveted by many job seekers, companies with these perks will likely receive more candidates than their competitors who do not offer this perk.
Having Highly Qualified Employees
Looking and hiring for new employees can be exhausting and expensive. By growing the skills of your current, loyal employees, you can offer internal career development and promote your already great employees.
To put it simply, any employees utilizing this perk through their employer will likely continue to work with their employer until they receive their degree, which is at least two to four years. This perk can offer employers peace of mind and decrease turnaround. Also, by offering such a great benefit, employees will feel more taken care of by their employer and thus more satisfied in their position.
Many of CSS’s trusted clients offer tuition reimbursement! Are you ready to partner with us and take the next step in your career? Check out all our current openings on our job board and contact your local office today!
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Contemporary Staffing connects job seekers to hiring managers nationally in the following professions: Accounting & Finance, Call Center & Office, Human Resources, IT, Salesforce, and Sales & Marketing.