The Pulse of Higher Ed

In late August, I had the opportunity to join the National Governors Association’s Intersectional Policy Lab on Non-Degree Credentials and Skills-Based Practices in Minneapolis. This first in-person gathering of NGA’s Data and Non-Degree Credential Learning Community and Skills in the States Community of Practice brought together state leaders, researchers, foundations, and employers for two days of hands-on learning and strategy-building.

For those of us in professional, continuing, and online education (PCO), the conversations were highly relevant. States are moving quickly to align credentials with labor market needs, while employers continue to voice both enthusiasm and skepticism about skills-based hiring. The challenge, and opportunity, for higher ed is clear: we must become more agile partners in shaping the credential ecosystem.

Three Lessons for Higher Education Leaders

1. Data Is Driving the Definition of Value
The Burning Glass Institute’s (BGI) Credential Value Index was shared with attendees. BGI’s research found that only about 1 in 5 in-demand CTE credentials delivers clear wage and mobility gains, roughly $5,000 in earnings on average. Walmart is funding pilots in Arkansas, Indiana, Tennessee, and Rhode Island to test this framework at scale. While earnings are a problematic measure, especially for high-demand, low-wage, high-debt areas of study such as social work and childcare/education, they will likely be important in credential ROI considerations.

What it means for PCO leaders: Institutions will increasingly be judged on whether their programs show demonstrable outcomes in wage gains, mobility, and job quality. Building stronger data linkages with state longitudinal systems and employer partners will be critical. Focusing on the accountability measures in the One Big Beautiful Bill (OBBB), which rely on these linkages, will move four-year institutions that much closer to realizing the funding source Workforce Pell may provide in the future.

2. Employers Want Skills, But Still Use Credentials as Filters
Employer panels were candid: while many have announced “skills-based hiring,” most still rely on experience, references, relationships and credentials as initial filters. Credentials become more relevant in promotion pathways than at entry level. HR systems also struggle to parse skills data.

What it means for PCO leaders: Our job is twofold, to design programs that help learners articulate skills clearly, and to work with employers so those skills are visible and valued. Embedding skills evidence into learning and employment records (LERs) and digital credentials is an important step.

3. Workforce Pell Could Reshape the Market
A closing workshop on Workforce Pell underscored its disruptive potential. Expanding Pell eligibility to short-term programs could bring a wave of new learners, but only if guardrails ensure program quality. States, institutions, and employers will all have a stake in defining “credentials of value.”

What it means for PCO leaders: This is a moment to position non-degree programs strategically. Institutions that can demonstrate ROI, integrate with state-approved credential lists, and align with employer demand will be best placed to capture new opportunities.

Why This Matters for Professional, Continuing, and Online Education

• Community colleges and universities alike will need to refine or phase out programs that don’t deliver equity or economic mobility.
• Employer partnerships, like those highlighted by IBM SkillsBuild and Google Employability, are no longer optional; they are essential pipelines.
• AI and automation are accelerating the pace of change, shortening the shelf life of skills and forcing institutions to rethink program cycles.

Moving Forward

As higher education leaders, we have an opportunity, and responsibility, to shape the credential landscape so that learners trust the time and money they invest will pay off. That means:

• Partnering with states on data sharing and outcomes measurement
• Embedding skills frameworks into programs
• Ensuring our offerings align with credentials of value frameworks emerging in states, such as the examples from Florida and Indiana
• Preparing for a Workforce Pell future by focusing on data collection and alignment [CIP codes, completion rates, job placement, post-completion earnings relative to tuition (“value-added income”)]

The message from Minneapolis was clear: credentials may open the door, but skills are what move learners through it. Institutions that act now to measure, validate, and signal those skills will be best positioned to lead in the years ahead.

Julie Uranis serves as the Senior Vice President for Online and Strategic Initiatives. In this capacity she leads the planning efforts for the Summit for Online Leadership, which established UPCEA as the source for innovations focused on online leadership, strategy, and management. She also leads the planning of Council of Chief Online Learning Officers convenings focused on thought-leadership and policy.

A special thank you to Justin Vinton, Research Associate, Education and Employment Research Center, Rutgers School of Management and Labor Relations and Brennan Parton, Vice President, State Policy and Advocacy, Data Quality Campaign for the great discussion during our session, Stage Setting: The State of State Longitudinal Data Systems (SLDS) – Creating the Connections and Driving Policy.