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Hiring Based on Skills Instead of College Degrees is Vital for the Future, IBM CEO Says (gizmodo.com) 319

What does the future of getting a job in the tech industry look like? According to the CEO of IBM, Ginni Rometty, it's important that tech companies focus on hiring people with valuable skills, not just people with college degrees. From a report: Rometty made the comments yesterday at the World Economic Forum in Davos, Switzerland. The CEO said that technology's fast-moving pace here in the 21st century makes it harder for people to find jobs and has led to disillusionment with the future. "With the new technologies that are out there, I think there is a huge inclusion problem, meaning there's a large part of society that does not feel this is going to be good for their future," Rometty said. "Forget about whether it is or it isn't or what we believe. Therefore they feel very disenfranchised."

[...] "So when it comes to education and skills, I think the government can't solve it alone," Rometty said. "I think businesses have to believe I'll hire for skills, not just their degrees or their diplomas. Because otherwise we'll never bridge this gap." "All of us are full of companies with university degrees, PhDs, you've got to make room for everyone in society in these jobs," Rometty said as other business leaders on the panel nodded their heads.
She added, "We have a very serious duty about this. Because these technologies are changing faster with times than their skills are going to change. So it is causing this skill crisis. [...] We have to have a new paradigm. You would have to have new pathways that don't all include college education and you would have to have respect for that job -- not blue collar or white collar, I call it new collar."
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Hiring Based on Skills Instead of College Degrees is Vital for the Future, IBM CEO Says

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  • by sinij ( 911942 ) on Wednesday January 23, 2019 @09:50AM (#58007732)
    Without degree HR will screen you out and you will never get a chance to demonstrate your skills. With a few exceptions of world-class experts that are already known, you need a degree. Degree is also necessary if you are mediocre, as at that point you are just a replaceable cog.
    • by jythie ( 914043 )
      Heh. I would actually put the people with degrees as the less replaceable, and the people who one hires for specific skills as the more replaceable 'warm body' cogs. For years tech has been pressuring universities to not waste time on anything that feed directly into new hires having the exact minimal skills for entry level positions today with the assumption they will be dropped soon after. So it makes sense IBM and such would advocate having even more cheap developers with only the skills they need imm
      • Universities perhaps but community or junior colleges or tech schools or whatever you want to call them DO focus on teaching the skills in various AS degree programs, like nursing, radiology or nuke med tech, respiratory therapy, and even IT stuff. here is a sample degree audit [sfcollege.edu] for a AS degree in "Programming and Analysis". Could use technical writing vs. a second term of college composition (aka writing about literature) but otherwise not bad.

    • Knowing what I know about IBM (I used to work there), I'd imagine that this is more about having an excuse to have lower starting salaries for new workers than actually being concerned about skill gaps.

      IBM's HR department knows that people without a college diploma tend to make $30,000 a year less over their lifetimes, and that benefits the companies bottom line.

    • by lgw ( 121541 )

      Without degree HR will screen you out and you will never get a chance to demonstrate your skills. With a few exceptions of world-class experts that are already known, you need a degree. Degree is also necessary if you are mediocre, as at that point you are just a replaceable cog.

      It's damn hard to break into software development without a degree, to be sure. But once you have a few years experience, almost no one cares.

      What appeals on a resume is a history of difficult or interesting problems that you've solved, or having worked at the big-name companies where it will just be assumed that you were solving hard problems. The ideal candidate is always someone who has already solved the problem you're faced with, or more realistically someone with a track record in the same problem d

  • Costs (Score:5, Insightful)

    by Nidi62 ( 1525137 ) on Wednesday January 23, 2019 @09:53AM (#58007746)
    It's too expensive, both in time and money, for HR or hiring managers to test every single applicant to assess their skill level. Much easier and quicker to use education as a proxy or filter, then, if testing is necessary, you are only testing the skills of a few people.
    • by Kohath ( 38547 )

      It's too expensive, both in time and money, for HR or hiring managers to test every single applicant to assess their skill level. Much easier and quicker to use education as a proxy or filter, then, if testing is necessary, you are only testing the skills of a few people.

      Versus the expense of spending 4+ years at a college?

      The simple answer would be to create an independent skills testing service that can tell hiring managers what they need to know. Even if it was very expensive, it would cost applicants a tiny, tiny fraction of what college costs.

      • Re: (Score:3, Insightful)

        by Anonymous Coward

        The key here is cost applicants. The companies don't want to front any of the costs.

      • Re: (Score:2, Insightful)

        by Anonymous Coward

        It is very difficult to develop a test that accurately measures a person's ability to think and to solve problems. If you've ever worked at a large corporation, you'd quickly recognize that they are largely incapable of discerning who the most capable person is from a stack of resumes after doing phone screens and personal interviews.

        • by jythie ( 914043 )
          Ugh. Last company I interviewed at had a 'test' to try to determine if people knew how to program in C. It consisted of all bitshifting questions (nothing else) on a clock and I spent the bulk of that time trying to figure out why their C interpreter was behaving differently than the C compiler I had on my laptop. But they have been using these tests for years and swear by them.

          I sometimes thing the whole 'reduce the pile' thing should just be handed over to dice.
        • by Bengie ( 1121981 )
          From what I've read about creating tests, psychologists claim the current thought is testing creativity, which includes novel problem solving, is fundamentally impossible. Any question on a test is by definition not novel. It is already well understood and known about. And even the "answer" to complex novel issues are subjective. In the end, the only way to "test" is to have a track record. The proof is in the pudding. Does that person have a history of creating solutions that are stable and reliable.
      • by jythie ( 914043 )
        I know companies that use these 3rd party services. I won't even apply at them now, the services are always a nightmare of meta thinking, trying to figure out what some test writer values. The run into the same basic problem HR does.. they need to get applicants through the process as quickly as possible and produce some arbitrary score that can be used to widle down the large stack of applicants... time is money and the customer only cares about the ratio of rejected vs accepted in order for THEM to save
    • by gtall ( 79522 )

      You aren't reading this correctly. This is IBM saying they want to concentrate on "skills" rather than degrees. First off, IBM wouldn't know any skills were they to walk in naked through the door. Second, what they are really saying is "we really like low pay employees which we get when they cannot point to a degree." Other companies might be different, but we've seen too many of IBM's tactics to believe anything they say at face value.

    • > It's too expensive, both in time and money, for HR or hiring managers to test every single applicant to assess their skill level

      Ill say it, this shows that you or your company has poor people skills.

      This is based on the idea that every employee or potential employee is trying to lie to you or rip you off. Which is not the case.

      Is it really that expensive to read a persons resume and spend 10 to 15 min talking to the ones that appear qualified on their resume? A good interviewer can easily assess a pers

    • Not for us, it is not.

      Then again, if you have the requirements that we have (and no, they're not some sham to say "look, we can't find anyone domestic, give us cheap code monkeys from abroad!"), the number of qualifying applicants is usually in the single digits. You can actually invite them all to an interview and even pay their travel expenses...

      In other words, it depends on what your skill actually is. If it's rare and sought after, you can rest assured that HR will get their ass kicked if they dump you

    • As someone who has been on the programmer hiring side for a small company (about 600 employees), I totally agree about H.R. being useless. But testing our applicants for the knowledge we needed (it was C++ at the time) was fairly easy. I created a simple 12-question questionnaire to assess their C++ knowledge. It became readily apparent who was completely useless versus who knew their stuff.

      At the end of the process, there was one applicant who stood head and shoulders above the rest. In the two years h

    • Has anyone experienced an HR person that actually understood what the IT department really did?
      Has anyone experienced an HR person that did not believe they were inherently and deeply superior to the IT person, and superior to the entire IT department?
      If so, perhaps you are the lucky one.
      When that person with a BA in literature is assessing your 'abilities' don't be surprise if someone with another BA in literature gets the job instead of someone with 20+ years of successful experience and references from s

    • More importantly, at least in the US, generalized skills and aptitude testing were effectively rendered almost impossible to implement by Griggs v. Duke Power Co. [wikipedia.org], because testing was found to have had a disparate racial impact. The Griggs case was the one in which SCOTUS first recognized the concept of "disparate impact", meaning that a practice or policy is prohibited if it has a disparate impact on a suspect class even if the overt intent wasn't to discriminate.

      You can still do skills-based testing but

  • "You would have to have new pathways that don't all include college education and you would have to have respect for that job -- not blue collar or white collar, I call it new collar."

    So, respect for a person who can get shit done.
    The 1890's is calling. That's not a bad thing.
    • "I call it new collar."

      . . . but what she really wants is a dog collar and the ability to put down the dog, when the skills are now longer in fashion.

      Someone with a solid CS degree should be able to acquire new skills as they march in and out of fashion.

      A simple single skill person is disposable.

    • Skill based hiring would be a game changer if they'd apply it to upper management. For one, you'd get fewer people using words like "new collar"
  • by bjdevil66 ( 583941 ) on Wednesday January 23, 2019 @10:03AM (#58007830)

    ...that employers can take a glance at and as easily quantify as a stamp of approval on a topic as a college degree. Is there a better merit-based system out there? Or do we start going by IQ test results? Why not go to our genetic profiles (Gattaca-style)?

    The problem isn't with the current system of looking at college degrees to judge someone's abilities. It's the devaluation of the college degree itself. People that aren't college capable are being pushed through the system for all the wrong reasons (universities are marketing to students harder than ever, student loans are being shoved down the throats of students that shouldn't ever be going to college, etc.).

    Those students need to be given/shown another path to success, and the cheapest solution is to make high school diplomas matter again in real life - not just the college preparation, STEM world. High schools shouldn't just be a farm system for college recruiters; They should have more vocational skills introduced again - or at least make better connections with vocational schools to diversify what they have to offer. (My childrens' public high school - which is allegedly a "Grade A" school in a strong school district - has ZERO hands-on work classes like autos, shop, etc. The closest thing you can get is an Art class. You have to bus over to a vocational school for most of the day to get the hands-on work.

    • If I had points, I'd mod this up.

    • ...that employers can take a glance at and as easily quantify as a stamp of approval on a topic as a college degree.

      Stop right there. A college degree does not prove that an applicant can do the job. So arguably, a college degree is actually worthless to recruiters, except that it shows that you are willing to jump through hoops, and it reduces the total number of applications they have to look at. Unfortunately, the non-degreed applications may contain the best candidates, and they're not even going to look at them. It's just another way to get out of actually doing the job for which HR employees were hired. They seem

      • by jythie ( 914043 )
        Well, if they have access to one's transcript, it shows which 'hoops' have trained tested their knowledge of particular concepts and technologies. Some hoops are arbitrary, but when you get a degree it lays out exactly which functional hoops one has gone through which might be of interest to an employer.
      • by lgw ( 121541 )

        Unfortunately, the non-degreed applications may contain the best candidates, and they're not even going to look at them. It's just another way to get out of actually doing the job for which HR employees were hired. They seem to have loads of them.

        True, with an important exception: female coders. The big companies are so eager to hire women in tech that they'll consider anyone with the slightest plausibility to her resume. It's how it should work for everyone, really, being accepting to unusual paths to being good at software development. It's how it did work until the mid-90s or so, before colleges started churning out CS degrees like crazy. CS degrees weren't even the norm in the early years - it was mostly math degrees.

        • by sfcat ( 872532 )

          It's how it did work until the mid-90s or so, before colleges started churning out CS degrees like crazy. CS degrees weren't even the norm in the early years - it was mostly math degrees.

          Its really odd that you put the date at which that happened in the mid-90s. The very first class of undergraduates to have a CS degree in the US graduated at CMU in 1998 (I should know, I was in that class). So really that can't be true. What you saw in the mid-90s was folks who liked programming but often had degrees in other things plus the occasional CS PhD. The pure CS major undergrads didn't appear in mass for about 10 years (say 2008 or so).

    • by AmiMoJo ( 196126 )

      College degrees were never offering the kind of value people think they were. Graduates would not go straight into a job and know how to do it, they would go straight into training and the company would be reasonably sure of getting a decent employee at the end of it.

      Employers don't want to spend money on training so they ask universities to teach students skills directly applicable for their jobs. That was always a terrible idea and just doesn't work.

      People complain about useless degrees. My mum has a degr

    • The hands-on vocational programs were always expensive by certain measures, but not necessarily in how they showed up in the short term budget. They could run on a shoestring budget as long as the old man who had been there for decades and knew how to keep the equipment running for near nothing was around. When he retired in the 80s or 90s the principal & superintendent were faced with two choices: (1) find a replacement with the right skills, but that new person is only likely to sign on if given a r

  • Credit to IBM (Score:5, Interesting)

    by argStyopa ( 232550 ) on Wednesday January 23, 2019 @10:08AM (#58007860) Journal

    I know it's hard to imagine, but it appears at first blush they're actually walking the talk: I checked a couple of entry level posted jobs at IBM:

    Entry Level HW Computer Technician/System Services Rep- Palatine, IL
    https://careers.ibm.com/ShowJo... [ibm.com]

    and
    (Cyber) Security Services Specialist - Intern
    https://careers.ibm.com/ShowJo... [ibm.com] ..and BOTH required only High School Diploma/GED.

    That's great and refreshing.

  • Rometty said "I think businesses have to believe I'll hire for skills, not just their degrees or their diplomas. [...] Because these technologies are changing faster with times than their skills are going to change. So it is causing this skill crisis. [...] You would have to have new pathways that don't all include college education and you would have to have respect for that job -- not blue collar or white collar, I call it new collar."

    She keeps talking about skills and then calls this new class of employe

  • by 140Mandak262Jamuna ( 970587 ) on Wednesday January 23, 2019 @10:09AM (#58007868) Journal
    Hiring based on degrees is vital for the future of the Old Money, (not necessarily White, includes scions of rich families from the Middle East, India like Gandhis Nehrus Patels Boses) to maintain their hold on power.

    Back in 1000s a bunch of aristocrats joined together and bargained for their rights and made John The Great sign Magna Carta. Its significance is limiting the power of the Monarch. Then the aristocrats ruled the country with their fiefdoms. Only they would get to be inducted into the Officer Corps of the army and all the teeming masses were consigned to "Other ranks" aka cannon fodder.

    Renaissance, industrial revolution, the rise of mercantilism, colonialism all gave rise to new classes of wealthy people and they were inducted into the power structure by doling out aristocratic titles etc.

    But the teeming masses, unseemly ungrateful bunch, made a power play and grabbed the hard won rights of the aristocrats for every one, suddenly the Old Money is on the back foot. They removed the power of the House of Lords, and The Commons had all the power, the Monarch a mere titular head, hereditary aristocratic titles have no meaning, the Heir to the Holy Roman Empire, Her Most Serene Princess someononeortheother is working for a wage in Economist or Tribune, ...

    The remnants of inducting only the aristocrats for the Officer Corps of the armed forces, merchant marine, and Civil Service morphed into "Degrees from Top Universities". Eton and such schools in Britain, Ivy League in USA, where there is a significant quota for the Old Money in the form of Legacies. About 50% on merit, 25% for the minorities, 25% of the Old Money Legacies seems to be the current quota system. Once these degrees are awarded, the graduates with connections get on to the fast track and get very rewarding very light duty sinecures, risk free jobs sitting on boards and VP of Beer Analysis or Executive Vice President of Trivial things. The graduates with merit end up with ulcer creating tense difficult, but well rewarded careers. The token minorities with degrees from top school, their prospects depend on cultivating/developing connections with the other groups. The degree alone does nothing for the minority graduates.

    • made John The Great sign Magna Carta

      John "The Great"? Hardly. He was known as "John Lackland", because he lost so much land to the French!

  • by ahoffer0 ( 1372847 ) on Wednesday January 23, 2019 @10:12AM (#58007896)

    The title says we must hire based on skills. The summary quotes Rometty as saying "...these technologies are changing faster with times than their skills are going to change". Said another way, technology is changing faster than the workforce can adapt, therefore we cannot hire based on experience or education -- we have to hire for the skills we need. Where do these skills come from? If the workforce is not learning the new skills fast enough and education is not providing the skills, then how are people obtaining these valuable skills?

    • by tomhath ( 637240 )

      She's saying she wants code monkeys who can be contracted to work on a project for one of their clients, then let go when the project is over.

      Want another gig? Update your resume to whatever the new hotness is this month and learn enough jargon to bluff your way in the door again.

    • by ceoyoyo ( 59147 )

      She wants single-purpose contractors. You have something you need done, you put out a contract, it's fulfilled, and then you move on. No need to worry about budgeting for your staff to acquire new skills.

      Trying to obscure that with business doublespeak makes for a confusing article.

  • by eth1 ( 94901 ) on Wednesday January 23, 2019 @10:18AM (#58007948)

    "We want skilled employees!"

    later...

    *lays off skilled older employees*

  • Back when I was in the 'front line' teaching before a class, ABET, SACS and other Certs were pushing for competency-based education and assessment, where you would grade the 'victim' on what they could demostrably do with tangible results. From what I'm reading either that pathway went bust or Rometty is full of it and looking for yet another profiteering scam.

  • I worked at IBM a few years back. You were a cog in the machine and replaceable with little notice. A guy across from me was told on a Monday to not return Wednesday. When they offshored my Unix Admin job to India, I was given the opportunity to be a Web Developer, Data Center creator, Backup Admin, or out. I did spend my own money to qualify for Backup Admin, a telecommute position. That was toxic enough that turnover was pretty high but also the random selection of our Customer Interface to be removed fro

  • Heck, back in the 80's when I was starting out, IBM refused to even acknowledge my resume as I didn't have a college degree. My how times have changed.

    [John]

  • Disclaimer: I have an advanced degree.

    That said, I've dealt with the job market a few times in the past ~5 years. I can tell you that most jobs with salaries > $75k (in the job markets where I work where this is well above the median and easily a comfortable existence for a single person) are posted in ways that are intended to filter our applicants as quickly as possible. One very quick and easy filter for HR to select is education. While it is not always a great way to find who is qualified it is probably the best that they can easily use and verify.

    If an applicant says they have a college degree, it is pretty easy for the employer to verify this. But if they say they have worked on model ABC123 advanced frobulators for 7 years, that is more difficult to verify. Now if the applicant can point to something they have done - say a patent or a published article - relating to the ABC123 advanced frobulator, that becomes something that the employer can verify more easily again. Unfortunately the application processes at most large (and many medium or small) employers are behind the curve on doing this type of verification. At the same time it doesn't seem that companies want to put more than the minimum amount of human activity into human resources, so we're left with what we can do to either fit into the system or attempt to circumvent it. Tragically the latter works less and less well with many companies as time goes on.
  • Don't be fooled... they are trying to make it so they can pay less for technically skilled jobs. Keep college requirements for high end jobs!

  • Not a troll, but yeah, this is going to be seen that way.

    Once you've corrupted academia, and given degrees to people based on the color of their skin, or their SJW credentials, can you use degrees as a reasonable proxy for skills anymore?

    Sounds like the meritocracy is going to work its way around attempts to thwart it.

  • Instead of asking for perfection or H1-b, perhaps it might be better to build such inhouse.

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