Yesterday, I wrote about the most recent Labor Market Survey of Consumer Expectations (SCE), and made the argument that higher wages and college degrees tend to improve employee retention and reduce turnover. This is essential for employers in a tight job market, like what we’re currently experiencing.
The survey also identifies other reasons to encourage workers to seek college degrees. Workers with college degrees report higher levels of job satisfaction than workers without. Job satisfaction doesn’t tend to vary much by age, but only half of workers without college degrees report being satisfied with their earnings. In comparison, nearly 65% of workers with college degrees report being happy with their paychecks.
Men in the most recent survey report being significantly happier with their pay (63.5%) compared to wage satisfaction among women (49.5%). 63.7% of workers making at least $60,000 report high satisfaction with their earnings while only 41.6% of workers making less than $60,000 agreed that they were happy with their take-home pay.
Wages aren’t the only element of compensation packages, though. Overall, 56.3% of respondents reported being happy with their non-wage benefits. Younger workers – those under the age of 45 – reported slightly lower satisfaction with their non-wage benefits than workers above the age of 45.
The survey recorded a significant gap in satisfaction with non-wage benefits between those with college degrees and those without. Nearly two-thirds of college-educated workers reported satisfaction with their non-wage benefits, while less than 48% of non-college-educated workers said they were happy with theirs.
The survey also recorded a significant gap in satisfaction with non-wage benefits between men and women. 63% of men reported satisfaction with their benefits, while only 49.3% of women reported satisfaction with their non-wage benefits.
$60,000 and college degrees are the winning combination for workers
Salary also played a role in benefits satisfaction. The survey recorded a nearly 22-point gap in benefits satisfaction between workers earning more than $60,000 and those earning less than $60,000.
To no one’s surprise, the survey found that workers with a college degree saw more opportunities for promotion than those without a degree. Likewise, workers who made less than $60,000 saw fewer opportunities to advance in their careers than those who made more than $60,000.
These statistics don’t reflect any new discoveries. College degrees open doors, provide better earnings potential, and better advancement possibilities. They explain why the short-term benefit that a non-degree certificate might offer does not outweigh the long-term earnings potential and advancement opportunities that college degrees can deliver.
Rather than continuing to develop certificate programs, WCC should spend its time and effort developing programs that lead students to careers in high-wage, high demand careers.
Photo Credit: Fort George G. Meade Public Affairs Office, via Flickr
