Indicator: Industry-recognized credential

Why it matters

About 30 million “good jobs” in the United States are held by workers with less than a four-year degree and more than a high school diploma.^xii In response to industry demand for qualified “middle skill” workers, at least 26 states have included industry-recognized credentials as part of their Every Students Succeeds Act (ESSA) accountability or reporting plans. (A similar number also include career and technical education [CTE] concentration, and about half of these states include work-based learning.) An industry-recognized credential is typically defined as being exam-based, administered by third parties, supplemental to traditional postsecondary credentials, and sought or accepted by employers in an industry. Examples of industry-recognized credentials include Certified Information Systems Security Professional, Certified Welder, Certified Medical Laboratory Assistant, and Certified Foodservice Management Professional. Individuals can receive these nationally recognized verifications of skill independent of being enrolled in a degree-granting institution. Research suggests that earning an industry-recognized credential can increase the earnings of low-income job seekers by more than $10,000 over the first two years after enrollment in a training program. However, it is worth noting that credentials can vary widely in value. For example, an analysis of credentials earned by K–12 students found that only 19 percent of those credentials were in demand by employers.

^{xii This analysis, conducted by the Georgetown University Center on Education and the Workforce in 2017, defined a “good job” as one paying at least $35,000 per year for workers under age 45 and at least $45,000 per year for workers age 45 and older.}