Do companies hire applicants with degrees over experience?

Employers tend to ask for a degree (in their job listing) because they believe it’s a shortcut to finding talent. Instead of taking the time to review and individually assess each candidate’s experience (and potential), it’s easier to enable "automated self-screening” during the application process by requiring a degree.

While employers say they prefer applicants with bachelor’s degrees, there are a lot more cases where experience beats a degree. The Harvard Business School study found that 37% of employers rank experience as the most important qualification, not educational achievements.

When the position is harder to fill, employers are more likely to overlook the lack of a degree when candidates have sufficient experience in contrast to the “right” education. And in larger organizations (more than 10,000 employees), the experience is more important than a degree 44% of the time.

There are some careers where experience trumps education and vice versa. While other companies may allow you to substitute experience for a college education, there are others that have a tougher policy, requiring a college degree, with no absolutely no substitutions.

However, it’s not just experience, that employers say they value. A 2019 study found that 45% of recruiters and hiring managers say that a candidate’s potential is the absolute most important aspect of their application.

But "potential" isn’t just the likelihood that a candidate will perform their job duties adequately. Employers define potential as someone’s ability to grow into and beyond the job. They want people who will solve problems for the company and will, in the long run, bring value to their role.

The truth is, education and experience are equally as important to employers. If you lack one or the other, you have a lot of options - you can decide to return to school to get a degree, or you can pursue a trade that doesn’t require as much formal education but will give you some valuable experience. And if you’re already working full-time, a part-time internship or side hustle can give you just the experience you need to change careers.

When it comes to experience versus education, unfortunately, there's no clear winner. If you're on the hunt for a job, find ways to strengthen the parts you're missing.