USING LABOR MARKET DATA TO IMPROVE STUDENT SUCCESS
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Using Labor
Market Data to
iMprove stUDent
sUccess
The Aspen InsTITuTe would like to thank Elisa Rassen and Kathy Booth of the RP Group, who worked in partnership with Erika Falk and Josh Wyner to research and craft this guide. We deeply appreciate those organizations that provided funding for the development of this guide and for the Aspen Prize for Community College Excellence: • America Achieves • Bank of America Charitable Foundation • Bloomberg Philanthropies • The Joyce Foundation • JPMorgan Chase Foundation • Lumina Foundation • W.K. Kellogg Foundation We would like to extend a special thanks to Google and the Lumina Foundation for their support of a convening—at Google’s Washington offices in June 2012—of community college leaders, policymakers, and guidance counselors on the use of labor market data. Learning from that convening played a central role in the creation of this guide. The Aspen InsTITuTe’s College exCellenCe progrAm The Aspen Institute’s College Excellence Program aims to advance higher education practices, policies, and leadership that signifi- cantly improve student outcomes in four areas: • CompleTIon. Do students earn degrees and other meaningful credentials while in college? • equITy. Do colleges work to ensure equitable outcomes for minority and low-income students, and others often underserved? • lAbor mArkeT. Do graduates get well-paying jobs? • leArnIng. Do colleges and their faculty set expectations for what students should learn, measure whether they are doing so, and use that information to improve?
Using Labor
Market Data to
iMprove stUDent
sUccess
4
IntroductIon
Never before has the link between a choices that offer the best return on there are great divergences in labor
college education and postgraduate job their investments of time and money. market returns for different credentials.
prospects been more important. College They are questioning whether a college Although they can easily determine that
graduates are employed more often and, education is worth pursuing and which nurses almost always earn more than
on average, earn significantly more than of their increasing number of choices for hairdressers, they may not know that a
those without college degrees.1 During higher education will be both affordable radiation therapist with an associate’s
recent years, as students have moved and likely to result in a good job. degree earns an average of $75,000 per
into a challenging job market, a college year,4 while a veterinary technician, who
education has remained the most reliable Trying to meet the needs and expectations also needs an associate’s degree, earns
defense against unemployment.2 of both states and students, community
an average of only $30,000.5
colleges are often caught in the middle.
At the same time, investments in higher States are cutting budgets while students
Although states can gain access to the
education can no longer be taken for expect courses to remain available and
labor data they need to make informed
granted. States—facing their own finan- tuition to stay low. Especially in states
cial and economic challenges—are where cuts have been too rapid to be decisions, colleges often cannot. Too
making choices about how much and replaced by new tuition or other revenue often, they have inadequate information
where to invest in higher education. sources, colleges are making tough to determine which degrees from their
Several are examining which state expen- choices, assessing which course offer- colleges lead to high-wage jobs. Commu-
ditures will most likely enable students to ings and programs they should maintain nity colleges need more and better infor-
graduate with the skills needed to fill jobs to meet students’ needs and which to cut mation on students’ post-graduation
that will help states’ economies grow.3 to keep the institution financially viable. professional lives to understand how well
their educational programs are equip-
Students too are increasingly consid- Like their students and state officials, ping students to thrive professionally and
ering how to make higher education community college leaders know that achieve economic self-sufficiency.
like their students and state officials,
community college leaders know that
there are great divergences in labor
market returns for different credentials.
1 Carnevale, A. P., Rose, S. J., & Cheah, B. (2011). The college payoff. Washington, DC: Georgetown University, Center on Education and the Workforce. Retrieved from http://cew.georgetown.edu/collegepayoff/
2 Carnevale, A. P., Jayasundera, T., & Cheah, B. (2012, August). The college advantage: Weathering the economic storm. Washington, DC: Georgetown University, Center on Education and the Workforce. Retrieved
from http://www.georgetown.edu/grad/gppi/hpi/cew/pdfs/CollegeAdvantage.Fullreport.081512.pdf
3 See, for example, the labor market findings resulting from a partnership between the Tennessee Higher Education Commission and College Measures in a recent report, Schneider, M., & Vivari, B. (2012, September).
The earnings power of graduates from Tennessee’s colleges and universities. Rockville, MD: CollegeMeasure.org. Retrieved from http://www.air.org/files/earning_power_Tn_graduates_sept12.pdf
4 Bureau of Labor Statistics. (2012, April 6). Retrieved from http://www.bls.gov/ooh/healthcare/radiation-therapists.htm
5
5 Bureau of Labor Statistics. (2011, May). Retrieved from http://www.bls.gov/ooh/healthcare/home.htm
the PurPose of this guide
This guide aims to advance colleges’ The examples in this guide come from
understanding of how to access and use community colleges, gathered primarily
labor market data to improve student through explorations related to the
success. The three sections that follow Aspen prize for Community College
provide: excellence. However, four-year colleges
are also facing budget challenges and
• A description of how colleges can use increasing expectations to deliver
labor market data. measurable results. Against this back-
drop, this guide can also assist four-
• An inventory of available data sources. year colleges as they seek to understand
labor market outcomes for bachelor’s
• Recommendations for what colleges degree programs.
can do to improve labor market data
use and access.
the Power of labor market data
The need to track the employment and However, the availability of rigorous
earnings of graduates is by no means empirical data has not kept up with
new to community colleges. They have increased institutional demand.6 Even
reported information about job outcomes though most community colleges survey
for graduates of their career and tech- students graduating from CTE programs
nical education (CTE) programs to federal about subsequent employment, low
and state agencies for decades. In recent response rates and biases inherent in
years, colleges have also increasingly self-reporting limit the reliability of such
examined data on regional job trends reports.7 Moreover, such surveys are
to align their program offerings with typically conducted only on graduates of
projected labor market needs. Some CTE programs, and aim to gather infor-
colleges are now even experimenting mation on students only immediately after
with providing students such informa- they graduate. Community and four-year
tion to help them choose a major, both colleges rarely inquire about labor market
as a way to increase the chances of outcomes for general education degree
graduation and to improve the chances graduates or investigate the results
that students’ choices will lead them to beyond the first year after graduation for
living-wage jobs and strong career paths. those receiving any credential.
6 Several states operating independently or in conjunction with the Statewide Longitudinal Data Systems (SLDS) Grant Program (a federal
grant system designed to aid states in designing and implementing longitudinal pre-k through workforce data systems) have begun to
collect these data. However, even in cases where states have data there is often a lack of capacity to analyze and understand how these
data can be used.
7 This criticism should not be read to suggest that colleges should never use survey data, but rather that steps can be taken to improve
its reliability (as described in the section below about Monroe College) and that it should be supplemented by other labor market data
described below.
6
new And emergIng sion led the Department of Education and thereby increase chances for
sourCes oF dATA to rewrite its “gainful employment” graduation and by enhancing the likeli-
regulations and limits the availability hood they will choose a degree aligned
Today, there is a growing opportunity of year-to-year updates, the 2012 data to a well-paid, available job.
for colleges to access useful labor sets provide a snapshot colleges can use
market data. States have long collected to assess the effectiveness of some of • Advocate for the college by using data
employment data for purposes of admin- their programs compared to the same on graduates’ employment outcomes
istering unemployment insurance (UI), programs at other institutions.9 to demonstrate to the state and others
and now several have started to match that investments in the college are
UI records with those of college gradu- The emergence of these new data sets worthwhile, and will go beyond broad-
ates to generate aggregate employment suggests the dawning of a new era in ening access to delivering graduates
and wage data.8 Twenty-two states have which labor market data will be increas- able to contribute to their families,
even signed up to share those records ingly available to colleges, their students, communities, and states.
with one another, meaning those states and many other actors seeking to
now have access to information about measure and improve student success. To be clear, labor market data cannot alone
the job outcomes of students who leave provide all of the labor market information
the state. Although effective and effi- colleges need to make good decisions. As
cient systems for getting these data to usIng These dATA the remainder of this guide makes clear,
colleges are still in their infancy in most To InForm ChAnge although labor market projections and
states, advanced examples, such as the results can provide critical facts to assess
system used in Florida, illuminate the Labor market data provide informa- the viability and efficacy of a program,
potential value of pushing for increased tion that many stakeholders on college they cannot provide important nuances
access to this important resource. campuses—including the president, vice about local labor markets and trends.
presidents, deans, department chairs,
In addition to UI data, proprietary data- faculty, staff, and students—can use to As many effective community college
bases are being used to aggregate job understand and improve the link between leaders have long understood, deep and
postings from the internet, providing what colleges offer and what happens to regular engagement with employers and
colleges with a new window for under- students after they graduate. Specifically, others in their communities is essential
standing labor markets in their commu- labor market data can be used to: to understanding how to match student
nities. By shedding light on job openings education with job needs. If graduates
that actually exist at any given time, these • Decide which college programs to are not getting jobs, discussions with
data sources can help colleges and their offer and how many graduates a employers can help a college understand
students better understand the connec- college should aim to produce to fill what skills students lack and change the
tion between certain credentials and the available jobs related to the program. curriculum accordingly. If graduates’
employment opportunities and wages wages are increasing, employers can
those credentials might command. • Assess program effectiveness, help a college understand whether the
signaling whether a college’s programs trend is likely to continue, informing deci-
A third data set was released in June of provide the necessary skills, both in sions about how and whether to expand
2012, when the Department of Education terms of specific competencies and a program and if so by how much. And if
released “gainful employment” reports, appropriate rigor, for students to jobs in a sector are drying up, employers
containing job placement rates for 3,695 succeed after they graduate. can help colleges understand the likely
vocational programs at 1,336 institutions, trajectory of the future labor market,
including community colleges, public and • Help students make informed choices informing what programs the college can
private four-year colleges, and for-profit about which programs to enter, both by create or expand to replace declining job
colleges. Although a 2012 court deci- accelerating student decision-making opportunities.
8 See for example, Schneider, M., & Vivari, B. (2012, September). The earnings power of graduates from Tennessee’s colleges and universities. Rockville, MD: Collegemeasure.org. Retrieved from http://www.
air.org/files/earning_power_Tn_graduates_sept12.pdf
9 Association of Private Colleges and Universities, v. Arne Duncan, Secretary of The Department Of Education, and United States Department of Education (2012), Retrieved from https://ecf.dcd.uscourts.gov/
cgi-bin/show_public_doc?2011cv1314-25
7
How colleges
Are usIng lAbor
MArket dAtA to
IMprove student
outcoMes
Labor market data play a powerful role in providing
analytic information that cannot be gathered elsewhere
and in ensuring higher levels of student success in
several key ways. To help colleges understand how this
information can become a springboard for institutional or
programmatic change, we have provided below examples
of colleges that are currently using employment and wage
data to improve outcomes for students.
developIng progrAms TAIlored The college decided not to pursue a new
To speCIFIC Job opporTunITIes veterinary technician program, even
though such a program would have been
In Watertown, South Dakota, Lake Area directly responsive to student demand.
Technical Institute (LATI) frequently Instead, LATI enhanced an existing agri-
receives requests from state agen- cultural program with an option to focus
cies, industry, and students to open on working with large animals.
new programs. A college committee
meets regularly to evaluate the potential Many colleges cite student demand as
of new programs through a compre- the singular justification for opening
hensive assessment of labor market or maintaining a program, leading to
needs, student demand, and the college’s initiation of new programs that increase
capacity to provide a high-quality enrollment and bring in revenue without
educational experience that will lead to ensuring that real jobs are available after
students’ long-term success. graduation. By looking at data, leaders at
LATI avoided this pitfall.
In response to significant student inquiry
in recent years, LATI looked into launching LATI’s decision reflects something
a veterinary technician program. A thor- important about how the college defines
ough review of the labor market, including its core mission: to provide students
examination of data from the state with high-quality education while on
employment agency and conversations campus and to make sure that graduates
with regional employers, revealed two can flourish professionally after gradu-
important insights: (1) demand was low ating. To achieve this goal, leaders at the
for traditional small animal veterinary college have come to understand that
technicians, and (2) there was a strong faculty and staff cannot just look at what
need for expertise with large animals. happens within the four walls of the
8college. As LATI Vice President Michael Because of this investigation, Cabrillo In response, Cabrillo set out to improve
Cartney notes, examining labor market reduced the size of its program to program quality. It thoroughly rede-
data from a wide range of sources is reduce the odds that its students signed the medical assisting program,
simply “a way of life” at LATI. As a result, would be prepared for jobs that did not increasing emphasis on the foundational
the vast majority of LATI students either exist. “Our labor markets are regional English and math skills that employers
are continuing their education or are rather than local,” Pfotenhauer said. “In noted were lacking. It also shifted the
employed after graduating. medical assisting, as in other fields, it program to a cohort model with greater
became clear to us that there would structure than before, an approach that
be many advantages to our students, was showing higher success rates for
rIghT-sIzIng exIsTIng progrAms to employers, and to the college, to our similar students in other CTE programs.
coordinating with other medical assisting
Labor market data can also be extremely programs across the region.” Although it is too soon to assess the ulti-
valuable to college administrators mate impact of this redesign, Cabrillo has
looking to evaluate the extent to which recently completed the first semester
existing programs are producing the ImprovIng progrAm quAlITy of the new medical assisting program,
appropriate number of graduates for and results have exceeded expectations.
existing labor market opportunities. Information about the labor market and Importantly, college and program leaders
Enrollment had always been strong in employer needs can do more than just know exactly where to look to figure out
the medical assisting program at Cabrillo assist colleges in matching program whether the changes they have imple-
College in Santa Cruz, California, but enrollment to projected job openings. mented work: post-graduation surveys
feedback from an annual survey of grad- When Cabrillo College discovered that and labor market information, paired
uates of the program revealed that many its students were not finding employ- with active and ongoing engagement
were not getting jobs in the field. ment in the medical assisting field at a with employers. With this knowledge and
rate commensurate with expectations, it a commitment to improving outcomes,
Located in Northern California, Cabrillo is triggered a deeper investigation. the college has established the condi-
one of 26 community colleges in the region, tions for further advances in student
Cabrillo reached out to employers to success.
many of which offer medical assisting
programs. When Cabrillo accessed labor understand these poor student employ-
market data from two proprietary data- ment outcomes. Pfotenhauer explains, “A
ClosIng progrAms wITh
bases, reached out to employers, and frank discussion with employers revealed
low reTurns
reflected on the total number of medical that they did not feel our program was
assistants produced across the region, the keeping up with the increasingly high
Colleges can use labor data to under-
college saw that the market was saturated. standards required for success in this
stand which of their programs have the
Looking back, the college’s dean of CTE occupation.” The college followed up by
greatest positive returns on graduates’
Rock Pfotenhauer noted, “We didn’t pay a inviting over 20 representatives from area
employment and earnings, and which
great deal of attention to these data while employers to a lunch meeting. “We came
should be closed because those returns
the economy was growing and unemploy- away from this difficult conversation with
are too small. Such analysis is especially
ment was low, but when the recession a clear understanding that we needed to
important at a time when colleges are
began, it became clear that we could no increase the rigor of our program, particu-
facing severe financial challenges.
longer assume that program completion larly in the area of the fundamental skills of
would result in employment.” English and math,” Pfotenhauer describes.
9Monroe Community College in Rochester, Monroe recently closed its massage how much jobs in those fields pay. For
New York uses a variety of data sources therapy program because labor market example, Montgomery County Community
when evaluating the viability of its CTE data made clear that there were simply College in Blue Bell, Pennsylvania uses a
programs, including a proprietary labor not enough jobs for graduates to warrant proprietary labor market computer appli-
market database, information from the keeping that pathway open. Regular cation as one of several tools to assist
Department of Labor specific to its region, reviews ensure that programs offered to students in choosing programs. Students
census data, feedback from industry advi- students provide the chance for strong can search potential occupations to assess
sory boards, and survey responses from labor market outcomes and robust earning potential, current and projected
recent graduates.10 The college’s insti- career pathways.11 job opportunities in the region, and which
tutional researcher interprets this infor- education and training programs at Mont-
mation, producing reports that Monroe’s gomery will prepare them for those jobs.
administration reviews regularly. helpIng undeCIded Montgomery faculty and staff use this
sTudenTs Choose application as a springboard for discus-
Based on these reports, college leaders sion with their students, referencing it in
assess not just whether their programs Studies show that college students who student orientation materials, handouts
are preparing students for available jobs, choose a program of study have higher provided to students seeking employment
but also whether those jobs will offer completion rates than those who remain guidance, and one-on-one appointments
opportunities for advancement. Monroe undecided. This makes intuitive sense; with counselors.
Vice President Todd Oldham describes students without a specific goal will have
the questions used to evaluate program a harder time choosing courses and Similarly, Central Lakes College in
viability: are students getting jobs, are have less clarity about why they should Brainerd, Minnesota provides employ-
those jobs providing a strong living wage, complete a degree. ment and wage data to students through
and do those jobs offer opportunities for an online tool provided by the state and
advancement and growth over the long Understanding that accelerating deci- in a career-planning course. During the
term? Oldham emphasizes the college sions can increase graduation rates, course, students complete an assign-
focuses on one key question: “What is community colleges are helping unde- ment designed to identify their desired
the pathway we are putting students on?” cided students choose degree programs lifestyle and then use software to deter-
by making available information about mine the level of wages they will need
If that pathway results in a dead end, how many jobs exist in different fields, to support that lifestyle. Understanding
the college shuts it off. For example, how much those fields are growing, and the wages they want to earn, students
explore different careers of interest that
might offer those wages and the employ-
ment outlook for different specific jobs.13
studies show that college students who ouTreACh To poTenTIAl sTudenTs
choose a Program of study have higher Monroe Community College uses labor
market data to connect prospective
comPletion rates than those who remain students with career and technical
programs that lead to jobs with good
salaries. The college’s work begins
undecided. when leaders examine data that reveal
which programs currently offered by the
10 Although the quality of many surveys is hampered, in part, by low response rates, Monroe has achieved an aggregate response rate on
college link directly to local hiring oppor-
its graduate surveys of 70%. The college sends an email survey to its graduates six months after completion, followed by a mailed survey tunities and strong wages. It then makes
to those who have not responded, and a phone survey to capture feedback from the remaining students. Phone calls are conducted by
an external agency. this information, which is embedded in
11 Monroe reports that it has shuttered approximately 13 programs since 2008. an easy-to-use web-based tool, available
12 Jenkins, D. (2011). Get with the program: Accelerating community college students’ entry into and completion of programs of study. to potential students.
New York: Community College Research Center. Retrieved from http://ccrc.tc.columbia.edu/publication.asp?uId=885
13 Central lakes use of labor data began in response to a mandate from the state legislature requiring all colleges in the Minnesota State
Colleges and Universities system provide labor market and wage data to students in all diploma/certificate programs available for
To reach potential students, the college
financial aid. The state Department of Employment and Economic Development (DEED) provides these data to the colleges. works with partners who regularly
10interact with prospective students, such school students and over 150 employer Valencia College in Orlando, Florida
as the Rochester City School District’s representatives, who engage students in created a brief video that provides infor-
Office of Adult & Career Education hands-on activities to simulate what it is mation on labor outcomes to demon-
Services (OACES). The OACES program like to work in over 100 different career strate the specific value a degree from
selects a group of participants who areas. At the entrance to each career their college provides.14 The video shows
have attained college-ready reading and cluster area, staff members distribute that one dollar spent by a student on
writing skills and have an interest in wage and career outlook information to tuition increases their earnings by an
further education. Monroe then provides interested high school students. Rebecca average of $5.60. It reveals that most of
these students a free professional aware- Best, the college’s dean of workforce, Valencia graduates have a job or have
ness course that uses the web-based economic, and regional development, transferred to a four-year school imme-
career tool to teach them how to select believes the Bridges Career Explora- diately after completing their community
a career path by taking into account job tion Day has had a powerful impact: college credentials. The video also notes
demand and wages. Because it works “Students feel that all of this information that Valencia graduates add $781 million
with adults seeking a high school degree has helped them greatly to narrow down to the economy annually, which results
or GED, OACES helps Monroe through their career choices prior to graduating in a return on every dollar invested by
this program reach many students who from high school.” Florida taxpayers of 8.9%.
have traditionally been unemployed.
The California Community Colleges
According to Monroe Vice President AdvoCATIng For The vAlue oF Chancellor’s Office has also used data
Todd Oldham, this strategy aims to drive CommunITy Colleges on the economic value of a commu-
students toward high demand occupations nity college education as an advocacy
where the local economy is experiencing Community college leaders can also tool on behalf of its colleges. Five years
skills gaps. His years in the field have use labor market data to demonstrate ago, the Chancellor’s Office worked
taught him that many who could benefit the value of their institutions to legis- with state legislators to allow postsec-
from such occupations are unaware of lators and other key decision-makers. ondary education institutions access to
job openings, the salaries they offer, or In today’s fiscal climate, students, labor market data in the state Employ-
the credentials needed to secure them. their families, and states are making ment Development Department. Now,
The class and the tool offered by Monroe tough decisions about where to spend by aggregating employment and earn-
are designed to help both high school limited dollars. In the face of competing ings outcomes data for graduates of
students and adults seeking new training demands, students and states alike the system’s 112 community colleges,
see clear pathways to existing jobs they need to know that their choices will be the Chancellor’s Office has been able
may have never thought about and then cost-effective and result in significant to assess the statewide return-on-in-
to pursue the higher education needed returns. Specific labor market outcome vestment for specific certificates and
to take advantage of those opportunities. data for graduates can help a college degrees and the system as a whole.
show the benefits of a college education For example, recent data indicate that
Currently, Monroe is applying this strategy to prospective students, to companies three years after attaining a community
to fill a deficit of skilled professionals seeking an educated labor force, and college degree, California students grad-
in advanced manufacturing in the area to state government officials aiming uating earn nearly twice as much as they
around the college. According to Oldham, to expand economic opportunity and were earning before college. Vice Chan-
most residents think manufacturing is a enhance state tax revenue. cellor Patrick Perry observes that this
“dead profession.” Through the tool and kind of information has been enormously
classes it offers, Monroe is beginning to Importantly, such analyses can be used helpful in lobbying for continued invest-
reverse this perception, providing addi- to prove the value of job retraining ment in higher education in an incredibly
tional strong job skills to students, filling programs that do not issue degrees or constrained fiscal environment.
employer needs for a labor force with certificates, as these programs are often
relevant training, and strengthening the not included in conventional success
local economy along the way. metrics. By comparing the wages of
students before and after such training,
Central Lakes also uses labor market data colleges can demonstrate that programs
to inform prospective students. Each year, of study that may not result in a completed
the college’s Bridges Career Exploration degree nonetheless improve the wages of 14 Valencia College. (2012). Valencia counts. Retrieved from
Day draws more than 2,300 regional high students who go through the program. http://vimeo.com/41973447.
11Inventory of sources
of lAbor MArket dAtA
There are a wide variety of data sources available to both colleges and students that can
illuminate student employment outcomes as well as local, statewide, and national labor
markets. Although not every data source summarized below is available to all colleges,
each is now being used by many US colleges. Below is an inventory of data sources that
colleges may want to consider as they explore the connection between their programs
and labor market outcomes.
unemploymenT InsurAnCe dATA In most states, colleges can request
employment and wage data about groups
Unemployment insurance (UI) is a of graduates. To protect the privacy of
combined federal and state program individuals, wage and employment data
to assist unemployed workers, and is are typically provided as averages. For
funded by taxes on employers based on example, a college can send the state
reported payroll amounts. Every state a list of all students who graduated in
has UI laws and systems that are similar 2005 with a degree in nursing and the
in most respects (due to federal require- state can send back its calculation of the
ments). Each quarter, states collect from number of students who were employed
employers the social security numbers and their average quarterly wages
and wages of almost all non-self-em- without indicating any specific gradu-
ployed workers. The state then uses ate’s employment status or earnings.
these data to calculate unemployment
compensation for individuals who lose As discussed below, UI data availability
their jobs and file for benefits. varies by state, depending primarily on
access limitations written into state law
Because of this mandate, states house and the capacity of the state to provide
a vast amount of information about who reports to colleges. In addition, some
is working for whom, for how long they states can provide data on graduates
have been working, and how much they who have moved out-of-state, because
earn. By linking UI data to records of they either have regional data sharing
graduating students, colleges can learn agreements or have signed on to the
about the percent of their graduates who federal data sharing agreement known
are working, how long they have been as the Wage Record Interchange System
employed, and how long they had to wait 2 (WRIS2).16
between graduating and their first jobs.
Wage data in UI records include average A well-constructed guide released by
starting earnings, average current earn- the Collaboratory and FHI360 provides
ings, and growth in earnings before and detailed, step-by-step instructions and
after program completion. These data tools for colleges seeking to acquire and
cover the great majority of workers in use UI data.17
each state, cover many years, and tend
to be more accurate than most other
data sources.15
15 These data sets have a few limitations: First, not all employees are covered (e.g., agricultural and railroad employment are omitted).
Second, these data do not include the number of hours that were worked to earn the reported wage, when within the quarterly employment
date started, or the occupation of the worker.
16 See Appendices C and D for more information on WRIS2.
17 Feldbaum, M., & Harmon, T. (2012). Using unemployment insurance wage data to improve program employment outcomes: A technical
12 assistance guide for community and technical colleges. The Collaboratory and FHI360,bureAu oF lAbor sTATIsTICs dATA The Census bureAu are well-paying jobs in specific local
longITudInAl employer- economies and whether such jobs are
The US Bureau of Labor Statistics household dynAmICs progrAm growing or contracting. The tool allows
(BLS) regularly collects data on employ- for searches by age and gender.
ment and earnings of US workers. Two The Longitudinal Employer-Household
websites provide colleges with readily Dynamics (LEHD) program combines The QWI Online tool also allows users to
accessible information on average wages wage data from state agencies, including compare total employment, new hires,
by occupation and by geographic area. UI data, with information from the Census and average monthly earnings for their
Bureau.18 Included in this program are individual locations to statewide results.
The Occupational Outlook Handbook tools that colleges can use to determine The tool allows users to narrow the
(OOH) is a web-based tool that provides labor market needs and wages in their results by age, gender, industry, and
a variety of information useful to both communities, regions, and states. geographic location.
colleges and their students. For example,
OOH provides comprehensive informa- The Industry Focus tool allows colleges These data are usually updated quarterly
tion about hundreds of major occu- to search states, counties, and metropol- and lag actual labor outcomes by 9-12
pations, including national projected itan areas and gather, for each employ- months, and they contain industry but
growth (2010-2020), total number ment sector, number of employees, not occupational data. These tools and
of jobs, and median income. In addi- growth in employment, number of new their corresponding tutorial are avail-
tion, it offers an easy-to-use tool for hires, average monthly earnings, and able from the homepage: http://lehd.ces.
job-seekers, allowing them to explore other data that will reveal whether there census.gov/.
career areas through a search using one
or more of the following parameters:
median pay, education/training level, and
projected growth. This tool is available
at: http://www.bls.gov/ooh/.
by linking ui data to records of graduating
Another web-based tool, the Overview
of Wage Data by Area and Occupation,
includes detailed wage data that can be
students, colleges can learn about the
reviewed by occupation and geographic
area. It allows users to select a region
Percent of their graduates who are working,
or state, find a robust list of occupa-
tions, and gather information about how long they have been emPloyed, and how
employment rates and median wages
in the region for each occupation. This long they had to wait between graduating
resource is available at http://www.bls.
gov/bls/blswage.htm and their first jobs.
18 A subset of these data is contained in the Local Employer
Dynamics (LED) program.
13pAysCAle.Com dational and specialized skills employers gAInFul employmenT dATA
are looking for, and the credentials and
Payscale.com is a proprietary company certifications they are seeking. These In June of 2011, the federal govern-
that gathers wage data by having individ- data—generated from techniques that ment required colleges with non-degree
uals fill out self-reports on salary, career, capture nearly all job postings on the programs to report to the Department
and educational background.19 The site internet—can be particularly useful for of Education the percentage of former
has collected information from more than colleges seeking to build more effective students repaying their loans and the debt-
30 million people. Although it provides programmatic responses to local labor to-earnings ratio of graduates. Released in
free information on estimated salaries market needs. They also provide demand- June 2012, the information includes the
to individuals who fill out their survey, side information that can be useful to debt and earnings for students gradu-
it charges others who want to research colleges conducting analyses of state and ating from 3,695 vocational programs at
salaries for different positions. PayScale local labor market supply and demand.20 1,336 institutions. Still in its first year, the
has ranked more than 1,000 US colleges data sets have been criticized by some
by their college tuition return on invest- as lacking coverage of many community
ment, although community colleges are oTher prIvATe lAbor mArkeT college programs. Moreover, a 2012 court
not included in this ranking. The ranking dATA provIders order striking down the gainful employ-
shows the cost of enrollment and the ment regulations led the Department
estimated average lifetime earnings for There are a number of proprietary labor of Education to rewrite its regulations,
graduates of each institution. Individuals market data providers that offer data- adding years to the process and slowing
can also search for the average salary for based tools and customized services. the availability of future data. Nonetheless,
BA graduates by college attended. Finally, The best known is Economic Modeling the 2012 data offer a unique way to assess
students can search various degrees (AA Specialists Intl. (EMSI), which regu- the relative quality of different programs
and AS included), majors, and occupa- larly combines data from federal, state, within a college and similar programs at
tions to determine average salaries. and private sources in a database from different colleges. The full data set can
which it pulls information relevant to be found at and the debt to earnings ratios
“reAl-TIme” employer EMSI has data analytic systems on can be accessed through the Chronicle of
demAnd dATA local labor market information and has Higher Education at .
Burning Glass and Monster.com both sell to provide students with customized
aggregated information on the number of regional wage information, including 19 Because the data are collected from people who use the website
job postings within a given geographic number of projected jobs, employment and self-report wages, these data should be used cautiously.
area by occupation and industry, the foun- trends by occupation, and job postings. 20 Real-time data like these should be treated with caution
because they can overstate openings when one job is posted in
multiple places or remains posted after the job has been filled.
14IMprovIng Access to And
use of lAbor MArket dAtA
Most of the resources described above are available to every college. However,
wage data from unemployment insurance systems matched to the records of college
graduates, are not routinely available to colleges in all states. Policy makers can and
should take steps to increase the availability of labor market data in forms that colleges
can readily use, can easily be compared to outcomes for similar colleges and programs,
and protect the privacy of individual graduates. However, this is a guide for colleges,
not policy-makers. So what can colleges do now to increase their ability to access and
utilize labor market information?
requesT wAge dATA And Advo- program to fill needed jobs skills or close contact information. Legislation that was
CATe For beTTer, CleArer ACCess a program that was providing students passed in California that granted the
little economic opportunity. Chancellor’s Office access to UI data can
As noted above, better access to wage be found in Appendix B.
data would enable colleges to more fully By asking for these data, colleges can
understand how to build strong paths help loosen legal restrictions on data
to good jobs for their students. Today, access. To the extent colleges have AdvoCATe For your sTATe
some states provide this information trouble accessing data, such requests
To shAre dATA regIonAlly
to colleges readily, but others have put will advance the understanding of which
or nATIonAlly
in place significant hurdles that make it changes are needed in state law and
difficult or nearly impossible for colleges state analytic capacity. Once needed
One challenge with using UI data to
to gain access. For example, Michigan changes are understood, colleges
law limits colleges’ access to UI data can band together through their state assess the employment and earnings
to circumstances in which a college systems or associations to advocate for outcomes for graduates is that state
is acting as a surrogate for a public increased access, using the denial of UI systems only track graduates who
official doing research.21 A reasonable their reasonable requests as evidence are employed in state. Thus, colleges
reading of this language could easily that reforms are needed. Appendix A generally cannot gather labor market
prevent a college from accessing data gives a list of agencies that oversee UI information on graduates who leave the
that would show the need to build a new data in all 50 states, along with their state for jobs.
colleges can band together through their
state systems or associations to advocate
for increased access, using the denial of
their reasonable requests as evidence that
reforms are needed.
21 Employment Security Act, Section 4210.11 (viii). Data are “available for use in connection with research projects of a public service nature
to a college, university, or agency of this state that is acting as a contractor or agent of a public official and conducting research assists
the public official in carrying out the duties of the office” Retrieved from http://www.michigan.gov/documents/uia_mesact_76382_7.pdf
15Some states have solved this problem AdvoCATe wIThIn your sTATe For buIld CApACITy For InTerpreTIng
by creating regional data sharing regulAr, ConsIsTenT reporTIng And dIssemInATIng uI dATA wIThIn
agreements under which participating on wAge ouTComes Colleges
states can access information about
their colleges’ graduates who work in The process of gathering and assessing Whether wage data are gathered by
bordering states.22 Colleges and their UI data that is useful to college admin- colleges individually or provided by
associations and systems should advo- istrators and educators requires tech- states or systems, having the infor-
cate for the creation and expansion of nical expertise. To ensure efficiency mation is just the first step. Deci-
such agreements to increase availability and consistency of reporting, states sion-makers on college campuses need
of employment and earnings information should develop regular reports designed to understand these data and how to
about out-of state graduates. to inform college decision-making. An use them. Colleges should consider and
support the kinds of professional devel-
example of such reporting comes from the
In addition, states are beginning to share opment that will enable staff to inte-
Florida Education and Training Placement
data through a national agreement through grate this additional success measure
Information Program, which provides
the Wage Record Information System 2. into existing processes for measuring
aggregated data to colleges regarding
To date, 34 states and Puerto Rico have student outcomes.
students who have left the institution,
signed this US Department of Labor
including their employment, wages, and For example, if program review is to
agreement, which authorizes partici-
continuing educational pursuits.23 take employment and earnings data into
pating states to collect unemployment
insurance data for specified purposes account, those conducting that review
from other states that have signed the For such reports to be most useful, and making recommendations need to
agreement. Although interpretations vary colleges should be actively engaged in understand the reliability and value of
regarding the extent to which WRIS2 data their development. Accordingly, college the labor market data being considered.
can be made available to colleges, the administrators and practitioners should If student service professionals are to
agreement clearly expands availability approach systems, providing a list of use these data to help students choose
in many states for some uses. For this reports that answer specific questions programs, the state needs to put them in
reason, colleges and their associations the college has about the effectiveness formats that provide clear presentations
and systems should take an active role of labor market alignment of programs. and explanations of the information, and
in advocating for states to sign WRIS2 to Then, colleges should work on the devel- professionals and students need to be
increase access to cross-state UI data. To opment of the actual reports, ensuring trained in how to use them.
see if your state is currently a signatory that they consider nuances specific to
to the WRIS2 agreement, see Appendix D. each college’s goals and programs.
22 See for example, Facilitating Development of a Multistate Longitudinal Data Exchange. This is a data sharing agreement between Hawaii,
Idaho, Oregon, and Washington that is funded by Bill and Melinda Gates Foundation through the Western Interstate Commission for
Higher Education (WICHE).
23 In 2012, an additional law (HB 7135) was passed that requires public university and community colleges to create annual system-wide,
institution-wide, and discipline-level reports that show the employment and earnings of graduates. These data will be made available
to every parent and student.
16conclusion
Educators hold a unique responsibility to make sure their
students are prepared for whatever comes after they
graduate, which for college students generally means the
professional world. By analyzing wage and employment
data and engaging in open and honest conversations
with employers, colleges can better align the education
they offer with what students need to succeed after
graduating. They can better ensure that their programs
are providing students with the skills and abilities they
have a right to expect a college education to confer.
Labor market information is increasingly available, and
our hope is that this guide promotes its constructive use.
17Appendix A ConTACTs For sTATe uI TAx InFormATIon And AssIsTAnCe
(As of July 2014)
Alabama district of Columbia
Address Telephone / Website Address Telephone / Website
Alabama Department of Labor (334) 242-8830 Department of Employment Services (202) 698-7550
649 Monroe Street http://labor.alabama.gov/ Office of Unemployment www.dcnetworks.org
Montgomery, AL 36131-0099 Compensation Tax Division
609 H Street NE, 3rd floor
Alaska Washington, DC 20001-4347
Address Telephone / Website
Employment Security Tax (888) 448-3527 Florida
Dept of Labor and Workforce www.labor.state.ak.us/estax/ Address Telephone / Website
Development Unemployment Compensation (800) 482-8293
PO Box 115509 Services http://dor.myflorida.com/dor/
Juneau, AK 99811-5509 Agency for Workforce Innovation taxes/reemployment.html
107 E. Madison St. MSC 229
Arizona Tallahassee, FL 32399-0180
Address Telephone / Website
Unemployment Tax - 911B (602) 771-6601 georgia
Department of Economic Security https://www.azdes.gov/esa/ Address Telephone / Website
PO Box 6028 uitax/uithome.asp Department of Labor (404) 232-3301
Phoenix, AZ 85005-6028 148 Andrew Young Inter Blvd, www.dol.state.ga.us
Suite 800
Arkansas Atlanta, GA 30303-1732
Address Telephone / Website
Department of Workforce Services (501) 682-3798 hawaii
PO Box 2981 www.arkansas.gov/esd/ Address Telephone / Website
Little Rock, AR 72203-2981 employers/ Department of Labor (808) 586-8913
and Industrial Relations www.hawaii.gov/labor
California 830 Punchbowl Street, Room 437
Address Telephone / Website Honolulu, HI 96813-5096
Account Services Group, MIC-90 (888) 745-3886
Employment Development http://www.edd.ca.gov/ Idaho
Department unemployment/more_ Address Telephone / Website
PO Box 942880 employer_Information.htm Department of Labor (800) 448-2977
Sacramento, CA 94280 317 W Main Street www.labor.idaho.gov
Boise, ID 83735-0002
Colorado
Address Telephone / Website Illinois
Unemployment Insurance Operations (800) 480-8299 Address Telephone / Website
Department of Labor www.colorado.gov/Cdle Department of Employment Security (800) 247-4984
and Employment 33 South State St http://www.ides.illinois.gov
PO Box 8789 Chicago, IL 60603
Denver, CO 80201-8789
Indiana
Connecticut Address Telephone / Website
Address Telephone / Website Department of Workforce (317) 232-7436
Connecticut Department of Labor (860) 263-6550 Development www.in.gov/dwd
200 Folly Brook Blvd www.ctdol.state.ct.us 10 North Senate Ave
Wethersfield, CT 61091-1114 Room SE 106
Indianapolis, IN 46204-2277
delaware
Address Telephone / Website Iowa
Division of Unemployment Insurance (302) 761-8484 Address Telephone / Website
Department of Labor www.delawareworks.com Workforce Development (515) 281-5339
PO Box 9950 1000 East Grand Avenue www.iowaworkforce.org/ui
Wilmington, DE 19809-0950 Des Moines, IA 50319-0209
18kansas missouri
Address Telephone / Website Address Telephone / Website
Department of Labor (785) 296-5027 Division of Employment Security (573) 751-3340
401 SW Topeka Blvd www.dol.ks.gov PO Box 59 www.labor.mo.gov
Topeka, KS 66603-3182 Jefferson City, MO 65104-0059
kentucky montana
Address Telephone / Website Address Telephone / Website
Department for Employment Services (502) 564-2272 Unemployment Insurance Division (406) 444-3834
PO Box 948 kentuckycareercenter.ky.gov PO Box 6339 www.uid.dli.mt.gov
Frankfort, KY 40602-0948 Helena, MT 59604-6339
louisiana nebraska
Address Telephone / Website Address Telephone / Website
Louisiana Workforce Commission (225) 342-2944 Department of Labor (402) 471-9940
PO Box 94094 www.laworks.net Box 94600 www.dol.nebraska.gov
Baton Rouge, LA 70804 State House Station
Lincoln, NE 68509-4600
maine
Address Telephone / Website nevada
Department of Labor (207) 621-5120 Address Telephone / Website
PO Box 259 www.state.me.us/labor Department of Employment Training (775) 684-6300
Augusta, ME 04332-0259 and Rehabilitation https://uitax.nvdetr.org
500 East Third Street
maryland Carson City, NV 89713-0030
Address Telephone / Website
Department of Labor, Licensing, (800) 492-5524 new hampshire
& Regulation http://www.dllr.state.md.us/ Address Telephone / Website
1100 North Eutaw Street employment/uitax.shtml Department of Employment Security (603) 228-4033
Room 414 32 South Main Street http://www.nhes.nh.gov/
Baltimore, MD 21201-2201 Concord, NH 03301-4857
massachusetts new Jersey
Address Telephone / Website Address Telephone / Website
Division of Employment and Training (617) 626-5050 Department of Labor & (609) 633-6400
19 Staniford Street http://www.mass.gov/lwd/ Workforce Development lwd.dol.state.nj.us
Boston, MA 02114-2589 unemployment-insur/ PO Box 947
Trenton, NJ 08625-0947
michigan
Address Telephone / Website new mexico
Department of Licensing and (313) 456-2180 Address Telephone / Website
Regulatory Affairs www.michigan.gov/uia Department of Workforce Solutions (505) 841-8576
3024 W Grand Blvd PO Box 2281 www.dws.state.nm.us
Detroit, MI 48202-6024 Albuquerque, NM 87103-2281
minnesota new york
Address Telephone / Website Address Telephone / Website
Department of Employment & (651) 296-6141 Department of Labor (518) 457-4179
Economic Development http://www.uimn.org/uimn/ State Campus, Building 12 www.labor.ny.gov
332 Minnesota Street, Suite E200 employers/ Room 500
St. Paul, MN 55101-1351 Albany, NY 12240-0339
mississippi north Carolina
Address Telephone / Website Address Telephone / Website
Department of Employment Security (866) 806-0272 Division of Employment Security (919) 707-1150
PO Box 1699 www.mdes.ms.gov PO Box 26504 http://www.ncesc1.com/
Jackson, MS 39215-1699 Raleigh, NC 27611-6504
19north dakota Tennessee
Address Telephone / Website Address Telephone / Website
Job Service of North Dakota (701) 328-2814 Department of Labor and (615) 741-2486
PO Box 5507 www.jobsnd.com Workforce Development http://www.tennessee.gov/
Bismarck, ND 58506-5507 220 French Landing Drive labor-wfd/
Nashville, TN 37243
ohio
Address Telephone / Website Texas
Department of Job & (614) 466-2319 Address Telephone / Website
Family Services https://unemployment.ohio. Workforce Commission (512) 463-2700
PO Box 182404 gov/wp/wps/myportal PO Box 149037 www.twc.state.tx.us
Columbus, OH 43218-2404 Austin, TX 78714-9037
oklahoma utah
Address Telephone / Website Address Telephone / Website
Employment Security Commission (405) 557-5362 Department of Workforce Services (801) 526-9400
PO Box 52003 www.ok.gov/oesc_web PO Box 45288 www.jobs.utah.gov
Oklahoma City, OK 73152-2003 Salt Lake City, UT 84145-0288
oregon vermont
Address Telephone / Website Address Telephone / Website
Employment Department (503) 947-1488, option 5 Department of Labor (802) 828-4252
875 Union Street NE (503) 947-1537 FUTA PO Box 488 www.labor.vermont.gov
Room 107 www.oregon.gov/employ/tax Montpelier, VT 05601-0488
Salem, OR 97311-0030
virgin Islands
pennsylvania Address Telephone / Website
Address Telephone / Website Department of Labor (340) 776-1440
Dept of Labor and Industry (717) 787-7679 PO Box 302608 www.vidol.gov
7th and Forster Street, Room 915 www.dli.state.pa.us St. Thomas, VI 00803-2608
Harrisburg, PA 17121-0001
virginia
puerto rico Address Telephone / Website
Address Telephone / Website Employment Commission (804) 371-7159
Department of Labor and (787) 754-5818 PO Box 1358 www.vec.virginia.gov/
Human Resources trabajo.pr.gov Richmond, VA 23218-1358
PO Box 1020
San Juan, PR 000919 washington
Address Telephone / Website
rhode Island Employment Security Department (360) 902-9360
Address Telephone / Website PO Box 9046 www.esd.wa.gov/uitax/
Division of Taxation (401) 574-8700 Olympia, WA 98507-9046 index.php
One Capitol Hill, Ste 36 www.uitax.ri.gov
Providence, RI 29085-5829 west virginia
Address Telephone / Website
south Carolina Bureau of Employment Programs (304) 558-2676
Address Telephone / Website 112 California Avenue www.wvcommerce.org/
Employment Security Commission (803) 737-3075 Charleston, WV 25305-0016 business/workforcewv
PO Box 995 dew.sc.gov
Columbia, SC 29202-0995 wisconsin
Address Telephone / Website
south dakota Department of Workforce (608) 261-6700
Address Telephone / Website Development http://dwd.wisconsin.gov/
Department of Labor (605) 626-2312 PO Box 7942
PO Box 4730 http://dlr.sd.gov/ Madison, WI 57307-7942
Aberdeen, SD 57402-4730
Washington, DC 20001-4347 wyoming
Address Telephone / Website
Department of Workforce Services (307) 235-3217
PO Box 2760 http://wyomingworkforce.org/
Casper, WY 82602-2760 pages/default.aspx
20Appendix B CAlIFornIA legIslATIon AuThorIzIng posTseCondAry InsTITuTIons’ ACCess To
employmenT developmenT depArTmenT dATA
Assembly bIll 798 (2007) senATe bIll x5 1 (2009)
AB 798, Committee on Insurance. Unemployment insurance: SB 1, Steinberg. Public schools: Race to the Top.
unemployment compensation benefits.
(1) The Education Data and Information Act of 2008 requires
(1) Existing law requires the Director of Employment Devel- the State Chief Information Officer to convene a working
opment to permit the use of any information in his or her group representing specified governmental entities that
possession to the extent necessary for specified purposes. collect, report, or use individual pupil education data to
create a strategic plan to link education data systems and
This bill would additionally require the director to provide, to accomplish objectives relating to the accessibility of
to the extent permitted by federal law, the California education data.
Community Colleges Chancellor’s Office with each
student’s quarterly wage information, as provided, to be This bill, in addition, would authorize the State Department
used for specified purposes. of Education, the University of California, the California
State University, the Chancellor of the California Commu-
(2) Under existing law, unemployment compensation benefits nity Colleges, the Commission on Teacher Credentialing,
are based on wages paid in a base period that is calcu- the Employment Development Department, and the Cali-
lated according to the month within which the benefit year fornia School Information Services to enter into inter-
begins. Existing law establishes alternative definitions of agency agreements in order to facilitate specified objectives
base period for claims filed on or after January 1, 1990, and regarding the implementation of a longitudinal education
before January 1, 1992. data system and the transfer of education data.
This bill would delete those alternative definitions that are For the full text of Senate Bill X5 1, see: http://www.
now obsolete. leginfo.ca.gov/pub/09-10/bill/sen/sb_0001-0050/sbx5_1_
bill_20100107_chaptered.html
(3) (A) This bill would incorporate additional changes to Section
1095 of the Unemployment Insurance Code, proposed by
SB 869, to be operative only if SB 869 and this bill are both
enacted, each bill amends Section 1095 of the Unemploy-
ment Insurance Code, AB 8 is not enacted, or if enacted,
does not amend that section, and this bill is enacted after
SB 869.
(B) This bill would incorporate additional changes to Section
1095 of the Unemployment Insurance Code, proposed by AB
8, to be operative only if AB 8 and this bill are both enacted,
each bill amends Section 1095 of the Unemployment Insur-
ance Code, SB 869 is not enacted, or if enacted, does not
amend that section, and this bill is enacted after AB 8.
(C) This bill would incorporate additional changes to Section
1095 of the Unemployment Insurance Code, proposed by
SB 869 and AB 8, to be operative only if SB 869, AB 8, and
this bill are all enacted, all 3 bills amend Section 1095 of
the Unemployment Insurance Code, and this bill is enacted
after SB 869 and AB 8.
For the full text of Assembly Bill 798, see http://www.
leginfo.ca.gov/pub/07-08/bill/asm/ab_0751-0800/ab_798_
bill_20071005_chaptered.html
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