Southern Indiana Business September-October 2020 | Page 11
employment with a bachelor’s degree surpassed
employment with a high school
diploma during the 2001 recession. The
gap in employment between the two has
been widening ever since, with high school
diploma employment remaining relatively
flat for the past 20 years.
The data run counter to the narrative
that we often hear play out among some
pundits. “Not everyone needs to go to
college” or “a college degree is not necessary
anymore” are two of the familiar
sounding phrases we hear. I am in no way
suggesting that everyone should go to college.
And indeed, not everyone needs to,
or should go to college. Post-secondary
credentials should be the focus, and this
includes skilled trades. To suggest that a
degree is no longer necessary, however, is
disingenuous and counter to the evidence.
While the current pandemic has introduced
significant challenges for business
and industry, one major hurdle predates
the start of the pandemic, and that is the
region’s college attainment rate. The area
remains under the state average, and the
state falls under the national average.
Among all states, Indiana ranks 40th for
residents with a college degree and 40th
for graduate degrees. The five Southern
Indiana Louisville Metro counties (Clark,
Floyd, Harrison, Scott and Washington)
rank 8th out of 15 Indiana metropolitan
areas for the percent of the population 25
and older with a bachelor’s degree. For
those with an advanced degree, the region
ranks 9th out of 15. This shows up in
economic statics such as average annual
wages for jobs located in counties across
Southern Indiana. The five counties rank
second to last among all Indiana metro
areas. Average annual wages of $41,485
is just above the Michigan City-LaPorte
region of $41,438. Why is this? Very
simple. Our college attainment rates are
too low.
While the current pandemic has introduced
challenges that many have not seen
in an entire lifetime, the region has an
opportunity that can set it apart from other
Indiana metro areas. Increasing college
attainment rates will provide significant
long-term payoffs and can help position
the region for solid economic growth. No
question about the progress we have made
in economic development. Downtown
revitalizations, riverfront development,
River Ridge, and regionalism are just a
few of the region’s successes.
The one piece remaining is in talent
development. Certainly, importing talent
from the outside is one viable strategy, and
quality of life improvements in the region
have made the region more attractive
to talent. Growing talent locally is also
essential. The region needs a “war-time”
effort and a united front to increasing postsecondary
attainment rates. Two and fouryear
degree gains, coupled with locational
advantages of the region, will produce an
economic powerhouse. Civic, economic,
non-profit, and business leaders must unite,
and rally the region on boosting post-secondary
credential attainment. With a strong
higher education infrastructure, the region
has the capacity to produce the post-secondary
credentials necessary for economic
growth that will move the region up from
the bottom in annual wages among Indiana
metro areas. Prior efforts to
boost attainment rates must
be revitalized and renewed
attention and focus on the
post-secondary credential
goal are essential. Success
will only catapult the
region’s economic success
and quality of life for all.
— Uric Dufrene is the Sanders Chair
in Business at Indiana University Southeast.
He’s contributed economic analysis
to several area publications including the
News and Tribune and Southern Indiana
Business Source. He can be reached at
[email protected].
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