Many young people and their parents aren’t aware of federal aid programs that can help subsidize a variety of skills and career training that employers need.
Higher education means more than just college
One of the key messages that I share with audiences when I’m on the road speaking is that college for all only equals success for some. What I mean by that is that we’ve reached a point in time where pursuing a college education will not be the best path for every young person.
A big part of that equation is the cost of pursuing a college degree, which continues to balloon to the point where most college graduates can expect to have tens of thousands of dollars in student loan debt to pay off. That’s left many Americans, especially those from the younger generations, feeling left out and overlooked. How can they expect to pursue their career dreams if they can’t afford to get the skills they need?
At the same time, employers everywhere continue to scramble to find recruits with the kinds of skills and experience they need to fill their open positions.
What many young people and their parents overlook is how the options for financial aid have begun to evolve to meet young people where they are, by helping them attain the education and skills to pursue a career of their choosing.
To this point, Federal Student Aid (FSA), part of the United States Department of Education, is seeking to broaden awareness about how federal grants, loans and work-study funds can be used to help young people unlock their future aspirations.
“What I can tell you is that FSA remains committed to making sure students and families can access the financial aid they need to achieve a broad range of educational goals,” says Richard Adams Cordray, who currently serves as the COO of FSA. “Aside from more traditional academic programs, FSA also supports certificate studies, skills training, and other trade and career programs. Altogether, billions of dollars are channeled to strengthening our workforce.”
Cordray was kind enough to correspond over email to answer some questions about the changing educational landscape—and how young people can best take advantage of the opportunities before them as they pursue their dream careers.
The shifting educational landscape
The Higher Education Act first authorized federal student aid programs over 50 years ago. Since then, the education landscape has shifted dramatically.
“But the common bond is how federal student aid allows students and families to realize their innate potential by accessing higher education,” says Cordray. “Multiplied across millions of individuals, this expanded talent base is the not-so-secret weapon that enables America to continue to lead the world.”
Cordray also notes that the student population is also changing. Higher education is no longer dominated by 18- to 24-year-old first-time students. The latest data shows that this academic year, 42% of FAFSA® (Free Application For Student Aid) applicants are so-called “non-traditional” students, who are at least 25 years old.
“One clear truth about our workforce today is that it is marked by fast-paced changes,” says Cordray. “The technological revolution we are all living through is eliminating some jobs, reshaping many others, and creating new jobs. That makes education and skills-based learning even more crucial to get people ready for the workplace and to help them retool for new opportunities.”
Beyond the 4-year degree
In the wake of rising college costs and the increasingly skills-based hiring market, many people are beginning to question the ROI of the traditional 4-year college degree.
But Cordray thinks that as students think about their choices, they should recognize that they don’t have to choose between either/or; they can choose both.
“Dual enrollment programs get young people started on college coursework even before they finish high school, often in career-focused areas,” he says. “For many students, these investments end up paying substantial dividends. It is worth thinking about whether a dual enrollment program can save you time and money.”
Cordray points to the latest U.S. Department of Labor data that shows that more academic training usually pays off: bachelor’s degree holders generally earn 84% more on average than those with just a high school diploma. But more skills training also pays off, which is why over the last decade, the number of registered apprentices rose by 64%.
“We need people to see the total picture with their range of choices,” says Cordray. “Federal student aid supports not just traditional colleges, but also an array of other educational offerings such as workforce training, Registered Apprenticeships, skills-based instruction, and certificate programs. It can be short-term coursework to get specific credentials or longer-term degree programs. Federal student aid helps open every one of these doors.”
Redefining “higher education”
One of the challenges that Cordray thinks we face as a society is the idea that pursuing a “higher education” refers only to a college education. But in reality, higher education includes multiple other paths to pursue, including learning skill-based trades.
He believes that many people have outdated notions of what careers in the trades now look like in this new age where technology is affecting virtually every job in our society.
“Frankly, too many people have a narrow definition of ‘school,’” says Cordray. “Many people don’t realize the meaningful difference that trade and skills-based programs make in our lives. Anyone may experience a car breakdown, or a medical setback, or a plumbing crisis. When that happens, we will count on the capabilities of the highly skilled, experienced people who work in these fields to help us through those situations.”
Cordray says that at the FSA, they want people to know that careers in the trades do offer attractive, viable, living wages and steady work that is much in demand. And many high-quality career and technical education programs offer a straightforward path to help students advance in these desirable careers.
“No matter the career path, the data is clear that people with higher education typically earn more and have lower unemployment rates than people without it,” he says. “Students have many avenues to choose among as they imagine their futures, and we want them to know how federal student aid can help make it possible.”
From dream to reality
At a time when the economy continues to shift, and where new technology like ChatGPT continues to disrupt the labor market, young people should remain hopeful that they have many options to help them find the path to a career that will create the kind of lifestyle they dream of.
Whether that’s pursuing a higher education in the form of a 4-year degree or a skills-based program—or both—recognize that there is help available to help you pursue your dream and make it a reality.
