In an era where education costs are skyrocketing, the debate over degrees vs skills has become more relevant than ever. For many students, the pressure to pursue expensive degrees and accumulate student debt is overwhelming. Take the example of Riya, a 22-year-old engineering graduate from a private college in the Delhi NCR region. She vividly recalls the day her father signed the education loan papers for her degree—a decision that placed a heavy financial burden on her family.

However, as Riya navigates her early career, she finds herself questioning the value of that degree versus the growing need for practical skills in today's job market. The question now is: Where should students invest? In degrees, which offer a traditional route, or in skill development, which is becoming increasingly valued by employers?

Here’s a closer look at the pros and cons of both paths and where students should focus their attention.

1. The Cost of Degrees: A Heavy Burden

The price tag attached to formal degrees in fields like engineering, medicine, and management can range from a few lakhs to even crores, especially if the institution is private or internationally recognized. This places a heavy burden on students and their families, often leading to loans that can take years to repay.

a. High Financial Strain

For Riya and many others, the education loan has been a major source of stress. While a degree from a reputed institution may offer a chance for better career prospects, it doesn’t guarantee success. The financial investment can sometimes outweigh the immediate returns in terms of job satisfaction and salary.

b. Delayed Return on Investment (ROI)

A degree-based education often leads to a delayed ROI, with many graduates spending several years in entry-level jobs before they start seeing significant returns. This long repayment period can be daunting, particularly if the degree doesn’t match the career opportunities available in the job market.

2. Skills-Based Learning: The More Affordable Alternative

The rise of online courses, boot camps, and certification programs has made skills-based learning more accessible and affordable than ever before. These courses are designed to provide students with practical, hands-on knowledge that can be directly applied in the workforce, often with shorter timelines and lower costs.

a. Affordability and Accessibility

Unlike degrees that can cost lakhs, skills-focused programs—whether it’s for data science, digital marketing, web development, or UX/UI design—can cost a fraction of the price. Platforms like Coursera, Udemy, LinkedIn Learning, and edX offer quality content from reputable instructors and institutions at affordable rates, and many of these platforms also offer financial assistance for students.

b. Quick Entry into the job Market

With skills-based learning, students can often land jobs faster and gain hands-on experience without the need for years of formal education. For example, software development or graphic design boot camps can train students in a matter of months, allowing them to start earning sooner rather than later.

c. Focus on Practical Knowledge

Unlike degrees, which may be theoretical in nature, skill-based learning often focuses on real-world applications. students learn how to code, create websites, or manage marketing campaigns—skills that are directly applicable in the workplace. As companies increasingly seek candidates who are job-ready from day one, this practical focus makes skills training highly attractive.

3. Which Option is Better? Degrees or Skills?

When it comes to deciding where students should invest, the answer largely depends on the individual’s career goals, financial situation, and the industry they are targeting. Let’s break down the key considerations:

a. The Traditional Route: Degrees

· Pros:

o In some industries, such as medicine, law, and engineering, a degree is essential to practice professionally.

o A degree can open doors to higher positions and offer long-term career growth.

o Degrees from reputable institutions may also carry prestige, which could influence networking opportunities.

· Cons:

o Expensive, often leading to student loans.

o Takes time—typically 3-4 years for undergraduates and more for postgraduates.

o Doesn’t always guarantee a high-paying job, especially if the job market is saturated.

b. The Alternative Route: Skills

· Pros:

o Affordable and accessible to all students, regardless of location.

o Quick job-readiness—many programs allow students to start working after a few months.

o Customizable—students can focus on learning the exact skills they need for a specific career.

o Provides flexibility and is suitable for freelancing, entrepreneurship, or remote work opportunities.

· Cons:

o Lack of a formal degree can limit opportunities in certain fields or higher education programs.

o Employers may still prefer candidates with degrees for specific positions, especially in traditional sectors.

o Sometimes lacks the depth of knowledge or recognition that a degree might provide, especially in specialized fields.

4. Blending Both Worlds: The Hybrid Approach

For many students, the best solution may lie in combining both degrees and skills. A degree can offer a strong educational foundation and credentials, while skills-based learning can complement this foundation with practical, job-specific expertise.

a. Example of a Hybrid Approach:

· A student pursuing a degree in computer science can also take a coding boot camp or online course to specialize in data science, machine learning, or full-stack development. This combination gives them both the credentials and the skills that employers are looking for.

b. Internships and Freelancing:

Students can also gain practical experience by interning or freelancing while pursuing their degree. This way, they can supplement their academic learning with hands-on, industry-specific skills.

5. Final Thoughts: Invest Wisely

While degrees have long been considered the gold standard in education, the landscape is changing. With the rise of online learning platforms, skills-based education has become a more affordable and effective alternative for many students. The key is to data-align your educational investment with your career goals.

· For students entering fields like medicine, engineering, or law, degrees are often necessary.

· For those pursuing careers in fields like digital marketing, web development, or graphic design, focusing on practical skills may be the more efficient and cost-effective route.

Ultimately, the most successful individuals will be those who continuously upskill, adapting to new trends and demands in the job market.

 

Disclaimer:

The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of any agency, organization, employer, or company. All information provided is for general informational purposes only. While every effort has been made to ensure accuracy, we make no representations or warranties of any kind, express or implied, about the completeness, reliability, or suitability of the information contained herein. Readers are advised to verify facts and seek professional advice where necessary. Any reliance placed on such information is strictly at the reader’s own risk.