This document summarizes a study on the labor market outcomes of graduates from New Jersey county colleges. It finds that county colleges prepare students for employment, with 70% of graduates employed in NJ 8 quarters after graduation, earning a median $10,132. While non-degree exiters see a 14% earnings increase after attending, graduates see a 53% increase, showing the value of obtaining a degree. The report provides detailed data on employment rates, wages, and industries of county college students and graduates to help colleges and policymakers.

1. Labor Market Outcomes of New Jersey
County Colleges
Prepared for: New Jersey Council of County Colleges
Trustee Conference
Funded by: The Fund for New Jersey
June 21, 2010
William Mabe, PhD
Aaron Fichtner, PhD
John J. Heldrich Center for Workforce Development

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Background
 New Jersey county colleges:
– prepare the workforce New Jersey needs to drive its economy
– are a critical means to economic opportunity
– have the flexibility to respond to labor market conditions
 Little is known about the workforce outcomes of county
college graduates.
 Two existing datasets, when combined, can produce
valuable information on the labor market experiences of
county college students and graduates
– New Jersey Commission on Higher Education SURE enrollee and degrees
conferred files (2001-2006)—degree seeking students only
– New Jersey Department of Labor and Workforce Development Unemployment
Insurance Wage Record data (2000-2007)

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Purpose of this Effort
 The Heldrich Center, with funding from the Fund for New Jersey,
embarked on this effort to:
– Provide detailed information to the county colleges about their
programs to assist them in answering programmatic questions
– Generate information for policy makers to help with long range
planning for the colleges
 The project was guided by an Advisory Group consisting of:
– Council of County Colleges - Commission on Higher Education
– Business and Industry Association
– Department of Labor and Workforce Development
– State Employment and Training Commission
 A committee of Institutional Research directors met with the
Heldrich Center throughout the project

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Questions the Data Can Answer
 How are graduates of the college faring in the labor
market?
 How are non-degree exiters of the college faring in the
labor market?
 Which programs have strong employment outcomes AND
which programs have weaker outcomes?
- Compared to previous years
- Compared to other programs at the SAME college
- Compared to the state average for that program
 Which programs are preparing individuals for employment
in a related industry?

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Method
 Data
– New Jersey Commission on Higher Education SURE enrollee
and degrees conferred files (2001-2006)—degree seeking
students only
– New Jersey Department of Labor and Workforce Development
Unemployment Insurance Wage Record data (2000-2007)
 Heldrich has matched NJCHE SURE enrollment and
degrees conferred records with NJLWD UI wage record
data
 Outcomes have been calculated for two groups of
students:
– Graduates
– Non-degree exiters

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Outcomes
 Static Outcomes (for all exiters)
– Employment rate (8th
quarter after exit)
– Average wages (8th
quarter after exit)
– Industry of employment
– County of employment
– Employment status while enrolled
 Dynamic outcomes (if age at enrollment > 24)
– Comparison of earnings in two years before enrollment with
earnings two years after exit
 Calculated by:
– School
– Program (CIP)

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Key Facts from the Data
 One in three (35.7%) county college graduates were
enrolled in a public college or university in New Jersey
within three semesters after graduation
 Of those graduates who were NOT enrolled in further
education:
– Seven in ten (70.2) were employed in New Jersey 8 quarters
after graduation.
– The graduates who were employed had median earnings of
$10,132 in the 8th
quarter after graduation.

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Finding #1. Pre-College Employment
 Six in ten adult (25 or older at enrollment) county
college students are employed BEFORE enrolling in
credit programs, with an average annual wage of over
$34,000.

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Finding #2. Earnings of Non-Degree Exiters
 After leaving college, even non-degree exiters earn
more than they did before enrolling:
– Earnings two years before enrollment: $23,000
– Earnings two years after enrollment: $26,000

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Finding #3. Graduation Premium
 The earnings growth of graduates, however, is much
greater than that of non-graduates. Two years after
exit versus two years before enrollment:
– Graduates: 53 percent higher earnings
– Non-degree exiters: 14 percent higher earnings

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Next Steps
 The final report will be completed in Fall 2010.
College-specific reports will be distributed to the
colleges
 The Heldrich Center has established the infrastructure
to be able to efficiently calculate these outcomes
annually
 Specific outcomes to be calculated could be modified
to meet the needs of colleges
 A meeting could be held in Fall 2010 with interested
college leaders to discuss possible future efforts