Is college essential?

We have just gone through graduation season. Here in the Philippines, it is assumed that once done with high school, college comes next.
Some 81 percent of our senior high school graduates go to college but up to 35 percent of college students fail to complete their degree. The regional attrition rates are even higher at 93 percent in BARMM; 60 percent in Central Visayas; 52 percent in Metro Manila and 50 percent in Western Visayas.
Financial constraints are most often cited to explain the high dropout rates. Despite senator-elect Bam Aquino’s Universal Access to Quality Tertiary Education Act, many students still do not have the financial means for college education. They have expenses other than tuition.
Many students prioritize employment over education. There are also concerns about the quality of education, including inadequate facilities and unqualified faculty that produce lousy college graduates whose diplomas can’t get them jobs.
In the 2025 national budget, the government allocated a total of P127.23 billion for state universities and colleges (SUCs) of which P23.38 billion is designated for the Universal Access to Quality Tertiary Education (UAQTE) program, which funds free college tuition.
According to the PCO, there were 1,977 higher education institutions nationwide, of which 113 are SUCs; 137 local universities and colleges (LUCs); 1,714 private HEIs; and 13 other government schools (OGS), CHED-supervised institutions and special schools.
Owning a college or a university is apparently a good business. But the quality of education provided does not always give good returns for students in terms of employability. Many are just diploma mills.
In the US, an increasing number of recent high school graduates are skipping college due to rising cost, the increasing availability of well-paying jobs that do not require a college degree, and a growing interest in alternative career pathways such as trade schools and apprenticeships.
A recent survey, according to NY Post, found one in two students immediately entering the workforce after high school.
When asked what they wished their high school focused more on, 37 percent said they would have liked more exposure to job skills.
They cited a desire to learn “real-world skills,” like having financial literacy (40 percent) incorporated into their high school education. Over a third of graduates surveyed want high schools to teach students “how to think” rather than “what to think” (36 percent).
Other real-world skills mentioned: (how to buy a car, steps to closing on a home, family planning, etc.) – 49 percent; life skills like conflict resolution, coping, stress relievers, etc. – 41 percent, etc.
Back here at home, our high school graduates are so badly educated and lack many basic skills assumed for people their age. The inability to perform basic tasks in mathematics, reading and science limits their capacity to engage in more complex academic work in college or to meet the demands of many entry-level jobs.
Given the high dropout rate, budgets for SUCs are not being optimized for best outcomes for students and taxpayers. Like in the US, it is probably better to teach them real life skills in high school that will enable them to immediately get jobs after graduation.
Apprenticeship like the dual tech in Germany is a good strategy long sought for but our labor laws didn’t encourage it.
Things may change with the approval of the Enterprise-Based Education and Training (EBET) Framework Act, signed into law as Republic Act 12063 on Nov. 7, 2024. The new law aims to enhance the Philippines’ workforce by encouraging companies to establish apprenticeship and training programs aligned with industry needs.
EBET allows companies implementing registered EBET programs to deduct up to 75 percent of their actual training expenses from their taxable income starting in 2028, an increase from the previous 50 percent deduction.
Trainees in EBET programs are eligible for scholarships under the Training for Work Scholarship Program and the Tulong-Trabaho Fund, which help cover training costs and encourage broader participation.
A dedicated online portal will streamline the application process for enterprises seeking to avail of tax incentives and other benefits, making it easier to implement EBET programs.
The law allows for training durations based on the complexity of the competencies to be learned, with a cap of three years, addressing the previous limitation of six months for apprenticeships.
There will be industry boards tasked with developing and recommending EBET programs for approval by the Technical Education and Skills Development Authority (TESDA), ensuring that training aligns with current industry demands.
The EBET Law will hopefully bridge the gap between education and industry requirements for a more skilled and adaptable workforce.
Here or in the US, not every high school graduate should go to college. Specially if the ambition is simply to become a lawyer and become another corrupt politician. Better to learn how to do honest work.
Besides, AI may soon make lawyers obsolete except for the very best who can think conceptually and communicate well. Also, the high failure rate of close to 50 percent in the bar examinations show examinees made bad investments by enrolling in diploma mill law schools.
We must remove our biases against vocational and technical jobs. Indeed, in the US, plumbers and electricians earn more than many white-collar workers. In Silicon Valley, a good number of their billionaires bailed out of college to get on with their careers.
While free college education is a commendable initiative, the high dropout rate makes it a bad investment for taxpayers. Redirecting budgets toward strengthening early childhood education can yield more substantial and lasting improvements in the education system.
By ensuring that children receive quality education from the outset, we can ultimately improve our PISA scores and better prepare students for college. Unfortunately, only 30.5 percent of children aged three to four are attending preschool.
Going to college is a big investment for parents and taxpayers. It isn’t for everyone.
Boo Chanco’s email address is bchanco@gmail.com. Follow him on X @boochanco
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