Grow and Embed Credentials of Value Aligned to High-Demand Occupations

For cross-sector partners to successfully collaborate, they need to have clearly defined, shared goals and a common understanding of benchmarks to measure progress. State policymakers must provide clear definitions of credentials of value and set measures to determine local high-demand industries and occupations so as to facilitate educational partners’ contributions to state workforce development goals.1 Leaders should also work across state lines to build coherence across regional industries and economies. If employers and educators collaborate to provide learners with information about pathways into local high-demand occupations, they are more likely to be motivated to take the necessary steps toward more secure employment.

Accelerating Opportunity: Kansas (AO-K) is a career pathways initiative that integrates adult basic education with technical training to help low-skilled adults earn postsecondary credentials while improving foundational skills.2 A central feature of the model is its emphasis on embedding industry-
recognized, stackable credentials within programs aligned to high-demand sectors, ensuring that participants acquire skills with clear labor market value. By partnering closely with employers and community and technical colleges, AO-K aligns curriculum and training with regional workforce needs, particularly in fields such as manufacturing, health care, and information technology. This approach is designed to accelerate participants’ progression into employment and support longer-term economic mobility through credentials that are both portable and responsive to evolving industry demand.

Higher education institutions should also review their current programs of study and, in collaboration with employer partners, embed industry-valued credentials into existing degree paths, where applicable. To support the ever-changing economy and provide more opportunities for lifelong learning, higher education must expand the number of nondegree credentials they offer and consider offering more credentials needed for local high-demand occupations that are aligned with current industry standards, particularly in rural or other underserved areas.3 Partnering with service-year programs to award credentials for experiences that prepare individuals for these high-demand occupations can expand access to credentials for more learners. Earning these credentials along a degree path can enable learners to secure jobs in their field of interest earlier and increase the overall value of their education.

Policymakers can also provide incentives and reduce barriers for credentialing in high-demand occupations to help colleges and universities redesign programs of study to more closely match local workforce needs and support learners in pursuing those credentials. Incentives for learners to pursue these programs of study could include lower or no-cost tuition, loan forgiveness, or cost-sharing among institutions, employers, service-year programs, and learners.