Maintain and Leverage Federal Data Collection and Incentives
The Commission recommends that the federal government maintain its critical role in data collection and reporting and provide financial and technical assistance to states as they work to improve their own data systems and comply with federal accountability requirements.
While the United States has a strong federalist system of governance in education, the federal government has a vital accountability and data collection role in building an understanding of outcomes across the country. For example, states and educational institutions would benefit from more access to federal earnings data by institution and program. Internal Revenue Service data, for example, are more accurate than state unemployment data but are currently restricted. As the federal government adjusts priorities for data collection and reporting, clear guidelines and the alignment of resources to states, localities, and institutions will remain important.
The Post-Secondary Employment Outcomes (PSEO) data from the U.S. Census Bureau are an important resource for states, higher education institutions, and the public, linking records from participating colleges and universities with federal earnings data to provide detailed information on graduates’ employment and earnings trajectories. States and higher education institutions commonly use PSEO data to assess program-level return on investment, evaluate equity in labor market outcomes, and inform policy decisions related to funding, accountability, and workforce alignment. Additionally, the data can support counselors’ guidance and learners’ decision-making and strengthen connections between postsecondary education and regional labor market needs.
The federal government also could do more to encourage states to have interoperable and integrated data systems and could provide additional funding or regulatory relief for systems upgrades through block grants or waivers to states. Federal agencies also employ staff with expertise in data systems, privacy, and management who provide valuable technical assistance to help states design data systems and remain compliant with federal regulations.
