Generation Z is increasingly shifting away from traditional four-year college degrees, favouring skill-based education like vocational training, apprenticeships, and short non-degree credentials. According to recent reporting, many Gen Z students perceive trade schools and hands-on learning paths as more practical, cost-effective, and aligned with current labour market demands. 

One large survey by ASA (American Student Assistance) and JFF found that 81% of employers believe skills should matter more than degrees; meanwhile, 74% of Gen Zers say they want education paths that teach job-ready skills. Yet, many still default to the degree path, concerned about risk and recognition. 

Another study tracking employment trends shows that blue-collar and trade jobs among young Gen Z workers are rising, bolstered by trade schools and apprenticeship programmes. Enrolments in skilled trades have increased sharply, with growth in sectors like construction, HVAC, and other hands-on fields. 

Economics also play a big part: rising college tuition and student debt push students to choose shorter, less expensive pathways. Gen Z values education models that deliver quicker return on investment and more direct routes into jobs. As employer hiring practices evolve to emphasize demonstrable skills, Gen Z is doubling down on alternative credentials and on-the-job training.