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U.S. colleges confront shrinking enrollments as students flock to trade programs

Enrollment at traditional four-year colleges is projected to fall, while vocational and trade schools see a surge in applicants.

The Western Interstate Commission for Higher Education warns that the number of high-school graduates entering traditional colleges may drop by 13% within the next 15 years, a trend fueled by lower birth rates and a growing perception that four-year degrees lead to debt without commensurate earnings. Data from the Federal Reserve Bank of New York show rising unemployment and underemployment among recent graduates, while enrollment in vocational programs has risen roughly 20% since 2020, according to one outlet Student Clearinghouse Research Center.

Individuals like Benjamin Davis, who chose barber school, and Cynthia Moreno, a salon manager and cosmetology instructor, highlight the appeal of clear career paths and limited debt. Economist Nathan Grawe points to “wage compression,” where jobs requiring little or no formal education now pay competitively, making trade certificates attractive. Although Ivy League schools continue to receive strong applicant pools, many public institutions risk losing students who view trades as a viable alternative, with some planning to return to college later.

Why it matters

Shifts toward trade education could reshape the U.S. labor market and affect future college financing.

In this story

enrollment declinetrade schoolsvocational programsstudent debtwage compressionunderemploymentbirth rateIvy League applications
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