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Why Job-Skill Certificates Often Fail – and How Heckscher Is Rewriting the Playbook

8.16.2025

A new Wall Street Journal report shows most credentials don’t pay off. The Heckscher Foundation’s RFP model requires something different: employer commitments that lead directly to jobs.

The Wall Street Journal recently reported on a new study showing that while Americans are enrolling in record numbers of job-skill certificate programs, most of these credentials do not translate into better jobs or higher pay. Out of more than 23,000 certifications studied, only one in eight led to meaningful pay increases within a year. Even prestigious certificates from elite universities often provided little measurable return.

This is exactly why the Heckscher Foundation for Children designed its workforce training Request for Proposals (RFP) to break from the business-as-usual model. Training without hiring isn’t workforce development; it’s wishful thinking.

Two years ago, we challenged New York’s workforce ecosystem with a simple but transformative idea: we would only fund programs if employers committed in writing to hire low-income out-of-school or out-of-work youth upon completion. That shift drew 96 proposals, backed by 234 employer commitments across industries from construction to IT. We ultimately funded 20 partnerships with $7.6 million in grants.

The results speak for themselves. Of more than 1,000 youth trained, half secured full-time jobs, with retention rates as high as 95% at some grantees. Employer partners didn’t just show up at the end of the pipeline; they co-created training programs, shaped curricula, and defined clear skills-based hiring criteria.

The Journal’s reporting confirms the very problem we set out to solve: credentials alone are not enough. Without employer buy-in and direct job pathways, too many young people waste time and resources chasing certificates that don’t pay off. Our model flips the script, ensuring that training translates into real, measurable outcomes for those who need it most.

As we continue to fund the most promising partnerships, we remain committed to demanding more: real jobs for real skills.