Listen up, recruiters. If you want to discover the road to a Millennial’s heart – consider their student debt. Here are five mind-blowing statistics outlined by CNN Money about college debt:
- Nationwide, student loan debt is currently $1.2 trillion
- Student loan debt is increasing by $2853.88 per second
- In the U.S. there are over 300,000 waiters and waitresses with Bachelor’s Degrees
- Almost 30% of college students who take out loans end up dropping out
- 40 million Americans have student loan debt
These facts are astonishing. There are more Americans with student loan debt than the entire population of Canada. There is enough student loan debt nationwide to fund more than 30 million semesters based on the average total cost per semester for full-time students.
Student loan debt is the second largest portion of Americans’ household debt behind only mortgages and home equity loans. Debt Consolidation states that student loan debt will never go away, even if bankruptcy is declared, because it is a non-dischargeable debt.
So what can employers do about this?
Fidelity, along with other companies, have implemented a program that helps pay off student loans. Fidelity’s student loan assistance program, after a six-month tenure and if the employee is eligible, will offer $2,000 a year, paid monthly, up to $10,000 total. This works in a similar manner as getting money for a 401(k) retirement fund. Since launching this new program, 5,000 employees have enrolled and begun receiving payments, according to Money.
Companies offering this benefit has many perks to the future employee and the employer. It causes Millennials to be more loyal to the company and improving retention rates. Business Wire says hiring employees with talent is becoming competitive so this benefit can help companies stand out in a time where employer brands can make a difference in winning top talent.