Examining the Rural College Labor Market

In the last 15 years, changing skill demands among rural employers have elevated the importance of a college education. This report examines trends in the United States’ rural college labor force, with a focus on (1) rural college enrollment and degree completion, (2) the location decisions of college students, and (3) composition shifts in degrees awarded to meet the needs of evolving rural industries. We find that since at least 2009, rising rural educational attainment has coincided with shifts in the rural economy away from goods-producing industries and towards service-producing industries that employ higher shares of college-educated workers. Land-grant and nonmetropolitan postsecondary institutions play a critical role in supplying workers for this transition. Nonmetropolitan institutions (excluding community colleges) have a higher percentage of in-State students than their metropolitan counterparts and most graduates tend to remain within the same State as their postsecondary institution. While undergraduate enrollment at nonmetro colleges fell between 2011 and 2023, improved retention and faster completion rates kept the number of degrees awarded constant. In contrast, land-grant institutions increased both enrollment and degrees awarded during this period. An improved understanding of these trends can help stakeholders better align rural college curriculums with local labor market needs in an evolving economy.