College graduation rates break records despite big gaps

Nearly half of young adults in OECD countries now finish college, up from just 27% in 2000, but family background still decides who gets higher education, according to an OECD report released on September 9. The Education at a Glance 2025 study found that 48% of young people complete college, and these graduates make more money, keep jobs longer, and stay healthier. But only 26% of students from less-educated families get college degrees compared to 70% from well-educated homes.

College completion has hit new highs around the world, but the benefits don’t spread evenly. Money problems and lack of academic help often stop disadvantaged students from going to college. These gaps waste taxpayer money spent on education and make worker shortages worse in many jobs.

Too many students quit before getting their degrees, with only 43% of bachelor’s students finishing on time across 32 countries in the study. Even with three extra years, just 70% finish their programs. Men struggle more than women, finishing at rates of 63% versus 75%. Poor high school preparation, wrong expectations about course content, and lack of support when students fall behind cause many to drop out.

“High-quality tertiary education equips learners with the skills needed to seize opportunities in evolving labour markets,” said OECD boss Mathias Cormann.

He added that when worker skills don’t match job needs, everyone suffers through lower pay and reduced productivity as countries deal with aging populations, artificial intelligence, and clean energy transitions.

The report also found serious teacher shortages in many countries. Denmark, Estonia, and England lose nearly 10% of teachers each year through resignations, while France, Greece, and Ireland keep most of their teachers but face challenges hiring new ones.