About Placement Rate Methodology
Who IS Included in the Calculation
Using the reporting period defined by the United States Department of Education, only those students who began their program of study, graduated, and were available for employment are included in the calculation.
In July 2010, the United States Department of Education posted for comment a Notice of Proposed Rule Making (NPRM) with proposed regulations related to gainful employment. Under these draft rules, institutions were to disclose on their websites and in promotional materials a job placement rate for program graduates based on a definition already established in regulations for short-term (300-600 clock hour programs) undergraduate training programs (see 34 CFR 668.8(g)).
CURRENT FORMULA FOR CALCULATING JOB PLACEMENT RATES FOR SHORT TERM PROGRAMS
Numerator: the number of students who, within 180 days of the day they received their degree, certificate, or other recognized educational credential [in a given award year], obtained gainful employment in the recognized occupation for which they were trained or in a related comparable recognized occupation and, on the date of this calculation, are employed, or have been employed, for at least 13 weeks following receipt of the credential from the institution.
Denominator: the number of students who, during the award year, received the degree, certificate, or other recognized educational credential awarded for successfully completing the program.
Who is NOT Included in the Calculation
Students who did not graduate are not included in the calculation.
Graduates who did not obtain employment in their field of study due to the following reasons are not considered to be “available for employment” and are also not included in the calculation:
Continued education in an accredited institution of higher education (postsecondary) on at least a half-time basis:
- Active military deployment
- Onset of a medical condition that prevents employment
- International student who returned to country of origin
How the Rate is Calculated
The placement rate is expressed as the percentage of graduates available for employment who obtained employment in their field of study. Graduates who obtained employment, but whose employment was not considered to be “in their field of study”, are not included in the placement rate. Since the placement rate does not include all graduates who obtained employment, but rather only those whose employment is within their field of study, the placement rate reported will likely be lower than the actual graduate employment rate.
Assuming there were 100 graduates available for employment and 72 of those graduates obtained employment in their field of study, the placement rate would be 72% (72 / 100 = 72%).