Foundation for Rational Economics and Education

Merit America Alumni Experience a $24,000 Wage Increase 3+ months Post-Program, According to University of Virginia Analysis

Retrieved on: 
Tuesday, August 1, 2023

WASHINGTON, Aug. 1, 2023 /PRNewswire/ -- Today, Merit America, a national nonprofit that creates pathways to family-sustaining careers for Americans stuck in low-wage jobs, released findings from a longitudinal wage analysis with Professors Ben Castleman and Kelli Bird at the University of Virginia. The analysis examined data (including paystubs, offer letters and self-reported data) from their first 3,000 program completers, and found that on average alumni experienced an annual wage increase of $24,000 – 3 months or more after completing the program.

Key Points: 
  • The pre-program wage of Merit America participants closely mirrored the national average for low-income workers, at just $26,000 annually even with recent inflation.
  • This latest analysis was led by Dr. Ben Castleman, the Newton and Rita Meyers Associate Professor in the Economics of Education at the University of Virginia.
  • "Our mission at Merit America is to break down the barriers that keep talented, historically marginalized candidates from reaching high-paying careers," said Rebecca Taber Staehelin, Co-Founder and Co-CEO of Merit America.
  • The full wage analysis is available here and for more information about Merit America, please visit www.meritamerica.org .

UVA Analysis Finds Significant Wage Gains for Graduates of Nonprofit Training Provider

Retrieved on: 
Thursday, April 7, 2022

The analysis, which examined data from the first 1,000 graduates of Merit America's programs, indicates that combining online learning with cohort-based coaching and support has the potential to drive significant wage gains among low-wage workers without college degrees. Over 80 percent of Merit America graduates at least 3 months from graduation experienced a wage increase, from an average pre-program salary of $24,000 to an average post-program salary of over $50,000 -- a $26,000 average wage gain.

Key Points: 
  • Analysis from Dr. Ben Castleman finds $18,700 average annual wage increase for Merit America graduates, three or more months post-graduation.
  • The analysis, which examined data from the first 1,000 graduates of Merit America's programs, indicates that combining online learning with cohort-based coaching and support has the potential to drive significant wage gains among low-wage workers without college degrees.
  • Over 80 percent of Merit America graduates at least 3 months from graduation experienced a wage increase, from an average pre-program salary of $24,000 to an average post-program salary of over $50,000 -- a $26,000 average wage gain.
  • Merit America has served over 2,000 learners to date and aims to reach more than 10,000 learners annually by 2024.