Higher Education and the Labour Market: Opportunities for a better Relationship through Bachelor and Master Degrees?

The introduction or the bachelor degree is hailed by many as opportunity to improve professional relevance of tertiary education and the match between the higher education system and the labour market by allowing more flexibility and a curricular shift from teaching to learning. Graduate studies show that the reform progresses promisingly in some subjects and especially in "Fachhochschulen". Universities however have yet difficulties in developing labour market relevant courses and degrees. In the future, higher education institutions and graduates will face reduced returns of their educational investment and changes in the criteria relevant for labour market success, but retain their privileged position relative to holders of non-academic degrees.