Educational Effort: How Employers Can Benefit

Why are some individuals more capable than others?  One reason, according to the Federal Reserve Bank of Minneapolis, is that the achievement gap between individuals begins early in life.

The Federal Reserve Bank?  What knowledge could they possibly have of this situation?

It turns out that this particular Reserve Bank has been conducting a longitudinal study of early childhood development.  The study tracked 123 low-income families since the 1960s.  Children were randomly selected either to be in a control group (no special schooling), or to attend a high-quality program with well-trained teachers and receive weekly home visits.

As we might guess, the outcomes are dramatic.  The study shows that the benefit-cost ratio is $16 for every $1 spent.  The bottom line is that when children are prepared for school, they are more likely to be productive in the workplace as adults.  So what should employers do?  The answers seems clear: 

1. Hire employees who have had pre-kindergarten schooling, and
2. Support by advocacy (i.e., by voting and participating in the local education conversation) the implementation of early childhood programs.

But, say the employers, they don’t have the time for these non-business ideas.  But, say the researcher, they cannot afford not to be involved.  The benefits are $16 to $1 to hire and support the preparation of the best.  What do you think?  Is it realistic for employers to investigate a prospective employee’s pre-schooling?  If not, is it worth the effort for employers to advocate for quality early education programs today to provide future employers with a capable, high-achieving applicant pool?