ACT Newsroom & Blog

By: Lisa King, director, American College Application Campaign

For many high school seniors, the college application process can be a daunting task. ACT’s American College Application Campaign (ACAC) aims to make it easier with the support of school counselors, educators, and community partners by coordinating college application events across the country that meet students where they are. This year, more high schools than ever before participated, helping more than 467,000 seniors submit at least one college application in school, during the school day.

IOWA CITY, Iowa — The “COVID cohort” of students who entered college between 2019 and 2021 were more likely to be placed in developmental or remedial courses based on their high school GPA, according to a study released today by ACT, the mission-driven provider of assessments, research, and work-ready credentials designed to support education and workplace success.

“This is another data point showing that using multiple measures of readiness for course placement decisions is better for students,” ACT CEO Janet Godwin said. “A holistic approach, rather than relying on either high school GPA or test scores alone, aligns with best practices and can lead to a more equitable and effective education journey for students.” The study, Has the Relationship Between College Readiness Measures and Developmental Course Placement Changed in Recent Years?, explored how course placement decisions at one state’s colleges are related to high school GPA and ACT Composite score, and how those relationships have changed over time. The study also determined how students’ general readiness related to developmental course placement and highlighted the differences in likelihood that students of varying GPAs would be placed in developmental courses. Developmental, or remedial, education courses are designed to develop the reading, writing, or math skills of students who are deemed underprepared for college-level courses.

As expected, as GPA increased, the likelihood of developmental course placement decreased. However, there were substantial differences in the likelihood of developmental course placement for students with the same GPA prior to and after the onset of the COVID-19 pandemic in 2020, with students with the same GPA being more likely to be placed in developmental courses after the onset of the pandemic. This was not the case for ACT Composite scores: Increases in ACT Composite scores were associated with a decrease in the likelihood of developmental course placement, with no difference for students before and after the onset of the pandemic.

“The changes that were observed and the relationship between high school GPA and developmental course placement suggest that colleges might be adjusting their interpretation of high school grades due to grade inflation,” said Dr. Edgar I. Sanchez, a lead research scientist at ACT and author of the report. “Colleges seem to be requiring higher and higher GPAs to show the same level of academic preparedness and college readiness. And it seems as though this shift is affecting students with lower high school GPAs more than students with higher high school GPAs, because it is those students who are more likely to be placed in developmental courses.”

Prior ACT research by Dr. Sanchez found that the average high school GPA increased from 3.17 in 2010 to 3.36 in 2021, with particularly rapid and dramatic rises in grade inflation since 2016, especially in mathematics courses. One of the problematic causes of grade inflation is the increasing variation in grading standards across high schools. In the college admissions context, this means that a 4.0 from one school may not indicate the same level of content mastery as a 4.0 from another school. While high school GPA is still an important predictor of future student outcomes, grade inflation reduces its usefulness in evaluating college applicants. Key Findings

• In the entering 2017–2020 college cohorts, the probability of developmental course placement increased each year. This trend continued for the incoming 2021 cohort for students who had a GPA of 3.3 or higher. For students in the 2021 cohort who had a GPA below 3.3, the probability of developmental course placement was lower than that for the 2020 cohort and similar to that for the entering 2019 cohort.
• There were substantial differences in the probabilities of developmental course placement for students with the same GPA across cohorts prior to and after the onset of the pandemic in 2020. This suggests that colleges may have been adjusting their interpretation of GPA due to grade inflation.
• The ACT Composite score was better able to predict developmental course placement in comparison to GPA. On the ACT Composite scale, there was very little difference in the probability of developmental course placement for the cohorts immediately before the onset of the pandemic (the 2018 and 2019 cohorts) and the 2020 and 2021 cohorts after the onset of the pandemic.
• Increases in ACT Composite score were interpreted by colleges as an increase in college course readiness.
• Colleges seem to be interpreting ACT scores as more stable over time for students with higher GPAs, relative to students with low GPAs. In the context of a grade inflation lens, it may be that colleges are more concerned about grade inflation at lower levels of GPA than at higher levels of GPA.

About ACT
ACT is transforming college and career readiness pathways so that everyone can discover and fulfill their potential. Grounded in more than 65 years of research, ACT’s learning resources, assessments, research, and work-ready credentials are trusted by students, job seekers, educators, schools, government agencies, and employers in the U.S. and around the world to help people achieve their education and career goals at every stage of life. Visit us at www.act.org.  

Contact: Allie Ciaramella; allie.ciaramella@act.org

For students pursuing their postsecondary goals, the ACT test offers more than just a score, says Noah Janke, a mechanical engineering major at the University of Nebraska, Lincoln. Noah took the test in seventh grade, where he earned a 26, and in high school he twice earned a perfect 36. He says his scores opened doors to academic and scholarship opportunities that he and his family could not have imagined.

“My college-going journey would be very different if I hadn't received the scholarships,” he said. "I was offered, obviously, a very good scholarship here at the University of Nebraska that got my tuition paid for. I believe my admittance into the Raikes program – which is another several thousand dollars a year – as well as a specially designed academic program, was also heavily dependent on my ACT score."

Noah says his parents’ non-traditional education, going back to school as adult students, inspired him to pursue college. He shares how his parents returned to college to earn degrees in their respective passions while raising children on their family farm. Reflecting on how higher education can change a person’s career and life trajectory, Noah says their story exemplifies the importance of perseverance and the joy of achieving your goals.

Watch the video to hear more from Noah about his college-going journey.

ACT established the ACT Scholars program to nurture the academic talent of graduate and community college students at the University of Iowa and Kirkwood Community College, respectively. ACT emphasized scholarships for students from populations for whom the cost of higher education could have presented a significant barrier to college access and accomplishments.

To commemorate their journeys from application to graduation, ACT has invited these scholars to share their stories. Linh Tong is a student at Kirkwood Community College who is pursuing an associate of science degree and plans to graduate this spring.

Who was your motivation for going to college?

I have a self-interest and a self-driven motive to study. Socrates once said, “All I know is that I know nothing.” I enjoy learning, so knowledge is never enough for me. It both serves and has its own intrinsic value beyond academic and professional achievements.What are you studying? What degree do you hope to earn?

With strong logical and mathematical skills, I have developed my interests in STEM subjects, from which I decided my favorite field to study: mathematics. At Kirkwood, I plan to obtain an associate of science degree at the end of spring 2024. In the fall of 2024, I wish to transfer to the University of Iowa to major in actuarial science and earn a bachelor’s degree. I’m also considering a minor in computer science.
What does this ACT scholarship mean to you? How does it affect your education journey?

My heart was marching and filled with the richest form of gratitude when I received a congratulatory letter for the ACT scholarship at Kirkwood Community College. At that moment, I thought right away of sharing the news with my mother and father, who would be the happiest souls seeing me succeed.

The ACT scholarship has been a huge financial assistance for my academic and professional life. With this generous fund, I can let go of my financial stress and put my concentration into everything that I set out to achieve, and – no doubt – that is to succeed. I’m still a student whose life is currently loaded with academic and community missions, but these funds definitely support my journey.

IOWA CITY, Iowa — ACT, Inc., the mission-driven provider of the assessments, research, and work-ready credentials designed to support education and workplace success, today announced that it has completed its formation of a new Delaware public benefit corporation and closed on its partnership with Nexus Capital Management, a Los Angeles-based private equity firm.

By: Dr. Kristie Fisher, president, Kirkwood Community College

In recognition of Community College Month in April, ACT asked Kirkwood Community College President Dr. Kristie Fisher about some of the most pressing issues facing these institutions and their students – and how those problems are being addressed. Dr. Fisher is a former senior director at ACT, and ACT supports the academic success of Kirkwood students as part of the ACT Scholars Program, an endowed scholarship that emphasizes students from populations for which the cost of higher education could have presented a significant barrier to college.

Read on to learn from Dr. Fisher about how community colleges are addressing shifting workforce trends while focusing on students’ career and education aspirations.

A new report detailed community college enrollment growth of 2.6% – about 118,000 students – particularly at colleges focusing on vocational programs. How does this trend reflect students' increased focus on immediate employability following college graduation?

There has been a growing national discussion about the value of a college degree. A lot of the debate centers around the perception that the types of jobs graduates get do not justify the cost of an education. Some favor on-the-job training instead of college. Others advocate for short-term training or industry-specific career and technical (CTE) programs that focus more on what a person will do in the field than subjects that have less to do with their duties once employed.

Recent polls confirm that one of the primary reasons students attend college is to get a good job. The community college’s duty is to design and deliver programs that help students reach that goal. CTE programs appeal to those seeking the specialized skills needed to go right into the workforce in a field that guarantees a good wage, often in half the time it takes to get a four-year degree. These programs are typically designed with local employers who ensure the curriculum aligns with skills graduates will need. They embed work-based and experiential learning to give students the real work experiences necessary to be successful immediately upon employment.

For students and parents who are rightfully mindful of the cost of higher education and want to ensure a return on investment, community colleges are a smart choice.

Why and how are community colleges encouraging students to pursue a degree following vocational training?

Many institutions, including Kirkwood, are working on developing pathways for students with non-credit credentials and training to take what they've learned and easily transition to credit programs to pursue a degree. One way to do that is to design courses on both the non-credit and credit sides of the institution with the same or similar outcomes in their curriculum. This way, a student's non-credit credential can count as credit toward a particular degree, decreasing time to graduation.

Despite the belief in some circles that a college degree is not worth the cost, it's well-known that college graduates have a higher earning potential. Tuition is also significantly less expensive at community colleges.

There are many variables that can prevent someone from moving from a short-term training program to a credit degree program. However, if colleges continue to make these pathways easier and more prevalent, a greater number of students may choose to pursue a degree following their training.

A recent, much-discussed report from the Burning Glass Institute and Strada Education Foundation found that most college graduates are entering jobs that don’t align with their degrees and are working in a field other than the one they’ve studied. How can community colleges help ensure that students can secure employment that aligns with their degrees and career goals?

Over time, the job market fluctuates due to a number of factors, including regional employer needs, the economy, technological advancements, and even the number and quality of applicants in a particular field. Considering these factors, college administrators need to ensure their programs meet the needs of the local workforce, while also adapting to industry changes and advancements.

At Kirkwood we do this in two primary ways. First, our faculty maintain strong ties to industry and their disciplines. They are actively engaged in keeping their skills and approaches at the cutting edge of their field. Second, all of our academic programs use advisory committees comprising professionals from our local business and industry partners, who advise us on our curriculum to ensure it meets their needs. This combination of faculty experts and business and industry partners ensures that students have the knowledge and skills to succeed in their fields, and employers know Kirkwood graduates can do their jobs.

The workforce landscape is changing with the adoption of artificial intelligence (AI) and other technological advancements, and older workers are seeking opportunities to reskill. How are community colleges evolving to meet this demand?

AI will soon affect all aspects of our lives. There are several academic disciplines that are already using AI. The sooner people get acclimated to using AI, the better they are going to be at their job in the long run.

IOWA CITY, Iowa — ACT, the mission-driven provider of the assessments, research, and work-ready credentials designed to support education and workplace success, today announced a new partnership with Nexus Capital Management LP, a Los Angeles-based private equity firm.

“Our partnership with Nexus Capital Management uniquely positions ACT to meet a watershed moment in our nation, as the demand for talent is growing and becoming more diverse. The need to prepare learners for success after high school for both college and work has never been higher, nor has the need to ensure that every learner has access to equitable college and career planning resources, guidance, and insights,” ACT CEO Janet Godwin said. “Partnering in this way will complement and amplify ACT’s proven platform of education and work readiness solutions to support the needs of students, educators, and employers alike. We will accelerate our plans to meet the needs of our stakeholders as they navigate an evolving and complex system to develop the essential skills critical for success in a rapidly changing world of work.”

“This partnership will create more pathways to degrees, credentials, and skills acquisition for people at any stage of their lives,” said Daniel A. Domenech, chairman of ACT’s board of directors and former executive director of AASA, the School Superintendents Association. “The time is right to move into the next phase of ACT’s long-term growth strategy alongside a partner with significant industry expertise, giving ACT the scale and capital necessary to deliver on its promise of education and workplace success.”

Upon closing, ACT and Encoura, an education data science and research organization that is a wholly owned subsidiary of ACT, will unify and operate as a public benefit corporation, with ACT’s name and brand. The integrated business, known as ACT, will advance the organization’s leadership in education and workforce readiness as it services the needs of all ACT stakeholders through new investments in ACT’s products and people. Godwin will continue to lead ACT as CEO of the new company.

Through integrating ACT’s systems of assessments and workforce solutions with Encoura’s data science and strategic enrollment services, ACT will be able to deliver holistic readiness credentials and more precisely connect students and job seekers to institutions of higher education and employers. ACT will simplify and streamline the college application process for students and institutions, better match employers with available talent, create new opportunities for upskilling mid- and late-career professionals, help learners identify their strengths and provide recommendations about applying them in education settings and the workplace, and provide more integrated and actionable insights to states, districts, families, and learners.

“We are excited to partner with ACT’s leadership team in this next chapter of growth to deliver enhanced capabilities for students, school districts, postsecondary institutions, employers, and government stakeholders,” said Damian J. Giangiacomo, co-founder of Nexus. Evan Glucoft, Nexus managing director, added, “The new ACT, through its diverse product offering, is well aligned with Nexus’ history of investing in companies focused on helping students succeed.”

Proceeds from the partnership will also fund the continuation of an Iowa nonprofit organization that will be headquartered in Iowa City. The nonprofit organization will conduct programs, services, and research focused on education and workplace success. The nonprofit will also retain an investment in the new public benefit corporation and have direct representation on ACT’s board of directors.

“ACT will always be driven by our mission, and this investment will allow us to accelerate delivery of impact solutions that are core to who we are — and always have been — including expanding access and opportunity for students,” Godwin said. “As a result of this investment, we will help more students be ready for their postsecondary paths, and help more adults advance in their careers.”

The transaction is subject to customary closing conditions.


About ACT
ACT is transforming college and career readiness pathways so that everyone can discover and fulfill their potential. Grounded in more than 65 years of research, ACT’s learning resources, assessments, research, and work-ready credentials are trusted by students, job seekers, educators, schools, government agencies, and employers in the U.S. and around the world to help people achieve their education and career goals at every stage of life. Visit us at www.act.org.