“I think the paper value of an MBA might be overstated,” said Taft. “For it to be useful, it needs to form part of a wider package of skills and attributes, and more than a mere credential next to your name.”
John Taft is the Chairman of the Securities Industry and Financial Markets Association (SIFMA) and the CEO of RBC U.S. Wealth Management. He is predicting more layoffs in the financial services industry next quarter, affecting even employees with expensive MBA degrees and years of experience.
Taft said on the job experience in the capacity to perform in the workplace is more important than whether or not you have your MBA.
His thoughts come as enrollment at the nation’s top business schools is growing—as well as online MBA programs that cost tends of thousands of dollars. In fact, Kenan-Flagler Business School at the University of North Carolina began its first ever online MBA program this month. Students have been shelling out $89,000 in tuition for it.
Even though an MBA degree will not necessarily protect your job or revitalize your salary, Taft acknowledges there is an argument supporting the usefulness of MBA degrees. He said they are often best used to reposition yourself and redirect your career.