Why is wgu graduation rate so low

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Last updated: April 8, 2026

Quick Answer: Western Governors University's graduation rate is low primarily due to its unique competency-based model and diverse student population. According to the National Center for Education Statistics, WGU's 6-year graduation rate was 54% for students starting in 2015, below the national average of 62%. The university serves many working adults and first-generation students who often take longer to complete degrees, with 75% of students working full-time while enrolled. WGU's open enrollment and self-paced structure also contribute to extended completion times.

Key Facts

WGU's 6-year graduation rate was 54% for 2015 cohort (NCES data)
75% of WGU students work full-time while enrolled
Average student age is 37 years old
WGU serves over 150,000 students nationwide
University uses competency-based education model since 1997 founding

Overview

Western Governors University (WGU) is a private, nonprofit online university founded in 1997 by 19 U.S. governors to expand access to higher education through technology. The university pioneered competency-based education, allowing students to progress by demonstrating mastery of skills rather than accumulating credit hours. WGU serves over 150,000 students nationwide, with an average student age of 37 years old. The institution is regionally accredited by the Northwest Commission on Colleges and Universities and has received numerous awards for its innovative approach. Unlike traditional universities, WGU operates on a subscription model where students pay per six-month term rather than per credit, enabling them to complete as many courses as they can master within each term. This model particularly appeals to working adults, with approximately 75% of students maintaining full-time employment while pursuing their degrees.

How It Works

WGU's low graduation rates stem from its unique educational model and student demographics. The competency-based approach allows students to advance upon demonstrating proficiency through assessments, which means completion times vary widely based on individual pace and prior knowledge. Many students enter with significant work experience that accelerates progress in some areas while requiring more time in others. The open enrollment policy means students can start anytime, leading to non-traditional academic timelines that don't align with standard graduation rate calculations. Additionally, WGU serves a high percentage of first-generation college students (approximately 40%) and those from underserved populations who typically face more barriers to completion. The university's flat-rate tuition per term encourages students to accelerate when possible, but life circumstances often extend completion timelines beyond traditional measures. WGU's mentoring system provides regular support, but the self-directed nature requires significant student discipline.

Why It Matters

Understanding WGU's graduation rates matters because it highlights the challenges and successes of alternative higher education models serving non-traditional students. While graduation rates are lower than traditional universities, WGU demonstrates strong outcomes in other metrics: 97% of employers rate WGU graduates as well-prepared, and graduates report an average salary increase of $18,600 within two years of graduation. The university's model makes bachelor's degrees accessible to working adults who couldn't attend traditional colleges, contributing to workforce development and economic mobility. WGU's approach also influences broader higher education innovation, with many institutions adopting competency-based elements. The graduation rate discussion reveals limitations of traditional metrics in evaluating diverse educational pathways and student populations with different needs and timelines.