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Wisconsin Ranks Second Worst in Nation for College-Educated ‘Brain Drain

Wisconsin ranks as the second-worst state in the nation for brain drain, according to a report released by the Wisconsin Policy Forum. The study examined U.S.-born adults aged 31 to 40 using five-year estimates from the U.S. Census…

Wisconsin ranks as the second-worst state in the nation for brain drain, according to a report released by the Wisconsin Policy Forum. The study examined U.S.-born adults aged 31 to 40 using five-year estimates from the U.S. Census Bureau’s American Community Survey, highlighting ongoing economic challenges for regional workforce development and talent retention.

The Scope of Wisconsin’s Brain Drain Crisis

According to the Wisconsin Policy Forum report, approximately 59.8% of Wisconsin-born adults between the ages of 31 and 40 who currently live outside the state hold a bachelor’s degree or higher. Conversely, an estimated 45.2% of adults in that same age bracket who were born elsewhere and now live in Wisconsin possess a college degree. That creates a net brain drain gap of 14.6 percentage points, placing Wisconsin second nationally behind only North Dakota, which recorded a 15.8 percentage point gap, as detailed by researchers Ava Gagner, Andy Tisdel, and forum research director Joe Peterangelo.

The state’s standing has remained largely unchanged since 2009, when Wisconsin was the worst “brain drain” state in the country. While the metric measures the educational gap between movers and entrants, the report notes it does not account for total population volume. Between 2020 and 2024, the state recorded a net gain of roughly 2,900 people through overall domestic migration.

Regional Migration Patterns and Competitors

Most Midwestern states experience similar net brain drain pressures, with Illinois serving as a notable exception as the region’s sole net brain-gain state, according to the Wisconsin Policy Forum data. Wisconsin’s primary destinations for college-educated natives leaving the state are Minnesota and Illinois.

Data shows Wisconsin loses ground specifically to western and southern states. For every highly educated resident Wisconsin gained from Colorado, roughly five moved out to that state. The ratio sat at about one gained for every two movers to Texas, and one for every three movers to Florida. Conversely, Wisconsin maintained a net-positive exchange with several Midwestern neighbors, gaining 1.65 educated residents for every one who moved to Michigan and two for every one who relocated to Iowa.

Business Leadership and Policy Responses

Business leaders across the state are treating the talent deficit as a top operational concern. Dale Kooyenga, president and CEO of the Metropolitan Milwaukee Association of Commerce, stated that his organization evaluates the brain drain issue on a weekly basis. Kooyenga noted that corporate momentum has shifted recently as major employers establish operations or expand within Wisconsin, pointing to investments from Oracle, Eli Lilly, and Milwaukee Tool to boost local job creation.

Wisconsin Ranks Second Worst in Nation for College-Educated 'Brain Drain
Photo: jsonline.com

To counter talent loss, the Metropolitan Milwaukee Association of Commerce plans to launch a networking and community engagement program in the fall aimed at integrating professionals who recently moved to the state. Other states have adopted distinct policy models to address similar workforce shifts. According to the Wisconsin Policy Forum analysis, Ohio has incentivized graduates to stay via discounted mortgage interest rates, Texas utilizes relocation tax incentives to attract outside businesses, and Minnesota deploys local recruitment networks for rural community development.

Explaining Wisconsin's brain drain problem
About the author: Marcus Liu - Business Editor

MBA and ex‑B bureau chief specializing in global finance and fintech. Marcus speaks Mandarin, Japanese, and English, and has interviewed CEOs from the Fortune 50 to Y‑Combinator unicorns. Marcus Liu delivers sharp analysis on markets, startups, and corporate strategy for investors and entrepreneurs alike.