So, pay more to suck the detritus out of the scum at the bottom of the barrel. Is that your solution?
Stop most student loans and replace them with work/study programs. Let them earn their degrees with work and academics combined. A lot of college students are just hiding out there to avoid becoming part of the capitalists' oppressed work force, anyway!
You want to fill that spot?
In a tight labor market you aren’t owed cheap labor, just like in a market with lots of unemployed, labor isnt owed a high salary.