Yes, that is a real problem- a stupid decision with terrible social consequences. But: Those who legitimately need a degree ought to have meaningful choices in obtaining it.
One additional area which needs addressing is accreditation. As long as the Left controls that, meaningful reform is impossible.
I’d also like to see more accountability from the universities on useless degrees. One thing that would help is publishing more statistics about the salaries of graduates from each university, both starting post-graduation salary, and 5-years-later salary.
Lastly, universities need to be on the hook for student loans. If their graduates can’t earn enough to pay back the loans, the graduate should be able to discharge the loan in bankruptcy, with the university eating the cost. Overnight, that would result in universities tightening up on who they admit (to exclude those who won’t make it), and what majors they offer (to exclude majors which do not prepare people for careers).