Maybe cause there are not many good ones.

It used to be, in engineering school, 2/3 flunked out or changed majors. Even with the remaining 1/3, there are the C/D students. I'd only want to hire the A/B students.

I think people are figuring out engineering is a lot tougher than the "making stuff".

It's all supply and demand. Supply of graduates is up massively, demand is down due to outsourcing and centralization of the good jobs. This creates falling wages for graduates, who have to take what they can get because of their student loans.