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>For better or worse, that's illegal.

Problematic/controversial but not necessarily illegal. They can probably ask for SAT/ACT scores which are probably a pretty good proxy as well.

>In fact college degrees are merely proxies for the lack of IQ data

Disagree to a fair degree. The college degree (and grades/other experiences) tell more than how well you do on a multiple choice test. One can of course argue how much more.

If the degree is from a college where it takes hard work to get that degree that tells you a lot more than an IQ test would tell you.

IQ testing is not illegal in the US ...

It may be easier to not use it than to produce evidence that it is relevant, but ...

You misunderstood. Using IQ scores for the purpose of hiring is illegal.

SAT is an IQ test in disguise.