I don’t know any experienced people with solid skills who also have degrees who have been having difficulty.
I know one good one, but without a relevant degree who is struggling. I also know lots of boot camp/recent grads in iffy masters programs who aren’t getting anywhere.
I am aware of a few hiring processes that are just inundated with people who don’t have a relevant degree that keep restarting as a result.
So it may simply be that standards rose more than actual availability in the market did.