Could that Internet grad steal your job?

The term "online degree" might make you think of a scam in which you receive a phony bachelor's in exchange for your mortgage.

These days, however, online degrees seem to be rising in status - and helping more people get jobs.

But Penn graduates don't have to fear much job competition from those with online degrees, officials say, even as the industry expands.

A new crop of more legitimate online degree organizations - such as the University of Phoenix and American Public University - popping up all over cyberspace say they offer the prestige of a degree with the convenience of working from one's own home.

According to the government-run College Credit Recommendations Online Directory, a Web site that lists accredited online colleges, there are over 1,500 online institutions serving 200,000 adult students each year.

And big-name employers are starting to hire online graduates, according to admissions officers at American Military University, a regionally accredited online university.

Alumni have gone on to work at the State Department, the Transportation Security Agency and the New York Police Department.

"Lots of companies hire our students," said Joe Cockrell, a University of Phoenix spokesman.

At the Central Intelligence Agency, for example, 5 to 10 percent of new employees completed some or all of their degree work on the Internet.

Cockrell said a 2005 survey of 2,000 of the University of Phoenix's graduates showed that 8 percent reported earning a raise or promotion within one year of getting their degree.

But offline academics maintain that traditional degrees are more valued than their virtual counterparts.

For Penn students, that's very good news.

"Most employers of interest to Penn students are not hiring people who get degrees from online institutions," Director of Career Services Patricia Rose said. "These people are not our competitors."

"I have never once spoken to an employer or grad-school admissions person who ever mentioned that they were recruiting from these online places," Rose added.

Because it can be difficult to determine whether an online university is actually legitimate, employers must look carefully to ascertain whether applicants possess the skills necessary for the job.

"The people who do the hiring are paying a lot of attention to where the degrees are from," Fels Institute of Government Director Don Kettl said. "A Penn degree gets a lot more attention than an online degree simply because of the quality and source."

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