Industry-created problem
I've found most of the job postings for IT positions (in my corner of the world, at least) include, "Computer Science degree required" -- even for some entry level positions such as Service Desk. In some cases experience can be substituted, but not all. If the employer posts unrealistic demands does it free the potential employee to provide an unrealistic resume? Ethically, no, but in a practical sense it does. What matters more than any educational experience is the bottom line: can the applicant do the job. If they have demonstrated they can, then retain them. My personal morality doesn't permit to lie about my qualifications, but I understand the temptation to do so. I like info@'s idea, that if the company wants to press the issue for a model employee, then offer them a choice: quit or get the degree.