For starters having a masters or PhD implies _less_ programming experience, generally speaking. Its a huge plus for a variety of positions but IME PhD or masters candidates were always a little more raw engineering wise. The way you get good at coding solutions quiclky and on the spot is by writing a lot of code.
Particularly PhDs in Math, EE, or areas of CS that aren't engineering heavy. You hire them to solve problems that your engineers can't solve, not (just) to write code.
Masters degrees are a total crap shoot. I honestly ignore them entirely unless there's a thesis.
