1. Limiting your hiring to a tiny set of schools makes about as much sense as only interviewing candidates with names that start with A-F or candidates that come from California. You're just going to end up with a smaller list, not a better list.
2. I thought there was this dire "shortage of engineers", at least that's taken as a given on HN. Why the need for an arbitrary filter?
http://mobile.nytimes.com/2014/02/23/opinion/sunday/friedman...
my own personal experience (from > 20 years in professional workforce) is that there's generally very little correlation between work performance and academic pedigree. For entry level positions, I've seen a bit, but after, say, 5-8 years, people are generally either really good at what they're doing, and are getting better, or they're struggling. I've not seen any correlation between the strugglers/non-strugglers and where they went to school, or indeed, to some extent, what they studied.