Until you won't fix hiring discrimination based on school name, you can't fix the problem. Just see around in silicon valley you can find the example.
Don't know if it's more difficult as a fresh grad from a no-brand name institution though - I would imagine so.
Having interviewed 500+ people at this point (and screened many many more resumes and github accounts), i'd there are rarely, if ever, meaningful differences in quality of candidate based on where they got their CS degree from.
I see much greater variation in masters/graduate candidates than in undergrad.
Disclaimer: I taught CS classes in both Berkeley and MIT.
Most new grads suck at coding. The self taught are often a little better.
The algorithms and data structures part is a toss up. Maybe they are good at class and bad in interviews, but ... On average I haven't seen the correlation you have.
Edit: HN downvotes tell me I'm supposed to pretend that I'm not supposed to pretend silly things. Neat really.