It's not just MBAs it's M*, I have a close friend who works in the administration for a well known university, her department administration will not hire any junior person that doesn't have a masters degree, it doesn't particularly matter what masters degree they have, just as long as they have one.

In addition to requiring a masters degree, my friends admin department is way over staffed, having come from private industry my friend is shocked at how little people do. My friend has a boss whose screen they can see, and estimates that the boss puts in roughly 15mins of work per day and spends the rest of the time on Twitter & Facebook. My friend estimates that the headcount is roughly 3 times more than it would be in private industry