Labor & Employment (Apprenticeships)

The American Workforce Act establishes a federal program that provides paid, full-time workforce training for U.S. citizens with high school diplomas (but no bachelor's degrees or higher) in high-wage, high-demand industries. The program requires employers to enter into approved American workforce contracts with trainees, providing structured on-the-job work and educational training while paying trainees at or above minimum wage standards. It authorizes workforce education subsidies to employers (up to $9,000 per trainee) to cover training costs, with specific requirements for training quality, credentialing, and transparency about wages and job outcomes. Employers must provide detailed public disclosure about their programs and meet certain standards for training and compliance, with oversight by the Director of the American Workforce Division. The program is set to sunset after 11 years or when the Secretary submits the 10-year report to Congress.

This bill requires states to ignore income earned during the first year of a registered apprenticeship when determining eligibility for Temporary Assistance for Needy Families (TANF) welfare benefits. It directly affects low-income individuals entering apprenticeships who might otherwise lose welfare support due to their first-year earnings. The law mandates states to disregard this income in eligibility calculations, with a penalty of a 1% reduction in federal TANF funding for states that fail to comply. The policy change takes effect in the first federal fiscal year after the bill becomes law, ensuring apprentices can maintain welfare access while starting their training.

The Apprenticeship Infrastructure Tax Credit Act of 2025 creates a tax credit for employers hiring apprentices in infrastructure-related occupations, offering $3,000 per apprentice annually (or $6,000 for veterans, National Guard/reserve members, or military spouses). The credit applies for two consecutive tax years for apprentices enrolled in registered programs meeting federal standards, with a total cap of $5 billion. It specifies infrastructure occupations including construction, installation/maintenance, production, and IT roles, requiring employers to verify apprentices are new hires reported via W-2, not 1099 contractors. The Department of Labor will issue eligibility certificates to employers based on program data, and credits will be tracked and reported annually to ensure the $5 billion cap is not exceeded.

This bill creates a new tax credit for employers who provide training to non-highly compensated employees that leads to recognized postsecondary credentials like industry certifications, licenses, or associate degrees. The credit equals 20% of qualified training expenses (after accounting for previous years' spending), with a special 10% rate for businesses with no prior training costs. Small businesses with under $5 million in annual revenue can elect to apply part of this credit against payroll taxes instead of income tax. Qualified training must be provided through approved channels like community colleges, apprenticeships, or industry partnerships, and must result in an industry-recognized credential. The bill requires the Department of Labor to define "recognized postsecondary credential" within one year of enactment.

Validate Prior Learning to Accelerate Employment Act This bill incorporates assessments that measure an individual's prior knowledge, skills, competencies, and experiences into specified state and local employment training activities under the Workforce Innovation and Opportunity Act. An assessment may be used, for example, to award a recognized postsecondary credential that employers use for recruitment, hiring, retention, or advancement purposes.

HR 2910, the Youth Workforce Readiness Act of 2025, establishes a federal grant program to fund community-based organizations in creating after-school and out-of-school-time workforce readiness programs for youth aged 6-18. The bill authorizes $100 million annually (2026-2030) to support activities like career pathway planning, paid work experiences (including apprenticeships), occupational skill training aligned with local job needs, and employer partnerships. It directly affects eligible youth - particularly those in underserved communities - and requires grantees to coordinate with schools, employers, and local workforce boards, while mandating youth councils to advise on program design. The program emphasizes measurable outcomes, including improved school attendance, skill development, and transitions to postsecondary education or employment.

This bill creates a new grant program to fund high-quality workforce development programs at community colleges. It directs the Secretary of Labor to award competitive grants to community colleges that partner with employers in high-skill, high-wage, or in-demand industries to develop programs leading to nationally or regionally portable postsecondary credentials. The grants require evidence-based program design, employer engagement, and tracking of outcomes like program completion rates and job advancement for participants. Funded at $65 million annually from 2026-2031, the program prioritizes serving individuals with employment barriers, incumbent workers, and new workforce entrants through community college partnerships.