Labor & Employment

Workforce Innovation and Opportunity Act Adult and Dislocated Worker funds; minimum allocation requirement waived. Authorizes the Department of Workforce Development and Advancement to waive the 40 percent allocation requirement of certain funding under the federal Workforce Innovation and Opportunity Act of 2014 for a local workforce development board that submits a request for a waiver and demonstrates that the board is unable to meet the requirement due to (i) a lack of available training providers in the local workforce development area, (ii) a lack of demand for training services among eligible participants, or (iii) other extraordinary circumstances. The bill requires the Department to develop and publish a process for the application and approval of such waivers.

Unemployment benefits; maximum duration. Provides that, beginning July 1, 2026, for claims effective on or after July 1, 2026, an eligible individual's weekly unemployment compensation benefit amount shall be paid for a maximum duration of 26 weeks.

Economic development incentives; wage requirements. Requires companies to pay an average wage for the jobs eligible for assistance under the component programs of the Virginia Jobs Investment Program that is no less than the prevailing average wage, defined in the bill, or, in the case of an economically distressed locality, defined in the bill, no less than 85 percent of the prevailing average wage. Under current law, to be eligible for the component programs, companies must pay a minimum entry-level wage rate per hour of at least 1.2 times the federal minimum wage or the Virginia minimum wage, whichever is higher, and in areas that have an unemployment rate of 1.5 times the statewide average unemployment rate, the wage rate minimum may be waived. The bill also authorizes the payment of Virginia Investment Performance Grants if the average wage paid by the eligible manufacturer or research and development service, excluding fringe benefits, is no less than 85 percent of the prevailing average wage in localities with either (i) an annual unemployment rate for the most recent calendar year for which such data is available that is greater than the final statewide average unemployment rate for that calendar year or (ii) a poverty rate for the most recent calendar year for which such data is available that exceeds the statewide average poverty rate for that year. Under current law, such authorization is limited to those localities meeting both the unemployment rate and poverty rate thresholds.