Continuing Resolution passes without WIOA reauthorization

Dec. 20, 2024 – The 118th Congress will conclude without having completed work to reauthorize the Workforce Innovation and Opportunity Act (WIOA). This leaves our nation’s public workforce system once again at a crossroads as workforce development boards look ahead to the future.

WIOA was last updated in 2014 with an authorization period of five years, concluding in 2019. It remains a national imperative that Congress work to successfully reauthorize this critically important public investment which serves as the workforce ecosystem’s backbone in communities and states across this country.

Newly updated WIOA legislation is needed to ensure services to thousands of employers, learners, and workers as they seek to leverage the public workforce system to find dignity through work, build new skills, change careers, and to secure family-sustaining employment.

The National Association of Workforce Boards–which serves, supports and represents workforce boards–looks forward to working with the 119th Congress to update WIOA to meet the current moment and to help more Americans find success in today’s dynamic economy. We stand ready to work together to that critical end.

Election 2024: Initial Takeaways

Here’s What We Know:

  • Donald Trump has been elected as the 47th President of the United States. In his previous term, the former President supported workforce development policies that emphasized employers’ roles and contributions to the workforce system.
  • Republicans have regained control of the U.S. Senate for the 119th Congress, which begins in January, but the final margin of control is still being sorted out.
  • The Senate Republican conference is expected to begin deliberations to elect a new Majority Leader in the next few weeks. Current frontrunners for this position are Senators John Thune (R-SD), John Cornyn (R-TX), and Rick Scott (R-FL).
  • As the party controlling the Senate, Republicans will serve as Chair of each Senate committee:
  • The Senate Health Education Labor and Pensions (HELP) Committee will likely be led by Sen. Bill Cassidy (R-LA).
  • The Senate Appropriations Committee will likely be chaired by Sen. Susan Collins (R-ME).
  • There will be many new U.S. Senators in the 119th Congress, including:
    • Angela Alsobrooks (D-MD)
    • Jim Banks (R-IN)
    • John Curtis (R-UT)
    • Jim Justice (R-WV)
    • Andy Kim (D-NJ)
    • Bernie Moreno (R-Ohio)
    • Pete Ricketts (R-NE)
    • Adam Schiff (D-CA)
    • Lisa Blunt Rochester (D-DE)
    • Tim Sheehy (R-MT)
  • Several races are still too close to call.
  • U.S. House races will take more time to be determined, so control of the House remains uncertain at this time.

Here’s What’s Next:

  • NAWB will share information as it becomes available on committee leadership, the final makeup of Congress, and prospects for workforce policy in the 119th Congress.
  • NAWB will advocate for a strong investment in workforce development in the new president’s budget, inaugural address, and Cabinet nominations. This includes reaching out to the White House Transition Team.
  • NAWB will host a special post-election Public Policy PowerUp for our members on Friday, Nov. 22, at 1pm EST.
  • NAWB is already planning Workforce Advocacy Day, which will take place immediately following The Forum in Washington DC.

Here’s What You Can Do:

  • Tell us about your connections to newly-elected (or re-elected) members of Congress or local officials. This will help us in planning our advocacy throughout the year. Email us at nawb@nawb.org
  • Plan to join us for Workforce Advocacy Day. This is the ideal opportunity to tell the powerful story of workforce development in your community and to build strong relationships with our elected officials in Washington.
  • Congratulate everyone in your community who ran for office, even if they didn’t win. This is a great way to acknowledge community leaders and build relationships with potential future leaders.

Your Voice Matters:

Every new member of Congress will come to Washington with a different level of knowledge about the workforce development system. It will be up to all of us to educate them about how the system serves their constituents and how Congress can bolster it.

NAWB is committed to providing the tools and resources needed to advocate effectively on these issues.

Election Day is Next Week: Here’s What We’re Watching

Election Day is Next Week – Here’s What We’re Watching

The House of Representatives:

  • All 435 seats in the U.S. House of Representatives, along with six non-voting Delegate positions, are up for grabs. With 45 House members not running for re-election and many competitive races, there will likely be significant turnover, leading to many new faces in Congress and possibly a reorganization of House committees.
  • The House is currently controlled by Republicans with a 220-212 margin over Democrats, while three seats are currently vacant. This balance of power will determine whether:
    • Rep. Mike Johnson (R-LA) continues as Speaker, or if
    • Rep. Hakeem Jeffries (D-NY) takes the gavel if Democrats gain a majority.
  • Control of the House dictates leadership across its committees, as the majority party selects committee chairs and generally holds proportionate representation in each committee.
  • With Republicans in control, they currently lead all House committees. This would shift if Democrats gain a majority.
  • Committee chairs are chosen within each party, although membership distribution doesn’t always strictly follow the House’s overall composition.
  • Notably:
    • Rep. Virginia Foxx (R-NC), who currently chairs the House Education and Workforce Committee, is term-limited from remaining Committee Chair. Likely successors include:
      • Rep. Tim Walberg (R-MI)
      • Rep. Burgess Owens (R-UT)
  • Additionally, re-elected members may switch committees to pursue seats on prestigious committees like Appropriations, Ways & Means, and Commerce, which could significantly alter committee compositions.
  • The upcoming changes in committee leadership, membership, and potentially the overall House majority could reshape legislative priorities in 2025, especially in areas like workforce development, currently overseen by the House Education and Workforce Committee. This turnover and restructuring could have a lasting impact on policy-making and committee focus within the House.

The Senate:

  • One-third of the U.S. Senate seats will be contested, with eight Senators deciding not to run for re-election.
  • The Senate is currently controlled by the Democrats, holding a narrow majority with 47 seats, alongside four Independents who typically vote with them, compared to the Republicans’ 49 seats.
  • If Democrats retain control:
  • Sen. Charles Schumer (D-NY) is expected to continue as Majority Leader.
  • If Republicans gain more seats than Democrats:
  • They will select a new Majority Leader to set the Senate’s agenda.
  • In the event of a 50-50 split, the newly elected Vice President would cast the deciding vote and determine Senate control.
  • Control over the Senate also dictates the leadership and composition of its committees:
  • Democrats currently chair all Senate committees. A shift in majority would hand Republicans control of committee leadership.
  • Committee membership is usually distributed to reflect the Senate’s overall makeup. For example, if one party holds 55% of the Senate seats, they would fill around 55% of each committee’s seats.
  • The outcome of the Senate race will not only affect the leadership and legislative direction of the upper chamber but also the committee dynamics that play a vital role in shaping, reviewing, and advancing legislation across a wide array of policy areas.

What does this all mean?

We will be closely watching on Election Day to see:

  • Which party will control each chamber.
  • Which incumbents are re-elected or replaced.
  • Which members have a chance to become committee chairs.

As in previous years, election results may not be known for days or weeks, and some close races could result in a recount or a run-off election. We will report our findings in:

  • Weekly NAWB News
  • Policy Alert emails
  • During our next Public Policy PowerUp on Friday, Nov. 22.
    • At this event (free and exclusively for NAWB members), we will do a deep dive into what the 119th Congress is shaping up to look like—and what policies are likely to be pursued—when the new Congress is sworn into office on Jan. 7, 2025.

Make Your Voice Heard!

With less than a week left until Election Day 2024, use [this resource] to check the rules in your state regarding:

  • Registration
  • Mail ballots
  • Early voting

Make a plan to vote to ensure your voice is heard!

Local WIOA Constituency Group Reauthorization Letter

NAWB partnered with US Conference of Mayors, National League of Cities, National Association of Counties, and US Workforce Associations on this letter to Senate HELP Committee Chairman Bernie Sanders and Ranking Member Cassidy on current WIOA reauthorization proposals.

August 12, 2024

TO:

The Honorable Bernie Sanders
Chairman, U.S. Senate Committee on Health, Education, Labor and Pensions
Washington, D.C., 20510

The Honorable Bill Cassidy
Ranking Member, U.S. Senate Committee on Health, Education, Labor and Pensions
Washington, D.C., 20510

Dear Chairman Sanders and Ranking Member Cassidy,

On behalf of the National Association of Counties (NACo), National Association of Workforce Boards (NAWB), National League of Cities (NLC), U.S. Conference of Mayors (USCM), and U.S. Workforce Associations (USWA), we are writing to provide recommendations for the reauthorization of the Workforce Innovation and Opportunity Act (WIOA). WIOA is a critical tool that empowers local governments, workforce boards, and other local stakeholders to connect individuals with in-demand skills training and education needed by employers.

A thoughtful reauthorization of WIOA—one that balances the needs of workers, learners, employers, and their communities—is crucial to our members, who play an integral role in the legislation’s implementation.

As the committee continues to discuss the best way to modernize our nation’s workforce system, we urge you to consider the following:

1. Sufficiently Resource the Public Workforce System

Currently, there are about 6.5 million Americans seeking employment, with an estimated 8.7 million job openings that businesses are struggling to fill. Through Local Workforce Development Boards (LWDBs) and more than 2,000 American Job Centers across the nation, our members are helping nearly 3 million jobseekers access quality training and services. Unfortunately, funding for core Title I WIOA programs has steadily eroded over time, and inflation has compounded these challenges. Increasing the investment in WIOA is essential to ensure that employers have the skilled talent they need while also supporting vulnerable populations’ participation in the economy. This is especially critical as the labor force participation rate has not yet recovered to pre-pandemic levels.

Adequate funding will also help achieve other goals of reauthorization, including increasing access to high-quality training and ensuring state and local systems can respond to both immediate and long-term challenges.

As discussed in the Senate’s hearing on WIOA reauthorization, we must substantially strengthen the investment in our public workforce system. Unfortunately, the House’s WIOA reauthorization proposal (H.R. 6655) proposes only a 3% increase in WIOA funding. We urge the Senate to authorize at least $15 billion annually for core WIOA Title I programs to meet current and future demand for skilled talent. These proposed funding levels are supported by several analyses and would help the U.S. keep pace with other developed nations investing more in workforce development.

2. Training Requirement for Adult and Dislocated Worker Formula Funds

We commend the committee for excluding a federal training mandate in its recent discussion draft. A federal mandate would be counterproductive, especially for underserved populations, and it contradicts the core principle of WIOA, which allows local entities to tailor services to the unique needs of their communities. Mandating training services without considering the importance of supportive services could harm vulnerable populations. We also caution that funds from H-1B visa fees are insufficient to meet the demands of such a mandate, especially given the uncertainty of this funding source.

3. Local Workforce Development Area (LWDA) Redesignation and Single-State Designations

We strongly oppose the current structure for LWDA redesignation and single-state designations, which bypass the voice of local stakeholders. If redesignation provisions must remain, a “fallback” option should be included that allows local stakeholders to negotiate alternative LWDAs. Any redesignation efforts should prioritize local community needs and require states to demonstrate that their actions will improve outcomes for participants and employers.

4. State-Level Set-Asides

We are concerned about the proposal to increase the state-level set-aside allowance to 25%, which could leave fewer resources for local entities to implement WIOA programs. We recommend maintaining the existing 15% Governor’s Reserve Fund to ensure that local systems have adequate resources to serve jobseekers and employers.

5. Digital Literacy

We support expanding the definition of foundational skills to explicitly include digital literacy, ensuring that individuals can adapt to the evolving technological landscape.

6. Eligible Training Provider Lists (ETPL)

We recommend clearer and more consistent criteria for Eligible Training Providers (ETPs) to ensure that training programs prepare participants for quality jobs. These criteria should be attainable, applicable to all ETPs, and reflective of the diverse populations served by WIOA.

7. Additional Flexibility for Local Governments and Workforce Boards

Flexibility is essential for local governments and workforce boards to respond to changing economic conditions. We support greater flexibility in LWDBs’ budgetary authority and in the use of training funds for incumbent workers. We also encourage flexibility in implementing youth work experiences and public outreach to raise awareness of federally funded workforce initiatives.

8. One-Stop Delivery System

We support the inclusion of provisions allowing LWDBs to serve as one-stop operators and greater flexibility to expand access through affiliated locations, such as libraries and community colleges. Additionally, dedicated funding for the physical infrastructure costs of one-stop centers is essential to free up more resources for training and support services.

We appreciate the Senate’s work to reauthorize WIOA and look forward to continuing to collaborate with you to update the nation’s workforce system. If you have any questions or would like to discuss these recommendations further, please feel free to reach out to our staff:

Mike Matthews (NACo) at mmatthews@naco.org
Gail Ravnitzky Silberglied (NAWB) at silbergliedg@nawb.org
Stephanie Martinez-Ruckman (NLC) at martinez-ruckman@nlc.org
Kathy Amoroso (USCM) at kamoroso@usmayors.org
Chris Andresen at Chris.Andresen@dutkogr.com

Sincerely,

 

House Appropriations Committee Approves Deep Cuts for Workforce Funding; NAWB Condemns Unacceptable Funding Levels

The House Appropriations Committee approved the FY25 Labor-HHS-Education spending bill on July 10, 2024

The voting breakdown? 31-25 party-line vote. Disappointingly, the bill reduces funding for WIOA Adult and Dislocated Worker Employment and Training and wholly eliminates funding for WIOA Youth Job Training.

The National Association of Workforce Boards (NAWB) strongly opposes these drastic cuts to our nation’s workforce development system.

Brad Turner-Little’s Statement on the Cuts:

“It’s time for Congress to make a real investment in workers, learners, and employers, especially at a time when there are over 8 million job vacancies in our country,” said Brad Turner-Little, NAWB’s president and CEO. “Filling those jobs with skilled workers is essential to ensuring economic vitality in all our communities. We urge Congress to strengthen the investment in the American workforce, rather than reducing support for the publicly funded workforce system.”

Impact on Youth and Adults:

Appropriations Committee Ranking Member Rosa DeLauro (D-CT) pointed out that 134,000 youth—who already face complex challenges in finding employment—would lose access to job training and employment services. She added that 250,000 adults would lose training and employment services if this bill is enacted.

Funding Overview:

Funding for this bill is $185.8B, which represents a reduction of approximately $8.6B from the bill enacted for FY24. The full House of Representatives will consider the bill the week of July 29, 2024. Numerous amendments are expected to be filed.

NAWB Feedback to Senate on WIOA Reauthorization Discussion Draft

NAWB Feedback to Senate on WIOA Reauthorization Discussion

NAWB is pleased to share our feedback on the Senate discussion draft to reauthorize the Workforce Innovation and Opportunity Act (WIOA). As noted on the NAWB Blog, the Senate Health, Education, Labor, and Pensions (HELP) Committee released a discussion draft and opened a process for collecting feedback prior to a formal bill introduction.

All feedback is due to the Senate HELP Committee in a specific format by 5 p.m. ET on Friday, July 5, 2024. NAWB members are encouraged to participate in this process, either reinforcing the messages below or providing their own feedback.

NAWB worked closely with members and partners, including organizations focused on the needs of local communities, convened NAWB members through a Public Policy PowerUp (formerly known as Policy, Coffee and Conversation), and collaborated with the Campaign to Invest in America’s Workforce coalition to gather feedback and develop strategies for engagement.

Concerns with Key Provisions

  • Redesignation of Workforce Development Areas Must Be Based on Local Needs, Result in Improved Outcomes, and Ensure Service Delivery (sec. 115; p. 23-30)
    • Local workforce systems exist to address unique community needs. Redesignation of local workforce areas should only occur if it leads to improved outcomes for WIOA participants. Strong quality assurances are necessary to prevent inequitable service delivery for underserved populations and ensure adequate support in rural areas and for small and medium-sized employers.
    • Feedback: NAWB recommends that redesignation only occur with consent from local workforce leaders and that the process ensure improved outcomes and service delivery.
  • State Single Area Designations Are an Extraordinary Step that Should Not Be Taken Lightly (sec. 115; p. 33-35)
    • The draft would allow 25 states to adopt a single statewide designation, potentially eliminating critical local workforce infrastructure.
    • Feedback: NAWB recommends state legislatures have a greater role in these determinations, lowering the population threshold for consideration, reducing the number of local areas required for eligibility, and shortening the timeline for reconstitution if efforts are ineffective.
  • Requiring Six New Standing Committees Will Divert Staff Time and Resources (sec. 116; p.36-37)
    • Proposed standing committees would divert resources from essential services to administrative tasks. This burden is compounded by provisions that allow states to reserve WIOA funds beyond local areas, further reducing capacity for local boards to manage the proposed requirements.
    • Feedback: NAWB recommends standing committees remain optional, allowing local boards to prioritize community needs.
  • Local Workforce Boards Must Retain Optimum Policymaking Authority (sec. 116; p. 42)
    • Current law requires local board members to have “optimum policymaking authority” within their organizations. The draft proposes eliminating this requirement.
    • Feedback: NAWB recommends retaining this provision to ensure effective implementation of decisions.
  • Establish One-Stop Delivery Systems Where Appropriate (sec. 121; p. 87)
    • Flexibility is essential for local boards to establish one-stop operators based on community needs.
    • Feedback: NAWB recommends empowering local boards to serve as one-stop operators when conditions are met.
  • A 25% Set-Aside Diverts Resources from Local Communities (sec. 132; p. 138)
    • The draft would allow governors to reserve an additional 10% of WIOA funding for statewide initiatives, which could reduce local resources.
    • Feedback: NAWB recommends alternative funding mechanisms to avoid shortchanging local communities.
  • Clarify the Use of Funds for Youth Workforce Experience Activities (sec. 133; p. 155)
    • Proposed changes to youth funding requirements are overly prescriptive and could disincentivize employer participation.
    • Feedback: NAWB recommends reducing these requirements to maximize flexibility and increase employer engagement.
  • Funding the Workforce System Maximizes Local Economic Vitality (sec. 149; p. 234-235)
    • Decades of funding erosion for core WIOA programs have diminished the public workforce system’s ability to meet emerging needs.
    • Feedback: NAWB recommends significantly increasing authorized funding over the next five years to signal the importance of greater investment.

Breaking News: Senate Releases WIOA Reauthorization Discussion Draft

Senate Releases WIOA Reauthorization Discussion Draft

The Senate has released a discussion draft of a bill to reauthorize the Workforce Innovation and Opportunity Act (WIOA). This draft is intended to gather feedback before finalizing the bill, and NAWB plans to actively engage in the process.

NAWB participated in a Senate committee staff briefing and conducted an initial review of the legislative text. Below are key takeaways:

Topline Takeaways from the Discussion Draft

  • No Training Mandate
    • The draft does not include a mandatory training expenditure, a significant improvement over the House-passed proposal, which mandated 50% of Title I Adult and Dislocated Worker funds to be allocated for training. NAWB is highly supportive of this approach.
  • Re-designation of Local Workforce Development Areas (LWDAs)
    • The proposal increases flexibility for state governors to consolidate or restructure LWDAs, going further than the House version in enabling these changes. NAWB is increasingly concerned about the potential implications of this provision.
  • Statewide Funding Reservations
    • Similar to the House proposal, the Senate draft allows states to reserve an additional 10% of WIOA Title I funding for statewide initiatives. However, it is more prescriptive, requiring these funds to support Industry/Sector Partnership efforts or employer-based training. NAWB remains apprehensive, as this reduces funding available for local communities to address their priorities.
  • Funding Levels
    • The draft does not specify authorized funding levels, instead using broad “such sums as may be necessary” language. This grants appropriations leaders greater discretion in determining WIOA funding. Additionally, the draft introduces a new funding stream using H-1B visa fees to support Individual Training Accounts. NAWB continues to emphasize the need for robust funding to ensure the public workforce system can meet current and emerging needs.

NAWB will continue to elevate these concerns and collaborate with Congress to advocate for a strong, well-funded workforce development system.

NAWB Provides Testimony to Senate Appropriations Subcommittee

NAWB Testifies for a 5% Funding Increase for WIOA Title I Programs. Read the full testimony below:

Introduction

My name is Brad Turner-Little, and I am privileged to serve as the President and CEO of the National Association of Workforce Boards (NAWB). We represent the nation’s nearly 600 Workforce Development Boards, which coordinate with education and economic development stakeholders to administer regional workforce programs to meet the needs of jobseekers, employers, and their communities.

I appreciate the opportunity to submit this testimony in support of an increased federal investment in the primary Title I formula programs authorized by the Workforce Innovation and Opportunity Act (WIOA), including Adult and Dislocated Worker Employment and Training, and Youth Employment Activities.

Proposed Investment

Specifically, we encourage the subcommittee to invest at least $3.08 billion collectively for these three WIOA programs as part of the FY2025 Labor-HHS-Education appropriations bill. This represents a 5% increase over current levels of investment.

The Workforce Development Challenge

  • There are approximately 6.5 million jobseekers in America.
  • Businesses are struggling to fill 8.5 million jobs.
  • Local Workforce Development Boards (WDBs) are the key to connecting these populations.

Role of Workforce Development Boards (WDBs)

  • Conveners and Collaborators: WDBs coordinate with federal, state, and local stakeholders to support economic expansion and workforce talent development.
  • Community Anchors: WDBs manage over 2,000 American Job Centers that deliver direct services to workers and employers.
  • Customized Solutions: WDBs design training programs tailored to local needs, providing skills to underemployed workers and creating partnerships with employers to address workforce challenges.
  • Proven Results: In the most recent program year, core WIOA programs served three million individuals, with over 70% finding employment after receiving services.

Addressing Emerging Trends

Workforce Development Boards must respond to major trends like:

  • Artificial Intelligence (AI) and automation.
  • Upskilling and retraining workers to adapt to technological advancements.

Recent Senate initiatives on AI underscore the importance of workforce retraining and preparation, aligning perfectly with WIOA’s mission.

The Case for Increased Funding

  • Core Title I WIOA program funding has steadily eroded over decades.
  • Real-world impact:
    • Kansas: A 46% funding decrease over the last 10–12 years.
    • Mobile, Alabama: A 40% funding cut in the last five years limits critical services like On-the-Job Training and youth programs.

The Need for Action

NAWB calls on Congress to invest at least $3.08 billion for WIOA programs in FY2025. This is an essential first step toward closing the growing funding gap, ensuring jobseekers can access training, and employers can find skilled workers to remain competitive.

Conclusion

Increasing WIOA funding is a win-win for workers and businesses alike, boosting economic growth and addressing the nation’s labor force challenges.

Final Appeal

NAWB urges the Subcommittee to support this critical investment in America’s workforce and labor market. Thank you for the opportunity to share this testimony.