A Stronger Workforce for America Act of 2026

This section amends the stated purposes of the Workforce Innovation and Opportunity Act. It explicitly adds 'economic mobility' and 'reduce dependency on public assistance programs' as goals, alongside preparing a globally competitive workforce for in-demand industry sectors and occupations, particularly for youth. It also updates terminology from 'support services' to 'supportive services'.

This section significantly revises key definitions within WIOA, including 'foundational skill needs' (now including digital literacy), 'employer-directed skills development' (with specific employer cost-sharing requirements), 'dislocated worker' (including those displaced by automation), and introduces new terms like 'co-enrollment', 'digital literacy skills', 'evidence-based', 'labor organization', 'regular high school diploma', 'work-based learning', and 'talent marketplace' (with components like credential registry and skills profile generator).

This section mandates a review and potential redesignation of local workforce development areas. States must review existing regions and local area designations, with a process for chief elected officials to approve or propose alternate redesignations. It sets specific timelines for initial and subsequent reviews (every 8 years) and allows for interim revisions under certain conditions, including incentives for local areas to consolidate.

This section significantly revises the WIOA performance accountability system. It updates primary indicators of performance for youth and adult programs, including new metrics for training participants in work-based learning and median earnings gain. It also modifies the process for setting performance levels, requiring the Secretary of Labor to propose expected levels and States to respond. Sanctions for failing to meet performance measures are revised, with specific reductions in state and local allocations and reallotment mechanisms. New reporting requirements include disaggregation by barriers to employment and median earnings gain for training participants.

This section overhauls the process for identifying eligible providers of training services. It establishes general criteria (preparing for high-skill/high-wage/in-demand jobs, leading to recognized postsecondary credentials, offered for at least 1 year) and new performance criteria (credential attainment rate, job placement rate, median earnings, ratio of median earnings increase to program cost). It introduces 'employer-sponsored' and 'Workforce Innovation Leader (WIL)' designations with specific benefits and requirements. Eligibility revocation procedures are strengthened, and a publicly accessible 'talent marketplace' for program information is encouraged.

This section amends youth participant eligibility, including a 40-day provisional enrollment period and special rules for homeless and foster youth. It revises the out-of-school youth funding priority from 75% to 70% of funds, with a local area target of not less than 45%. It expands allowable statewide and local youth activities, emphasizing work-based learning, digital literacy, and coordination with apprenticeship programs. It also introduces individual training accounts for eligible youth and sets specific requirements for summer and year-round employment opportunities.

The bill authorizes Governors to reserve up to 10% of WIOA youth, adult, and dislocated worker funds (matched by other state/federal funds) to establish two new state-level funds: a Critical Industry Skills Fund and an Industry or Sector Partnership and Career Pathways Development Fund. The Critical Industry Skills Fund provides performance-based payments to eligible entities for skills development in governor-identified critical industries, with employer cost-sharing. The Industry/Sector Partnership Fund awards grants to eligible partnerships to establish or expand industry partnerships and career pathway programs, with matching requirements and specific objectives for economic growth and worker training.

This section amends the State allotments for adult and dislocated worker employment and training activities. It updates cross-references to include new subsections related to dislocated worker projects and workforce data quality initiatives under section 169, ensuring these new activities are appropriately funded from the overall allotments.

This subtitle makes extensive changes to the Job Corps program, consistently replacing 'centers' with 'campuses'. It expands eligibility to individuals up to age 24 (from 21) and includes members of the Armed Forces eligible for preseparation counseling. It streamlines eligibility for homeless and foster youth. New requirements for campus operators include demonstrating past performance, offering career and technical education aligned with local employment, and implementing effective behavior management plans. Performance assessments are strengthened, with specific sanctions for underperforming campuses, including potential closure or transfer to state operation. It also authorizes increased funding for technical assistance.

This section establishes a new Reentry Employment Opportunities Program within WIOA, funded by specific appropriations. It authorizes competitive grants and intermediary awards to eligible entities (including non-profits, local boards, and industry partnerships) to implement reentry projects for eligible adults (25+) and youth (14-24) involved with the justice system. Projects must provide individualized career services and training services, with a priority for high-poverty or rural areas and those serving individuals pre- or post-release. It includes a pay-for-performance component and requires rigorous evaluation of effectiveness and recidivism reduction.

This section establishes a new Youth Apprenticeship Readiness Grant Program, funded by a portion of H-1B visa fees. It authorizes competitive grants to eligible entities (joint labor-management organizations or partnerships including education/workforce entities and employers) to develop new or expand existing pre-apprenticeship and youth apprenticeship programs for individuals aged 16-24. Priority is given to areas with workforce shortages, those expanding opportunities for individuals with barriers to employment, and high-need educational agencies. It includes matching requirements and specific protections for youth in covered occupations.

This section establishes a new competitive grant program for eligible institutions (community colleges, postsecondary vocational institutions, or consortia) to establish, improve, or expand high-quality workforce development programs. Grants are for up to 4 years, with renewal possible based on performance. Priority is given to institutions serving individuals with barriers to employment, incumbent workers needing foundational skills, and those using competency-based assessments. Funds must be used in partnership with employers in in-demand industries, focusing on evidence-based programs, career services, and transparent reporting of credentials and outcomes.

This section establishes the 'Make America Skilled Again Grants' program, authorizing up to 18 pilot projects (10 state-level, 8 local/consortium-level) over a 5-year period, with a possible 4-year renewal. These grants allow states, local areas, or consortia to receive consolidated WIOA funds and waive most statutory and regulatory requirements of Subtitles A and B, in exchange for pursuing innovative reforms and undergoing rigorous third-party evaluation. Participants must receive priority for services (veterans, low-income, dislocated workers, etc.), and projects must demonstrate improved employment and earnings outcomes.

This subtitle transfers all functions of the Adult Education and Family Literacy Act (AEFLA) from the Secretary of Education and the Department of Education to the Secretary of Labor and the Department of Labor. This includes personnel, assets, liabilities, contracts, and appropriations. The Office of Management and Budget is tasked with ensuring no net increase in full-time equivalent employees across federal agencies due to this transfer. The Secretary of Labor gains authority to delegate functions and reorganize entities within the Department to accommodate these new responsibilities.

This subtitle amends the Adult Education and Family Literacy Act (AEFLA) to align with its transfer to the Department of Labor and WIOA updates. It revises purposes to include digital literacy and AI literacy skills, and updates definitions. It subjects AEFLA programs to WIOA's performance accountability provisions, with a specific indicator for integrated education and training. It also enhances state leadership activities to include evidence-based instructional materials, professional development for adult educators (including apprenticeships), and coordination with CTE programs. Matching fund information must be publicly available, and correctional education programs are encouraged to coordinate with reentry projects.

This section amends the Wagner-Peyser Act, which governs the public employment service. It expands the definition of 'State' to include the Commonwealth of the Northern Mariana Islands and American Samoa for allotment purposes. It clarifies that Employment Service offices co-located with one-stop delivery systems can provide basic career services as defined in WIOA. It also explicitly allows for the establishment of a 'talent marketplace' as an allowable use of funds and updates requirements for the workforce and labor market information system to be more real-time and digitally capable.

This section significantly revises the H-1B Job Training Grants program under the American Competitiveness and Workforce Improvement Act of 1998. It permanently returns 12% of H-1B visa fees to the Treasury, allocates $65 million for the new Youth Apprenticeship Readiness Grant Program (Sec. 173), and then allots the remainder to states for individual training accounts for eligible dislocated workers. It sets specific allocation formulas for states and local areas, and establishes requirements for local areas regarding individual training account limits ($5,000 minimum) and the use of WIOA funds after H-1B funds are exhausted. It also defines 'eligible dislocated worker' for these funds.

This section establishes a Center for Technical Assistance for Transforming to Competitive Integrated Employment within the Department of Labor (Office of Disability Employment Policy), in partnership with HHS and ED. The Center will provide technical assistance to employers transitioning from employing individuals with disabilities under special certificates to competitive integrated employment, and to state agencies supporting this transition. It aims to coordinate with existing technical assistance resources.

This section replaces the existing WIOA section 505, requiring the Comptroller General (GAO) to prepare interim and final reports to Congress on federal and state databases and data exchange agreements related to job training information. The report must list existing systems, describe data elements (including those shared between states), study effects on WIOA implementation and individual privacy, explore opportunities to enhance data quality and interoperability, detail data breaches, survey security protocols, evaluate the State Wage Interchange System, assess feasibility of federal data exchange standards, and survey customer service/outcome management systems.