By Mary Wurtz and Jackson Beauregard
According to the U.S. Chamber of Commerce, there are approximately 9.5 million job openings in the U.S., but only 5.6 million unemployed workers to potentially fill those roles. Considering these workforce shortages, many states pursue opportunities to expand work-based learning and to invest in upskilling existing workers through registered apprenticeship.
A registered apprenticeship is a high-quality, industry-driven career pathway that combines paid on-the-job training with classroom instruction to prepare workers for skilled careers in a variety of occupations. Historically, apprenticeships have been associated with trade professions, but now more than 1,000 occupations have been approved for registered apprenticeship by the U.S. Department of Labor, including roles in nursing, information technology, cybersecurity, human resources and more.
Registered apprenticeship programs can help states to address workforce shortages by empowering employers to grow their own talent pipelines. Through apprenticeship, employers invest directly in employees by providing training both on the job and in the classroom and mentorship by pairing apprentices with skilled mentors who support them throughout the program. Because apprentices learn while they work, programs typically have few to no minimum experience requirements. This makes apprenticeship programs a great tool for recruiting individuals who have traditionally faced barriers to employment and postsecondary training, like formerly incarcerated individuals or individuals with disabilities.
Throughout the 2023 legislative session, several states adopted strategies to expand registered apprenticeships, such as establishing apprenticeship grant programs, promoting the use of apprenticeships in previously non-apprenticeable occupations and providing additional benefits to individuals in apprenticeship programs.
Texas introduced HB 3723 (2023), which would establish a Rural Workforce Training Grant Program providing targeted funding for job-specific training, including apprenticeship programs, in counties with a population of less than 200,000. Grant money may be used to cover “costs associated with training materials, instructors’ fees, participant wraparound expenses, facility fees, administrative costs, and outreach, mentoring, and recruiting costs” for apprenticeships and other training programs.
Kansas enacted HB 2292 (2023), which establishes multiple grant funds and tax credits for employers offering apprenticeships in a variety of fields, including:
- A tax credit of up to $2,500 per apprentice for employers of apprentices in registered apprenticeship programs, up to 20 apprentices per employer. An additional tax credit of $500 is available per apprentice enrolled in a secondary or postsecondary career and technical education program.
- The Kansas Nonprofit Apprenticeship Grant Program Fund, offering $2,750 per apprentice to “eligible nonprofit employers and nonprofit healthcare employers,” with up to 20 apprentices per employer.
- The Kansas Educator Registered Apprenticeship Grant Program, established to fund tuition, fees, books and materials for education apprentices pursuing postsecondary education degrees. Education apprentices in Kansas can receive up to $2,750 per year for the purpose of increasing the number of qualified, credentialed teachers in the state of Kansas.
Idaho enacted SB 1069 (2023), which amends existing law to enable the State Board of Education to issue a certificate to a teacher who completed an approved registered apprenticeship program. These amendments create the possibility of state developed apprenticeship programs that meet the same standards as traditional teacher preparation programs and will be targeted toward individuals who have not earned bachelor’s degrees. Education degrees are often costly, and requirements of traditional programs, like unpaid student teaching, dissuade many individuals from pursuing their teaching certifications. Idaho is now one of more than a dozen states utilizing paid teacher apprenticeships to address these challenges.
Additionally, Idaho passed HB 16 (2023), which removes barriers for state agencies when hiring apprentices to fill public workforce shortages. Under new legislation, state agencies will be able to hire apprentices to fill shortages without counting them toward their annual budgeted full-time equivalent caps.
Washington enacted HB 1525 (2023), which expands the state’s existing child care subsidies to include individuals participating in a state registered apprenticeship program. Previous bill language included those in a registered apprenticeship, but the individual also needed to be a full-time student. Now, those who are in an apprenticeship program but are not students may receive the child care benefit. Apprentices are eligible to receive child care benefits for the care of one or more eligible children for the first 12 months of their enrollment in a registered apprenticeship program, if the individual’s annual adjusted household income does not exceed 75% of the state median income.
Minnesota enacted HF 1937 (2023), which increases the reimbursement amount that eligible service members and their family members are entitled to receive for costs associated with apprenticeship programs and other on-the-job training programs. The new law increases the aggregate amount of reimbursement from $10,000 to $15,000 over the eligible person’s lifetime, or a total of $3,000 per fiscal year. This reimbursement is in addition to benefits provided under the federal G.I. Bill, which provides funding for books, supplies and housing to veterans in approved apprenticeship programs.
These pieces of legislation build on the work accomplished by states in previous years to expand their apprenticeship systems. For example, in 2019, Alabama passed HB 570, which eliminated barriers to obtaining an occupational license by completing an apprenticeship program. Under the 2019 legislation, individuals who complete an apprenticeship may be granted an occupational license in that trade if the individual also completes all necessary examinations and meets other statutory requirements. The law also states that individuals who complete apprenticeship programs may not be required to complete additional testing requirements, affirming apprenticeships as high-quality preparatory programs for occupational licensure examinations.
Additionally, in 2022, Alaska passed HB 114, which directs the Department of Education and Early Development to “provide educational opportunities in the areas of vocational education and training and basic education to individuals over 16 years of age who are no longer attending school.” This includes encouraging engagement with “businesses and labor unions to develop a program to prepare students for apprenticeships or internships that will lead to employment opportunities.”
As states continue to expand their apprenticeship systems to build new career pathways, The Council of State Governments education and workforce team is available as a resource for policymakers. CSG provides states with no-cost technical assistance on registered apprenticeship, work-based learning and other topics related to workforce development. CSG can also help states to develop registered apprenticeship programs in state and local government to address their own public sector workforce needs.
For more information, contact CSG Policy Analyst Mary Wurtz via email at [email protected].
