Pre-Apprenticeship Wrap-around Support Services Fund Act of 2025
The Pre-Apprenticeship Wrap-around Support Services Fund Act of 2025 would authorize the Secretary of Labor to award grants to eligible organizations to provide stipends to individuals enrolled in pre-apprenticeship programs. These stipends are intended to cover transportation, partial wage replacement during training, and costs for industry-based credentials, helping remove barriers to participation. Grantees must partner with sponsors of registered apprenticeship programs through formal agreements that ensure training aligns with industry standards and does not displace current workers. The bill requires grantees to track performance metrics (such as the share of participants who enter registered apprenticeships, employment in the related industry, earnings, and credentials earned) and to report annually to the Department of Labor and to Congress. Funding is authorized as needed to carry out the act. In short, the bill seeks to expand access to pre-apprenticeship pipelines by providing targeted financial support to individuals facing employment barriers, with a data-driven approach to monitor progress toward apprenticeship enrollment and job placement in related industries.
Key Points
- 1Grants funded by the act are for stipends to individuals enrolled in pre-apprenticeship programs, aimed at removing financial barriers to participation and progression toward apprenticeships.
- 2Pre-apprenticeship program defined: a program designed to prepare people to enroll in a registered apprenticeship, conducted by a eligible applicant with a formal agreement with one or more sponsors of a registered apprenticeship program, and including both classroom/theoretical work and hands-on training aligned with industry standards (without displacing current employees).
- 3Formal agreement requirement: eligible applicants must establish a formal agreement with sponsors of a registered apprenticeship program that supports entry into a registered apprenticeship after completion and allows earning credit toward such programs; sponsors must review and approve the training annually.
- 4Use of stipends: stipends may be used only for (1) transportation costs, (2) lost wages if training reduces work hours, and (3) costs to obtain industry-based certifications during enrollment.
- 5Priority use: grants must prioritize stipends for individuals who have barriers to employment.
- 6Performance and reporting: grantees must (a) establish primary performance indicators (e.g., apprenticeship enrollment within 12 months after completion, industry employment within 12 months, median earnings, and credentials earned), and (b) annually report data on these indicators, the number of stipends and the amount disbursed, to the Secretary.
- 7Reporting to Congress: the Secretary must report progress and outcomes of each grant to relevant House and Senate committees at least annually.
- 8Eligibility and definitions: the act defines eligible applicants broadly (entities that run or sponsor pre-apprenticeship programs, including labor-management partnerships, industry partnerships, schools, boards, and community-based organizations), and provides definitions for “grantee,” “individual with a barrier to employment,” and “registered apprenticeship program.”
- 9Authorization of appropriations: the act authorizes funding as necessary to carry out its provisions (no fixed cap stated).