The Jobs Now Act of 2025 creates a two-year, competitive pilot program under the Workforce Innovation and Opportunity Act (WIOA) to award grants to units of general local government or community-based organizations. The goal is to retain, employ, or train workers who provide public services for a local government unit. At least 50% of grant funds must be used to retain employees who would otherwise be laid off due to budget cuts, with flexibility to adjust if that amount would exceed the retention need. After retention needs are met, remaining funds can be used to hire new public-service staff or to train workers for public-service roles. The bill prioritizes grants for veterans, individuals with disabilities, unemployment-benefit recipients, and dislocated workers, and it prioritizes units and organizations in areas with high unemployment, foreclosure, or poverty. Applications are required, and a Congress-macing report evaluating hires, training, retention, and best practices is due two years after funds are first appropriated. The act authorizes $1 billion for 2026-2027 to fund the program.
Key Points
- 1Creates a 2-year pilot program (Sec. 173) within Subtitle D of Title I of WIOA to award grants to units of general local government or community-based organizations to retain, employ, or train employees who provide a public service for a local unit.
- 2Uses and allocations of funds (a) Required use: at least 50% of the grant must be used to retain employees providing public services who would otherwise be laid off; exception if 50% exceeds the retention need. (b) Authorized use: any remaining funds can hire new public-service staff or train for new positions.
- 3Priorities (d): Grants should prioritize veterans, individuals with disabilities, unemployment-benefit recipients, and dislocated workers.
- 4Priority for units/organizations (e): Grants go to units with higher unemployment, foreclosure, and poverty rates; organizations located in those units also get priority.
- 5Applications and reporting: Units/organizations must apply to the Secretary; a report to Congress is due within 2 years of the first appropriation, detailing hires/trainings/retentions and best practices.
- 6Funding: Authorization of $1,000,000,000 for fiscal years 2026 and 2027 to carry out the pilot; conforming amendment adds the new Sec. 173 to the WIOA table of contents.