U.S. Senator Kirsten Gillibrand today announced that, following her push, the Omnibus spending bill signed by the President last year includes $90 million for a new Apprenticeship Grant program. The apprenticeship program will support grants to states in order to increase their capacity to register and oversee apprenticeship programs. The funding will be used to launch apprenticeship models, and for community-based organizations to help underserved populations and fund innovative programs.
"If we want our businesses to create new jobs and spur growth in our economy, we must make sure they have access to a well-trained, highly skilled workforce." said Senator Gillibrand. "The Apprenticeship Grant will fund job training programs that will help to ensure workers are well-positioned to meet the needs of employers. The funding I pushed to secure in the Omnibus will help our businesses expand and put more New Yorkers to work."
In March 2015, Senator Gillibrand wrote to the Senate Appropriations Committee urging the committee to secure funding for this program, in addition to other vital federal job training programs. The new Apprenticeship Grant program included will expand apprenticeships by supporting efforts to engage, recruit and connect under-represented populations with apprenticeship opportunities. Gillibrand fought to secure the funding in this Fiscal Year 2016 Omnibus bill because approximately five million jobs in the U.S. will go unfilled because of limited postsecondary education and credentials.
Gillibrand also announced bipartisan legislation last year to address the skills gap employers face and enhance job training to help workers develop the skills they need for good-paying, high-demand jobs. The Apprenticeship and Jobs Training Act of 2015 would create a $5,000 tax credit for employers that use apprenticeship programs to train workers in high-demand professions such as health care, manufacturing and technology. The bill also would allow veterans in apprenticeships to get credit for previous military training and experience, as well as incentivize mentoring of apprentices by senior employees.
Apprenticeship programs benefit both the employer and the employee, and 9 in 10 people who complete apprenticeships are employed, with apprenticeship completers having an average starting wage of over $50,000 a year and earning on average $300,000 more in lifetime wages than those with similar backgrounds who don't according to a 2012 study by Mathematica Policy Research.