Employer-Directed Skills Act
Sponsored By: Representative Stefanik, Elise M. [R-NY-21]
Introduced
Summary
Employer-directed skills accounts would create a national funding framework to pay employers for on-the-job training and employer-sponsored skills development that employers select and tie to a hire commitment. The Federal share would flow to employers through those accounts while employers must contribute a set share based on their size.
Show full summary
- Employers: Employers would pick participants and sign training agreements that require them to hire successful trainees. Employers must pay a minimum share of program costs: at least 10% for firms with 50 or fewer employees, 25% for firms with 51–100 employees, and 50% for firms with more than 100 employees.
- Workers and jobseekers: Participants can receive employer-selected OJT or employer-sponsored skills development and may be eligible without the usual interview or assessment when the statutory conditions are met. Training must include skills, length, and credential information and link to an employer hire commitment.
- Local workforce boards and one-stop operators: Local boards would review and approve employer agreements using criteria like participant characteristics, small-business priority, alignment with local plans, and credential and employment outcomes. One-stop operators must share information about employer programs and coordinate with employers on agreements.
- Training providers: Programs funded through the accounts must detail provider, cost, length, skills taught, and credentialing so they can be considered in place of individual training accounts when appropriate.
Your PRIA Score
Personalized for You
How does this bill affect your finances?
Sign up for a PRIA Policy Scan to see your personalized alignment score for this bill and every other piece of legislation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.
Bill Overview
Analyzed Economic Effects
2 provisions identified: 0 benefits, 0 costs, 2 mixed.
Employer-picked training with federal funds
This bill would create employer-directed skills accounts to help pay for on-the-job or employer-run training. An employer would pick a participant, sign an agreement to hire if the person finishes, and submit required certifications. Employers would have to pay part of the cost: 10% if they have up to 50 workers, 25% if 51–100, and 50% if more than 100. A local workforce board would have to approve. Boards would reimburse OJT after wage records, and reimburse employer-sponsored training after the employer shows it paid the costs. If enacted, this would take effect upon enactment.
Simpler steps for employer-led training
This bill would set standard terms for employer training agreements and what they must include. Career centers would share info on local employers offering reimbursable training and help set up agreements. If an employer selects you for an EDSA-approved program, the center could skip interviews or tests in some cases. Local boards would prioritize small-business agreements and choose training that fits local job needs and recognized credentials. These changes would apply upon enactment if the bill passes.
Sponsors & CoSponsors
Sponsor
Stefanik, Elise M. [R-NY-21]
NY • R
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov